hundred plus certificates we've found approximately 60 applications may have information that will lead us to building that the person is not the primary resident we have one the complaints we've received we were playing phone tag we have an online scheduling system you can go to the website we have intact appointment available tomorrow so in terms of people come in that's much more streamlined i think some of the concerns were raised about having to go to the tax collectors office and it may take several weeks to get a license from the tax clorox clorox we're liking looking to streamline that once we get the applications and begin the review our initial timeline for two to three weeks because of the thorough review and also

your staff has been working on the perspective improvements extending e spending time with the legislation we're saying that is taking longer up to a month to review and get that back so we're working on certain resources to help improve that turn around time. >> thank you, thank you supervisor farrell. >> thank you supervisor cohen so a few questions first of all, a comment that's been discussed how to enforce this without day more than anything the host is required to hold the data the number of nights so we have the penalties so i minimal we'll host what they're continuing to have on their own usage but also i think the notion i

want to thank the planning department and the entire staff and director ram for that working with my office and mayor's office part of the office of short-term rentals to have the adequate staffing levels that the planning department they need in order to enforce the law we've had multiply reading with the treasurers and tax collectors observation to talk about the streamline process so we can facilitate and encourage individuals going to list their short-term rentals to register with the city with the times of the enforcement being under the as pies of our city i want to be clear i back and forth, if you will by putting in a hard cap and by creating the office of short-term rentals that will be

the assumption adequate staffing in our budget at the board of supervisors do you feel therefore you can enforce the laws we're going to create. >> the hard cap makes a difference in our ability to reinforce that and one of the fundamental challenges of this reinforcing this under not physical evidence for most of the violations you can accountability look at a unit or building they didn't do something by code you can't do something with that concept the unit looks at the same typically whether someone uses it for a short-term rental it requires investigation and time so as scott sanchez mentioned we have 3 people devoted and 3 more in our budget that's the way more for any mechanism in the department it is 10 people or so

we have 6 people devoted to this topic pursue colleagues from my prospective a difference of opinion we have one grave right of action that in my opinion is going to again encourage neighbors so neighbors have to incentivize them to seek civil penalties against their neighbors on the other hand, and to jump the city process and not allow the city to have investigations but having from my prospective i'd like see my city agencies and departments be adequately staffed and be able to enforce the allowing law instead of neighborhoods against neighbors rather than pit one person against each other in san francisco i want to make sure from my prospective we adequately staff our agencies

>> because enforcement of those regulations there's been an expensive beat what hosting platforms have you been in contract with other platforms such as craigslist and have they indicated their left lane thinks in comply whatever measure is passed specifically if their comply with the requirement to not list any unregistered units. >> scott sanchez planning department so part of the recommendation the hosting platforms for unregistered unit the hosting - we've been in contact with the airbnb as a hosting platform but we have not asked if they'll ply with the requirement it is not a

requirement from our commission. >> you've not been in contract is other mroochldz. >> even when asking questions on the business model in questions at all. >> excepts the city attorney's office stave overseen the city but i don't know. >> i was talking about beyond city you know, i mean when you come to a decision you try to hear from the majority of parties that are involved i want to make sure we are not creating legislation that targeted one approach company we have several in the marketplace that are operating and wonder if they've been communicated and a take into consideration. >> planning department staff we reached out to the around o and the alley election and the only response from airbnb the only

one we kaeblthd with was the local platform but we tried others and got no response. >> supervisor wiener anything we'll continue with the presentation the next department to present will be the budget analyst analyst. >> good afternoon supervisor cohen and supervisors i'm fred from the budget analyst office hang on one second i'll start this. >> overwhelming to report today on the analyst analysis we conducted for the supervisor on the impact of housing we addressed the questions of the

impact of the short-term rental market on housing in san francisco we're also asked to look at the enforcement issue and the impacts on evictions our scope was the entire industry it was not any particular company we have data we analyzed that was from airbnb but we are using that as to represent the industry and building our estimates are understated we're not- we didn't have data from all the platform companieses pratt from this one the impacts would be greater this first slide is a snapshot of housing and the short-term rentals in san francisco 3 hundred and 6 thousand

affordable units and 12 rental hours units this is the u.s. anticipation and 8 thousand 4 hundred for rent in 2013, the vacancy rate airbnb listing we got this information from a website in 2014 there were 6 thousand plus listing in san francisco and this is unhosted and entire units and hosted private and shared rooms excuse me. 16.9 million visitors recorded in 2013 of which approximately 3 hundred and 21 thousand state in short-term rentals to a small number relative to the vitals and relative to the housing units and the how's duration is

