what is this out of ordinary >> because of the location and the fact have not applied for a loudspeaker to extend beyond 10:00 p.m. we want you to define. >> okay. >> well, that sounds like no major concerns ami open up for public comment any public comment on this particular permit no public comment public comment is closed. >> move to approve. >> back up with police conditions. >> yes. a motion to approve with the police conditions and a second. >> second. >> all right. vote. >> same house, same call? >> yep. yep. >> that means the motion passes good luck now the second

permit with the pie restaurant and launch the second is for a change no ownership for a lack of space for the lounge at post street and japantown their oriental on calendar back in october and a ran into an issue with planning but was mute a disappointment they had to wait the 24 months to come back they're here again their plans to have live music and come down i didn't shows you with the hawaii restaurant. >> bar they have done neighborhood outreach in the past and conduct more with the reposting only 10 days you'll see what is signatures from neighbors not many neighbors apartment building across the street they reached out to other

facilities i've not received option for the application and northern station approved this with the good neighbor policy the only condition here to talk about that more the owner and this is his partner. >> commissioners, thank you my partner is jeremy sorry so as far as the neighborhood support i reached out to pretty much everyone including the sundance movie theatre the most complaints we've pretty much talked to every single person that had issues even people that worked there in at past we have a pretty good relationship with everybody no problems with anyone we've had multiple fundraisers with many folks

cherry and to j.t. c all in the past never done it because of issues are the previous owner and we pretty much figured out what was some of the issues on the previous owner side after that i contacted all the city organization like japantown and the immediate neighbors and contacted the movie theatre that has the biggest crowd they're brought out they were bought out and now by a new he movie company of some sort and a process to get an answer the gm that the michael springs i spoke to him he understands i'll be there he's not there for any reasons made no complaint but he was one of the main people to kind of put all the not sure

exactly what in the past but the main person so other than that there are a few letters he couldn't get in time because the apartment across the street and they were a little bit easier to get you know and other than that the movie theatres that was extracted to get anything from there with so far as the community organization almost japantown task force and every japantown community group i didn't realize their process of getting a letter from them would take somewhat 4 weeks up to 2 months so i have to go to their hearing and plead any case they'll take that to their board of directors i didn't realize the process was so long but the

process with the other 5 japantown task force and j.t. and as soon as jc c. >> great definitely sounds like you've done our homework any question how are things with sundance knowing that was hung up for a while by you have clearance if the general manager those issues are resolved. >> yes. yeah. the movie theatre were the most thoughtful group we have issues and the original person was gail johnson i on intersections his last name but things were lost in between as far as the business we're keeping everything generally the same it is mostly food and a ratio of 70, 50 and the rest is liquor related no night club no

department of emergency events cut out anything that was remodeling having a crowd not up to mike night i cut that out any kind of rap related rap things they used to have i cut that out and pretty much our live performance is basically a raggedy multi currently music we're trying to focus on but we're definitely not doing hip hop or rap related to something that would probably be disruptive. >> great i hope you can continue playing the role of a focal point for the community i know that the asian-american auctions have been advertisings it sounds like those are continuing and continuing and

hope with entertainment. >> so that's really great i totally support that commissions you guys have any questions or thoughts. >> i mean it is run as a limited will with the previous owner we've not had any complaints i've not seen it on the reports. >> that was a while ago but the main complainants i don't see anything many in our files so even though previous owner had to go through a lengthy progress with planning and that's when sundance got involved but the 312 notification. >> i on intersections that was limited live and go beyond that. >> there was involving the planning commission and planning department where we tried to step in and safe this our territory. >> so anymore questions and

the police conditions are a good neighbor policy are you happy with that why not have a seat i'll open up for public comment by public comment nope public comment is closed. commissioners anyone have a motion. >> like to make. >> i move to approve. >> i second. >> there is a motion that has been seconded and at least take a vote. >> same house, same call? >> same house same call that that item passes good luck we'll move on to the game room our final permit. >> so the game room is going for the permit only fourth street formally was the drake the owner plans to use this is a

