ready to begin good afternoon today is january 21, 2015, this is the regular meeting of building inspection commission i'd like to remind everyone to please turn off and all please silence all electronic devices. the first item commissioner mccarthy commissioner vice president mar president clinch commissioner lee commissioner mccray p commissioner melgar commissioner walker we have quorum and the next item is presidents monopolist. >> good afternoon. welcome to january 21, 2015, bic meeting of 2015 i have

pointing i have first of all, reading from a different formulate we have the director's report for 2015 and in housing maintaining? what the director is going to be putting together. 2015 in housing and continuing the monument on construction of new preservation for existing housing preserving an existing how's stock for feasible applications and expending and review of approval processes for new housing unit to meet the mayors goal of thirty thousand nor unit by 2020 and by working closely with the planning and mayor's office of housing we have 4 thousand new housing unit online that was an achievement the effective approval 90 percent of approved ♪

48 hours between the years of 2014-2015 we're on track to issue over 85 thousand permits between 2014-2015 of this year and providing housing priorities for the certificate of occupancy and code compliance and quality of life issues work with supervisor president tang with the may or may not disability and increasing the number of dbi certificate staffs for the certificate staff we the director is going to be working with the mar as the board of supervisors to increase the participatory of the in-law

unit programs and earthquake safety for new buildings as well as training for all staff and continue the implementation of the earthquake soft story building retrofits and something to the effect education in chinatown will continue as last year as well as dbi staff training to include dbi reopens and providing staff for needed tools and insuring we have 12 month reserve funding to accurately respond to my event to insure a speedy recovery ovbl in the customer service center 0 we will provide transparent to all dbi professional services and completing the implementation of the new implementation of the staff and

launching for public use and early water to improving the public transparent and access to dbi services and objective the say san francisco entertainment commission for improvement target and we to make those improvements seeing the par fit 0 profession so there's a announcement and we also want to congratulate tom huey covering the vacant store and the overall legalization of in-law units and director huey was interviewed by the cv radio to hire additional inspections and plan engineers and support personnel to keep

pace with the ongoing it was aired is on january 12th and available on c q sf s f the low point of the recession dbi staff had 2 hundred and 9 employees we've increased that to two hundred and 27 in years 11 and 12 and now at 2 hundred and 46 for 2014-2015 as of the summer of 2013, the total staff was up that's quite a jump we're hoping to hire civil services folks to meet our customer service demand a big congratulations to kari who received a thank you letter

and said he's knowledgeable and he said he was knowledgeable in reviewing the architecture documents and that, ma'am secretary will be fine for me actually, one more thing this is for our fell commissioners commissioner walker asked for an update and follow-up meeting, however we haven't been reached back about the planning department hope to in the next come up of weeks and given the availability for the meeting as of now i don't have a conclusion date but i'll make sure that happens that madam secretary concludes with any president announcement >> any public comment on the times announcements seeing none item 3 general public comment bic will take public comment on matter is that are not part of

agenda agenda. >> morning commissioner mccarthy i'm steve williams here to follow up on the project at 3450 21st street i was here in december at the request of the some of the neighbors to ask about the project i was surprised by the facts the item not on the agenda today for a report of follow-up i left the meeting in december with the distinct impression guess that a report will be made this month at this meeting i told my clients a detailed report b will be made for the benefit of the public and the commission that was what was promised by the department tests last meeting i went back to and look at the tape in response to commissioners questions director

huey stated the department will present a report i quote we'll give you a report next meeting further deputy sweeny will give a report i'm here to ask that a detailed report be made to the public the public wanted to turn on the tv and see what report. >> i have two outstanding sunshine ordinances that have not been and the i can confirm the information i gave you at the last hearing that was questioned after my testimony saying is that adequate 16 permits were issued for this project between january 2013 and november 2014 only two were issued with any kind of public notice the initial permits the

first 3 were issued over the counter that included did very large permit i recited at the last hearing point is the new had been tackle space the win room, etc. etc. and the reason that this is important is that once the offer the counter permits are issued at that point building in the same placing space that new permits were issued not before that it was not present as one project that permit that is hiding the extent e stent of the building if you have the same room constructed with over the counter permits and the exact same rooms constructed with no permits that's permitted that's what happened in this space 14 permits so what we would want to see a conciliation and the

valuation is way off from what we see 1.7 after and now december 17th instead of 1.7 so what the public wants what with my clients want an explanations of the project as a whole and how it came about >> thank you, mr. williams. >> my further public comment? seeing none, item 4 update on the department of building inspection case study >> become commissioners i'm peg stevenson the director the city performances in the controller's office and i'd like to introduce in my