one .5 nights in visitors staying in short-term rentals we've averaged the airbnb prices for the different types of listing the private room hundred and 15 and shared 72 and $209 averages because we didn't have data compared to for example the analyze of hotel industry we know where holds are located and how many there are and how many rooms and occupancy there was nothing like that to begin the analysis to obtain the data they were key for the getting the number of bookings and listings but we also used consensus data and other analysis that was done in the industry and as well as

documents and statement from airbnb and other companies as well what we did in our model is not only to determine the number of bookings based on a formula using the number of reviews per listing which was a formula we used and has been used by others that did similar analyze including the san francisco planning department graduate student interim and the analysis for the city of la and then we allocated by neighborhoods both the short-term rental unit and the listing to determine impacts by neighborhoods and while i stated the total number of units that are allocated as short-term rentals is not large compared to the housing units and particular

in certain neighborhoods the impact is stronger we've developed scenarios low medium and high i wrote a analysis on that. >> first of all, an important part of the model distinguishing between the casual and commercial hosts we've used cut offices in the number of booked nights to determine casual versus a commercial host the overall definition a casual host is one that rent out their entire united or a room in their unit on occasional basis away for a weekend you know for various reasons it may help them make end meet but not to be routine by the planning commission, and may be acted upon by a single roll call vote ongoing source of income or a business they're operating and commercial host on the other hand would be booking their

room or units more frequently and the incomes 83 riverside is an important source of their earnings for them and beyond is a certainty point substitutes so for a roommate or rent on a long-term da's basis we use 58 was the cuff off for one of the scenarios primary scenarios that number comes from the anchorage number of bookings for entire units that has been recorded in a document pretender for airbnb but we also found significant 58 nights for that entire unit on average the host are making more than they would for the medium rents for units in their neighborhoods so from 58 or 49

and i don't have the earnings are higher than what you get from what i pay if you rent that's distinguished from the market rents that's much higher the medium rent is for tenants in units can committed people that have been in the unit for years or rent controlled arrangements not to say everyone is meeting the market rate of 3 thousand plus dollars a most for the medium of 2014 for the period we looked at we did find there are hosts that are exceeding that amount we found about 5 hundred of the hosts were earning more than the 3 hundred thousand and 2 hundred were sloith below that the next slide is discussing the significance of the 58 and 9 i

think i've addressed to the host for 58 nights approximately being away for two months at 90 nights 3 months is a reasonable amount of time for someone not in the business of short-term rentals i want to state as we stated in the report we realize there are exemptions there are people that go away fire longer percent and would not otherwise be living as a roommate or renting out their unit but the other side people are earning enough to certainly cover their rent and so we believe to people who are keeping units off the market or rooms off the market just the opposite is true over 49 and

also in a consulate report present by a consulting firm out of ushering berkley for the airbnb 50 percent of the hosts using the short-term rental income it is a higher estimate percentage what we call the casual group i'll present that information in a minute here it is for 6 hundred thousand hosts for 2014 the model that we developed in the emphasis we conducted the medium impacts the middle is 68.6 percent were classified as casual under the told her who are renting anti occasionally perhaps; right when their away not rely on the income or representing out for a

long term tenants and the other proportions are the allow impact scenarios this is a map quickly on this slide showing the distribution distribution of casual that is hard to see they're the blue dots they're pretty much following the red dots of commercial hostile you see the concentration in certain neighborhoods those are the neighborhood we're discussing our particular focus in the report actually, the intermission and telegraph hill and the castro and cellist those are the neighborhoods showing the commercial hosts broken down by unit for shared rooms and the use of neighborhoods i mentioned plus selma is in this one as well

inform the impact of commercial units to focus on the commercial side commercial hosts where entire units are being are we talking about out they're one thousand 2 hundred and 51 in the medium impact and the higher is one thousand 9 hundred and 60 and the lower 9 hundred and 25 and this slide presents the commercial entire units listing the percentage of vacant units statewide citywide so the 3 scenarios that is comparing the commercial entire unit being rented out on short-term rentals to the 8 thousand 2 hundred plus the 11 percent of the vacant units up 23 percent of the

medium impacts for the impacts on certain neighborhoods it is drildz from the numbers that are not significant maybe even in the scheme of the entire housing stock in san francisco certainly the higher rental market in specific neighborhoods the percentage is high what we do was take the consensus data on vacant units entire units as you can see this is a rental market in those neighborhoods and the vacant unit and the number of units we're clarifying as commercial entire units eaten pitting those together what that representatives in the way of the potential rental market in that neighborhood in the unit were available and the percentages on the right very high for mira loma and sunnyside

and hate ashbury and coastline is a higher number of units and then the citywide is at the bottom 12.9 percent of the united fall into that clarification so some neighborhoods we have some of the neighborhoods report and some are low down to 5 percent those are the areas where the impact was particularly the strongest this was doing the same analysis but for the private rooms the impact is less significant a high threshold as you can see the percentage of potential rooms for rent relative to the entire stock is ranging between 5 to 14 percent those were the high impact neighborhoods and citywide of 5 percent