a restaurant with a focus memo cocktails and memos but the whole thing with the mechanical devices their thank you for the opportunity this into the retro arcadia spaces the owners reached out to all the businesses in the area you'll see whether the support and response i didn't receive any negative feedback and the police station approved that with the basic conditions more to talk about that a mohammed. >> thank you for your time basically in general a casual bar restaurant the focus on group share because they find it easier to have a higher quality of product with the arrival of other places where similar quality we focused on you know

quote/unquote cocktails fresh ingredients and being in soma there is a good amount of businesses that are based on gaming like the major developers lake the - i reached out to most of them but some are huge companies but get feedback from the smaller companies we were looking to get 10 games pinball machines as an accessory we building breaks the money in any and helps us out with the local community i did reach out to went door to door 2 or 3 hundred feet with local businesses and restaurants and retail shops get positive feedback but unfortunately not many people relied back but

thatnuts and bolts it the a positive environment we're taking over a lounge area i think we're a little bit safer environment not the place where - people will have a lot of security and we'll look down others crowd as well and so we don't see issues happening if that sense and i'm available to answer any questions. >> commissioner joseph. >> hi so tell me how many man's will you have. >> 10. >> and where are you putting them downstairs or upstairs. >> said. >> and serving food upstairs so the machinery is upstairs. >> correct we took a good effort and hired designers they

broke down the space in aesthetic fields so downstairs is more lively area and the upstairs is quiet we wanted to keep the game people happy a. >> are you serving food downstairs. >> we are. >> you are that's great people can come in and hang out and have drinks. >> are the machines coin-operated. >> they are when we say people we'll limit to 25 and older. >> your limiting to 21 and over and 47. >> yeah. >> just because why. >> for the safety of the - we have a restaurant that's a lot more sit down people mill around we don't want to mix in alcohol and children just a personal preference. >> okay.

>> more. >> that's a great personal preference. >> what - in your security. >> uh-huh. >> are you going to just a question because a previous commissioner representing police once asked a question about anyone coming in for an arcade what will you do or how is the skgsdz going to handsome situations to make sure there is no gambling with the machines. >> no gambling. >> yeah. >> gambling on scores. >> i keep the eyes on the prize - i have a previous large staff we call them floor people they're all over the place and their job to look around and see what's going on that will definitely help to superfluous we've not have concerned but

something we can bring into the training. >> okay interesting. >> all right. are you going for a poe. >> that's a place of entertainment permit. >> i think so. >> we're talking about djs and things like that. >> okay. >> any music placing in the bathrooms. >> yes. just plugged into an ipod. >> yes. >> great other questions or thoughts commissioners. >> in my mind the old arcades that were on market street years ago and the same people coming in that kind of is that what you envision or people coming in you know less frequent than instant. >> i'm not more confused on - >> there was - like on market street with the arcades the same people everyday do you expect

that to be your clientele. >> like i said they're looking gaming more as an accessory we take pride in our products and spent a lot of time on the drink memo and morning anything we want to be a solid business a solid place of business to add to the bonus of soma and our clientele will be come and go in the neighborhood but no means a big game community coming to the gaming. >> it will be easy to pick out anyone there to do their gambling. >> absolutely we keep an eye on on the machines for 5 thousand to $8,000 we are concerned someone tilting or pressing or hitting the buttons two hard and not had a problem before even on our minds but

something we can definitely spot out. >> those games are retrofit you say gambling to me. >> of gambling is not like donkey. >> pack man and some of the computer games. >> what's the price for those games. >> $0.25. >> very cool thanks. >> let me had an on one second $0.502 too. >> i'm on tv so this really is i hear a high demand like arcades and arcades in bars i on intersections you'll your filling a demand not met at this point. >> rent is expensive i'm sure have you - it sounds like you've

run arcades in the past. >> we have experience running bars and restaurant as well. >> where else. >> in san diego we started that like a fun dinner restaurant and maybe the restaurant of the year we got that award when we opened up the concept there and moved to sacramento and down here. >> taking over san francisco. >> i don't know about taking over. >> great if no further commissioner questions or comments. >> the problem with fourth street you have to create a designation with the arresting cads you're pushing the restaurant in that area is restaurant needs a little bit of help. >> you know we don't want to push the arcades with a trending concept worrying about what to do with the products and service