staff randell our budget manager and claire has done some of the work any unit does technical services for the other departments in the controller's office does work to make sure our accounting and budgeting and treatment of technical issues like our fee setting are cooperated and we've been holding a contract for the fee study just to remind you the baushld background we took a look at the 2011 balance increases generated in the department a couple of represents including the investment and reserves and the fleet purchased and other line items from 9 line balance and remedies for the fee study to

adjust the department fee schedule that a good project and it is see frequently a lot of voluntary illicit we asked for a fee study they've spent 5 months gopher going over detail and interviewing managers looking at the cost effects to capture the administrative costs and looting those out to the charging departments so we larger completed that work with them and went over the fee study with director huey in the fall there were several questions outstanding we wanted m g t to go back on we wanted to make sure they did the adequate cost and they were costs not appropriately worked for we wanted them to go back on large prospective jurors projects

where there are fee categories established for $5 million and above and break down the sector that wasn't there before and then he wanted them to go back on the volume of work that's being done over the counter and the focusing efficiency in the depended and cost capital on that we've lateral concluded that work but not one hundred percent and have another change chance to go over the details in the next week or so during that time the city's work on the combined annual report inform 2013-2014 and the result we're seeing for the believable were a little bit higher than projected that caused us to want to go back and make sure the revenue line items that are driving that with respect appropriately captured in the line item study

we want to be one hundred percent sure as we see bled out the work and finally the accounting treatment of deferred crediting balance that has to be understood that's itself city's accounting vision so those items and final result from m g d squaring the fees proposals that come forward to you and looking at the accounting treatment of the deferred credit i anticipate concluding those within the next two weeks and meeting that paris madison and director huey and being back with a full presentation on the new fee proposal next week next month i apologize. i wanted it to be done sooner but there's a lot of different issues in play we want to be sure we don't go back over

this ground than necessary for the city i'm happen to take any questions commissioner walker. >> thank you for this we're anxious to get the delays in looking at this and the concern about you know the amount of money that seems to be left over did we factor in things as first responders we in issuing building permits we require working with fire and planning and the complicated partnerships that when we're issuing a building permit requires those departments do we pay those departments adequately for they're part in the building permit i mean how far does this reach. >> it is including all indirect

costs everything that is done to support the departments other activities like the central admin and work orders to other departments we've again got a couple of reiterations so their appropriately included in the costs. >> including our need to be responsible to the first responders that we allow to fund that out of our fees. >> yes. you are in short. >> thank you commissioner lee and duo could you remind us the next steps after your presentation to our commission what are the next steps for the fee study. >> there needs to be special legislation that gospel through

you and this board of supervisors probably paris can put that on other calendar there has been i forgot to mention an extension of the fee reduction you approved moving forward to the board that will stay in place while you do the next legislation for the fee setting and it we need everything approved before the reduction. >> the reduction has been stepped to the occurred fiscal year. >> so. >> at the last meeting. >> thanks okay. >> i'm sorry if i'm not being clear terrance can help. >> the hope it will be done paris madison deputy director the actual legislation is it will be at the end actually, we

adapt a new fee schedule with no break. >> okay. >> okay. thank you and thanks to all your staff and director huey everyone has been cooperative throughout. >> thank you for that thank you. >> any public comment on item 4? seeing none, item 5 discussion on the status of conversion of san francisco public housing unit under the housing and urban demonstration program >> so i think were we supposed to have something from the mayor's office of housing. >> yes. >> i'm sure she's going to be here perhaps late. >> so someone comes from the

mayor's office but commissioner vice president mar that is an item we can continue this down the calendar whatever you decide. >> i want to not be a person from the mayor's office but the city attorney i have questions that might be related thank you. >> okay perfect timing. >> everyone is watching tv. >> yeah. please. hello you can come up if you want to. >> good morning, commissioners i'm lydia from the mayor's office of housing and community development sorry i'm a little bit late maybe i'm right on time thank you for inviting our office to give you an update on the rental assistance deems program which is a funding

program that is giving the city of san francisco under the leadership of the mayor's office of housing the opportunity to make long detailed much needed improvements to about 35 hundred units of housing across the city those unit are in the of our supervisorial addict that were built starting in the 4940s to the 1991 and all of those unit are in extreme disrepair suffering from funding neglect mostly because of cuts that congress made to capital improvements for housing i wanted to give you a background on the unit before i talk about the conversion to private ownership which will change the status of those unite and especially in relation to