in terms of the evictions we certainly observed that the number of evicts is high in the same neighborhoods where there is a high number of short-term rentals and the high impact neighborhoods we don't knick conclude or do the analysis to say one is caused by the other but certainly an observation has been seeing evictions occurring in particular neighborhoods as you can see here the intern mission and the hate ashbury western edition has the highest percentages of evictions and are also high in the short-term rental commercial hosts we using our model and the data we have obtained to determine the impacts of the various caps that have been decided in the various legislation this is

different had an the relatives of the analyze that was i was describe to the members are close so as you can see here with the 6 how's hundred and 13 units we've identified on the short-term rental market in december how many would be removed if current conditions or the conditions as of december remained in place from the 6 thousand plus hundred and 29 night maximum 4 hundred and 7 units will story and i don't mean disappear but can't remain as the level of renting for 2011 and in terms of enforcement of short-term rental laws and this issue has been discussed by the planning department but certainly we've observed that the department has so hurdles in

trying to enforce the law and again back to the about the of the locations they're not known there's no road map of who is in the business and not and booking information is available in an aggregate basis on an individual level the law is new here's data showing the 6 thousand hundred and 13 units only a small amount applied for licenses 4 hundred and 50 and the applications to the department for may first 5 hundred and 79 2 hundred have been issued and another 2 hundred plus pend some of the enforcements issues mentioned so what we have here are 4 options for the board to consider one an acting

legislation providing the address information, and, secondly, requiring the listing platforms to only list those registered with the city those are recommendation for the citywide not directed towards airbnb to focus on their data and third compacting the legislation for a year we don't recommend a number there's value and certainly that's in place for unhosted the board could consider the hosted and fourth amending the planning code for the platforms for this host so there's no mechanism now fire endorsing it or teeth in the current approach that is a summary again, i think this what we have clicked is on

the conservative side a number of units that are thousand that we identified from the - had 90 no rectifies since we used rectifies we clarified those units in the casual group because we didn't want to overstate it and in addition the point i made was that the data from one company and the industry is larger than that so there's more out there than recorded in that report i'll be happy to answer any questions. >> thank you very much i have one quick question and i've got colleagues that have questions i was wording if you could summarize the methodology you used to prepare our report and the sources you've consulted your the methodology we've

created a model and have a database from airbnb polled from the companies website an 2013 and compared it to other websites and see the numbers are compatible we used that data that provided us with the number of reviews for this we had a formula then based on airbnb statements 70.2 percent of all guests leave a review we were able to derive the number of bookings and the reviews we've derived and that gave us listing that sorry bookings we can allocate those 80 two years based on the business and determine the bookings per listing per year. >> i'm trying to said a little

bit better the methodology seeing you use our own internet search. >> no done by other parties we'll call them technology professionals they are different individuals that polled the data off i know looking at the airbnb website and can't see it but different coding skills for example, addresses are not listed on the website but the web folks can do the listing we had a database to work with the on screen that is information that becomes is available in the public atmosphere of analysis of the industry have used this information as well. >> so in preparation of that report did you talk to any housing specialists or housing

provides? >> do you mean hosts or. >> not necessarily hosts i mean specialists that understand the heirs trends as it relates to costs or a correlation any experts in that field. >> yes, we spoke with housing experts the industry and their airbnb. >> you did and where were they nonprofit housing providers. >> they are were not providers they committed the new york state attorney general's office and staff that had analyzed the situation based on the data from airbnb and analyzed it so we definitely used them as a source the group from la it did the analysis from the industry there a source we used our own planning department here and so not hosts necessarily.

>> did you- did you review data from other platforms? >> unfortunately, no we were not able to on the data from others companies we are used the web screen from airbnb. >> so the web scraping the collection of that data is only reflective from airbnb none of the other houfts out there as well. >> that's correct. >> why did you limit that. >> that was all that was available we certainly wanted more but we used it as a representation of the industry it's a large player in the city we know that and it's not the only approach. >> okay. thank you we've got a few more questions supervisor campos. >> thank you, mr. ross 0 and the ironic thing the friends at the airbnb have been chris's the

analysis but refuse to provide the data for more accuracy so one question i have is that based on our review you have heard the comments from the planning department staff in terms of enforceability of the law without the booking data and in your opinion is this law be enforceable without the booking data. >> i guess the question if there's going to be a hard cap there's a hard cap on now this seems like critical information to have how many bookings took place to know what with host exceeds it's 90 day coop i'll that is important. >> someone else that's been proposed the