there are is a good amount of retained so hone in and establish a good food and drink place and fun. >> games. >> essentially at the end of the day, we are a bar and restaurant great. >> well, thanks i know thank you for research out to the neighborhoods they may say we have an issue hopefully that's not case we hope that the front line of defense is you and tussle to negotiate those terms. >> tshths. >> let me open up for public comment any public comment on coin opt game room all right. seeing none, public comment is closed. we'll move on to a motion. >> if - one of our

commissioners like. >> i make a motion 80 we approve. >> second. >> there is a motion that has been seconded i'm assuming with the police conditions. >> right. >> correct. >> okay okay same house, same call? >> yeah. same house, same call no roll call vote that passes congratulations move on to item 6 which is commissioners questions or comments commissioners any questions or comments? commissioner joseph >> so this thursday i'm going to have the pleasure of monitoring a panel on entertainment in the city so the name of the panel is sex drugs and rock and roll and the leadership of san francisco is an all-day event they're having it starts at the y i'll be and after hours stuff ahf they're doing this on san francisco cultural arts and local

businesses and having different panels commission thomas was supposed to do that with me she can't she's out of town but, yeah. >> when. >> this thursday. >> this thursday so leadership san francisco is the group of executives who represent like i do believe institutions in the city i'm not clear and like pg&e and at&t and ecology and whatever so to have arts and entertainment be front and center in an all-day event is kind of cool and pleased to be able to moderate this event. >> so there we go. >> (laughter). >> which one. >> all of the above. >> excuse me - >> any other particular -

>> give me a specific question i'm curious. >> commenting we're doing this to entertain the staff. >> any other commissioners questions or comments not seeing any, any public comment on that. >> (laughter). i mean, i'll not be attending >> you'll not be attending i have a quick announcement for people we're schooling our july 5th meeting so if you were planning to be away you have can be away longer that's to respective the july 4th long weekend all right. let's move on to item 7 new business for future agenda items any. >> i have a new business request for this meeting that didn't happen i'll talk about the alternative. >> alternative. >> yeah. so i've not gotten that on the agenda.

>> yeah. it was not ready to be altered to the agenda but in time for the next rdr. >> okay. >> in time for the next rdr for the meeting for the next rdr. >> it is the 7. >> at our next meeting. >> june 7th. >> that's what i'm saying the same day of rdr. >> okay. >> all right. any public comment on future agenda items not seeing any, public comment is closed. and this meeting is adjourned

>> good afternoon and welcome to the local agency formation commission of san francisco board of supervisors. today is may 20, 2016. this is john avalos, joined by cynthia crews and david campos. todays clerk is alisa samara. >> silence cell phones and electroning devices. speaker cards should be submit today the clerk. >> like to announce and thank

sfgtv staff broadcasting the meeting, jim smith and phil jackson. we don't have to do roll call, right? >> no, you stated who is here. >> we are here accept for commissioner mar. do we need a motion to excuse commissioner mar? motion by commissioner crews and seconded by commissioner com pose >> iletm 2 approval the lafco minutes from april 22, regular meeting. >> any changes or comments on the minutes? seeing none we'll knose to public comment. we'll close public comment and motion-- commissioner crews to approve the minutes and

second and take that without objection. >> we need a second. commissioner campos >> i tried to second as a chair. >> item 3, community choice aggregation actaveties report. status update on clean power sf and stating update on proceedings: >> michael himes on behalf of general manager hale. i have a few quick items and happy entertain questions. i brought the communication director charles sheen relate today the outreach efforts to date and looking forward. first of all, and perhaps most importantly i'm happy and proud to announce in terms of cca status updates, for the first time we

are operational. on may 1, clean power w sf served customer jz today is the 19th day of operations. took a lot of work to get here and i know this body was central to that effort. along the lines of good news, our opt out rates continue to be very low. we are still just under 1 percent of total opt outs for the may enrollment. at the beginning of the week we began the issuance of the third stattory set of notices to customers about enrollment and we'll send those out throughout the course of the month.