this department i'll be going over the materials you've received for the benefit of the public hearing housing authority serves extremely low income san franciscans the average householder is over $14,000 households are living in public housing united 5 thousand 3 hundred unit plus across the city they provide rental subsidies as i mentioned a minute ago those are aging building that wish in need of repair a few years ago the housing authority did an assessment of how much to get the buildings in shape at that time the estimate was $270 million for the whole portfolio now the 35 hundred united we have $508 million

alone in rehab needs that shows the $70 million the severity of updating and the edition of what was needed out there because hud is unable to provide the financing needed to keep those unite in good repair they have not surprisingly gone to disrepair as a result of that and other issues declared the san francisco housing authority troubled in december of 2012 this designation promoted the city to undertake an effort to become part of the solution i know for the first time since the formation of the housing authority the mayor took the leadership role and convened hundreds of people almost two dozen meetings in working with

coming up with a new violation for the housing authority how to fix the problems and how to prevent this as a troubled agency the housing authority stood at risk to take over the management and it's not the end of the feasibility we knew that something needed to change now because of varies technical and local restricts on the public housing site there's really no way for the sites to borrow money to make repairs except to the financing program that just don't allow for the stent of the repairs needed the new deems go program is hud's attempt to recognize the private ownership under the structure you can leverage private debt

and tax credit equality under the tax credit programs to bring in the money you need to make the repairs one and for all the rad program requires the repairs result if a 20-year the repairs we need to make need to be extensive to keep the buildings in shape in rad longed affordability is guaranteed through a public land trust model where the owners continue to own the land and release the improvements to a limit partnership those partnership mike will be made up of nonprofit organizations based in the community and developer partner some of which in this case are nonprofit and some of which are full profit so the developers were selected by the

housing authority and the mayor's office of housing last spring the housing developers are best most experienced in the housing departments for many of the 17 thousand affordable units the mayor's office is now managing now as you all knows under ownership by the housing authority those units previous previously have not been uniformly made to the building code nor to the planning code in some cases projects have gone through improvements liken elevator updates because of their status of semi governmental agency they have not been subject to local codes now this is going to change with

the project go to rad they'll be privately owned and really joined the city family of affordable units those are subject to local laws and rules to the benefit of the residents we are i want to talk about now our schedule our scope of work we're undertaking with the housing authority over the next 3 years evening with to be converting 29 projects the total number is 35 hundred unit those are all rehabilitation projects not new construction unlike our hope sf project you might know about where the housing authority is previously rebuilt rehab is going to start this fall on one of the first half of the projects and hopefully in july

of 2016 on the second half of the projects so that's 14 hundred unit this fall and 2 thousands unit next you summer we're on track to having those unite on purview of the planning department and department of building inspection our developers working through the harris and community development which is coordinating our approach to permit submittal and the planning approval for all the projects given the ambitious scope and the number of units this is unprecedent for our department bringing this many unit to rehab at the same time so we're having to work with our city sister agencies to coordinate and trouble shot and streamline a lot of the progresses to get them going

so all of our rad principals have had at the department and also have gone through an expedited planning review process we're working closely with your staff like i said to coordinate the prelims of that proximately to get them under construction on an ongoing basis the project will be subject to inspectors and 13wu7b9 improvements within the pressure view of the department and planning itself that is about concludes my presentation i understand that there maybe questions or concerns about the impact of this many unit joining our system all at once and would be honestly this is something

that we haven't fully thought of of we've met with our planning on the progress we appreciate and take advantage of efficiency in the system to make it easier on the department as well as on ourselves but i'll be happy to answer any questions about that. >> thank you very much i believe we'll have questions for you commissioner you want to start. >> first of all, i want to thank you for coming to the meeting and thank you the mayor's office for taking on this task which i think we all agree the federal government has been less than capable of doing however, that being said as you said in our report it puts a lot of challenges before this city and one of the concerns that i had and i think some of my

fellow commissioners share because of the conversion to private nonprofit housing as you've mentioned a lot of the code enforcement will fall on us that's been in the past one of the biggest beefs against the housing authority redevelopment agency is that a lot of the problems in the buildings went unheeded for years with tenant complaints and because of federal government's kind of ability to skirt under they were not dealt with i had a couple concrete questions one we have mou i believe with the housing authority even though we when we sent special circumstances case into the building we sent