customers will get their first clean power powersf bill now. the [inaudible] will get the first bills in june. we expect to see a second opt out because that makes the experience real when you get a bill but the rate we are seeing we think is great and expect it to stay low, lower than the twnt percent we were originally expecting. >> just a question on bills, i do all my bills for pg & e on line and don't receive bills, just paying it and wonder if that changes it all because i joined clean powersf. >> no changes, you can will continue to pay on line. i believe pg & e will send you a link to view the bill on line and it will identify the clean powersf charges on the bill. there will be a page with clean

powersf charges summarize jd detailed as well. it should be a seamless experience and continue to pay the same way you would. >> for those getting paper bills, is sthr some dramatic thing people will see that could encourage them to opt out? is that- >> nothing dramatic. what they'll see is a line on the summary page of the bill that identifies clean powersf charges. that will be the first time they see that. they may call and ask questions and hopefully they've read the notices we have been sending them but at that point they probably would have received 4. again, when you pay your bill customers will study it. some customers will study it and that may be where they really reach out to us and have more questions. >> on the opt out rate we are less than

1 percent and.0001 is less than 1 percent. >> good question. we are about.9 of a percent. >> and then.9 of a percent-- >> yeah,.009. >> that is a big difference. that is close to zero. >> yes. >> and then given that small sample of people who opt out what are the reasons people say? >> we are tracking that. they range from not wanting to leave their current provider to not wanting to take service from local government to a perception that the cost may go up. i say though the majority are-another one does tend to be the automatic enrollment mechanism. we are talking

about a small sample overall. >> very very small. okay, thank you. >> so, continuing on the customer enrollment line here, we are continuing to receive sign ups on line and through our public outreach activities. i believe last time we reported to you on earth day we had a very successful earth week and got a lot of sign ups and that continues. at that time we had 240 sign ups. we now have 340 and 70 percent of those are super green services. so, we are seeing a trend for those who sign up they want to go super green, which is great. with respect to proceedings of the cpuc we

continue to monitor there and proceedings that may effect pg & e cost to make sure the costs are nolt unfairly shifted to customers. we focus on power judge adjustment and other fees pg & e can assign to customers for departing their service. on this front i want to mention we are working collaborativety with all the or the cca's in operation and communities are investigating cca. this is the top regulartory priority for a cca program and working to make sure we have a unified front at the cpuc on this issue. you may recall in march there was a workshop at the cpuc very well attended. a number of the san francisco stakeholders spoke at that workshop. we are expecting soon a workshort report to be issued,

that is pending and told it is imminent. we also spect there will be a comment period that will involve procedures. that is all i have so if you have any questions or relate d to the outreach effort. >> i have a question, where can i get more of these? we had a special question at question time last week, the big giant pumpkin ball we set up to the mayor to knock out of the board chamber and didn't quite do it, so i think we really making sure that at least from the mayors office as well we are getting the kind of outreach and viberancy robustness for a

outreach program that wasn't indicated by his answering at question time. >> sure, charles new title today, i'm acting communication director for sfpuc but still overseeing communication and outreach for the clean powersf program. to your point on the mayor, last week or two weeks ago we work would the mayors office on a national cmcbc news story about san francisco clean energy goals highlighting and features clean powersf. the mayor was interviewed twnt or 30 minutes on clean powersf and cities other clean energy goals and the segment aired on cmbc and money nightly report. >> can i ask a question about that? >> did the mayor spend time trashing the program we killed 3 years ago? >> no- >> it would be off mesling to

do that which is what he did in the board chamber. >> focused on the future and 100 positive story and that is what aired nationally on the news during the day. they did a live cut over from the sun set reservoir where they said we are here in san francisco at a sun set reservoir solar rea and doing more solar and cut to the [inaudible] about our 100 percent renewable energy goals as well as east hampton in long island about their renewable energy goals. east coast and west coast motif and was a fabulous story about the work we do in san francisco. in terms of the clings we have two clings, so we always do dual diligence andordser in bulk so if you run out of those we ordered quite a bit but it is best

toordser as much as you can at once, so we have more of those if you need them. >> the goal is since every wnl is opting in, everyone can opt into the light green and the goal is get as many super green people to sign up. >> correct. >> what is our numerical goal? >> we committed to a 5 percent super green sign up throughout the year for two enrollments and as our director said, the super green sign ups are increasing every day and as we get closer to august, september, we will work with the department of environment using their in-house staff, their door to door outreach team to do some of just that in our next enrollment in districts 5, and 8 and do door door, some neighborhood canvasing and set up your ironing board at the corner to get more super greens and they will

provide staff and people power to do that and we want to continue to move forward towards the 5 percent goal and so far so good. we are continuing to get those sign ups. >> the 5 percent goal was set because that is what we expected we could get or thought what we could only win for sign ups? >> we took a very detailed look at what other green power programs achieved with their 100 percent renewinable energy sign ups. we looked at smud green energy program. we looked at portland gas and electric and had the high bar for participation in 100 percent renewable and are at 12 percent but have been operating for a number of years. we did a deep dive analysis oon green power programs in the west coast are experiencing in terms of

adoption rate for their 100 percent program and came up with what we think is good estimate, fifen percent and think we'll relook at it as we continue to launch but that the first estimate and hope to get as close to that and see that and with each new sign up we are close toor the goal. >> that is the short term goal. what does st. look like like 5 years out? >> 5 years out, i don't know if i thought that far. we want as many people signed up for super green as possible. our green renewable content will rise over the year jz i'll let him comment how fast it will rise but we are at 35 and that is on going to go up. we want to get as quickly as possible where the only product is 100 percent renewable energy or have different types of 100

renewable so that is long term or medium goals. >> commissioner crews. >> thank you so much. thank you for mr. herns and shin for your information and sharing that with me. i don't want to get too in the weeds but excited to hear about next steps what is the communication plan look like? >> i did allude to some of the items earlier. we will partner with department of environment to do door to door on the grounds outreach. we have begin pivots to district 5 and 8 for enrollment and reached out to all the neighborhood groups and merchant groups to make sure we getoon their calendar for a presentationment . we also pert together had second round of enrollment notice. august is around the

corner so do that as well. we will be doing a little more advertising, potentially billboards and in the muni station. the first enrollment wasn't suited for that because it was so small and for commercial business but with residential customers there will be a lotplore customers so it will be suit today advrertising in the billboards and muni. we are working on all those items now and then because we also have a lit lt more time and elude to this before, prior to august, late june and throughout july there will be more flurry of actaveyty on social media and vieral campaigns to get people to sign up word of mouth which isologist effective. i was at the league of [inaudible] they were talking

about how word of mouth they told their friend and told someone and that is effective tool for super green sign ups. we are pivoting for the second outreach coming up and that will be a lot of activity. ioasked at the last meeting talking about how the supply is all local from the bay area and said we have something cooking and we did but two weeks later we had a mbc news story featuring siley wind project and our assistant went up and talked there and they were interviewed on camera and that story aired and featureed how the supply will be local so you can probably search for that on the mbc website. >> i have it recorded. >> very good. i wanted to

follow up- >> it was really great. with the more consumer targeted communications will we see then the idea of the super green super hero used, is that the goal? >> yes, we are looking at using that images, there are icons for or first enrollment mailer. we were still looking at that. one of the challenges with enrollment mailers is we have to translate the terms and conditions into 4 different languages and that presents a bit of a mailer and information challenge so we want to use the super green super hero much more as we do more advertising so think you will see a lut more of that. >> thank you so much. >> thank you. >> jason fried executive

officer for lafco. to add what they were talking about for those that want the [inaudible] i have them. i will be at the harvey milk birthday celebration sunday put on harvey milk democratic club and more people wim have these for people that already signed up and you can pick it up there or find ways to get those that already signed up but those are mainly for those looking for super green. that is quhie i left one at each of your desks because you aurltd signed up. for those that don't sign up for super green we will have for the green. go to clean powersf.org/enroll and enroll now. outside the marketing stuff i have been helping with, lafco did a job analysis of what jobs look like. we did the [inaudible] report talking about the ability to create thousands of

jobs with the launch of a program. some asked we are launching the jobs where are all the jobs and took a step back and said the 9,000 jobs was over a 20 or 30 year window and are not all created on day one. what is san franciscos programs looking at and what did the other programs look at? specifically on the construction side. how quickly did they get to their first projects built. what you find is the two bay area cca programs marin and sonoma on dione didn't have the project said built. a lot of other factors involve-sonoma got there quickly. lancaster got there quick but it sin the hot spot of solar. they can produce the best quality solar

at the cheapest price, much better than the bay area. they have a much lower exist fee. they don't belong to pg & e and are in southern cam edison so they have advantages over the bay area, cca. the report looked and shows there are jobs that get created out of laurching a program and looked at the future potential as we ramp up and add more customers. how do we do that. we did the anal iss in the report and if you have questions i can answer it otherwise i'll leave it at that. >> great. thank you. questions from here? thank you for your presentations and your work and analysis. appreciate it and we'll go to public comment. any member like to comment sxh forward and we'll do fwo minutes per person. >> hello. [inaudible] 350 sf.

thank you to staff for all the work and worked with them a couple time at sundray streets to try to sign people up. if you google clean powersf stop the shell shock was the first thing to come up and now it isn't on the first page but the things that do come up with clean powersf website and wikipedia entry which was written by stop the shell shock and i commandeered and rewrote and reedit until they gave up. i check td now, it is updated by someone with sane information but still not asf last fall. i think the puc should watch the wikipedia page. [inaudible] 1245 can go and

write whatever they want and they used to. looking at the website it is a bunch of blocks. i think as we make this more consumer facing we may want to make the clean powersf branded a little differently than just the puc header with different content. really the thing i want to harp on the most is increasing the speed of phasing this in city wide and definitely talked to them about it and puc commission, but ultimately when we look at silicon valley and the peninsula they are phasing in their entire load in 18 months to 2 years and we are talking about taking a lot longer than that. punenz luis doing a third at a time so start with well more than our first two phases will add up to. i know there is-we have to buy the power but we have the customers and know that we won't get opt out more than we are

buying power so just like to ask we do what we can. >> thank you very much. any other member of the public like to comment? seeing none, we'll close public comment. i think our website is really critical the next few months so we can see how we can measure what is working along the way and make updates, that will be great. next item, please. >> item 4, final report on the stid oon what the city and county of san francisco can do to help increase voter turnout. >> jason fried execive office. we did a presentation last month on the draft report and received comments back and made edits. most of the edits are technical in nature. there were two

areas where we did addition to had report itself. when i say addition i talk like a paragraph or two. on the vote by mail section we didn't discussialo county, they did do a vote by mail. something similar san mateo so added information about that and we did do there was a piece of legislation that was introduced at the legislative level we mentioned at the last meeting but not in the report done by assimbly member david chew. the rest is basically the same. it is good solid report. what i request from had commission is accept and file and i would consider that report at that point done and we move on to other projects at that point. >> great, very good. we do have mentioned around vote 16.

>> yes, vote 16 is in there. vote 16 is mentioned in there. there are a lot of steps before that comes to realty though. >> that is great and great to see the presentation from youth commission and young people part the youth academy. they frame was around increasing turnout and consistent voting. okay, we go to public comment. any member like to comment? seeing none, we'll close public comment and this is accept the report? do we need a vote on that? >> mr. chair, before you take a vote, you may need to resend the vote to exkoos commissioner mar. >> we have been joined by commissioner mar and so let rr do this one and we'll resend the vote on the previous one. commissioner crews. >> i'm sorry. i just want to

have a opportunity to look at the vote 16 section before we accept the report. is there any way we can wait until the next meeting? >> okay. >> i'm sorry. >> we did public comment so we'll move on to-we can resend the vote on our minutes? number 2? >> yes. >> so, motion to resend from commissioner crews. we want to have--commissioner mar. >> yes, please. thauchck.

>> if we extend it for a year and decided half way through the year you want to change legal service we can do that. that right is always the commissions right to do. there is also one additional thing the law firm is requesting, they request increase of $10 per hour for each staff. you will see in the exhibit a new rate schedule for the staff that work for us. i have done research and analysis, we are at the high end of what legal services are paid for other lafcos in the bay area, we are not far outside oof it and if we throw that on top of what we were paying this year for legal service we are talking $500 more for the

entire year, so it isn't that much more. we haven't had a raise in a couple years so it would be up to the the commission to decide if you want to give that raise, i have no objection to dpooing the raise and want to see us extend the contract. i believe this provides a lot of services we need and should have. i leave it up to you if you have discussion for the contract itself. >> thank you and thank you for doing background work to compare two other cca councils. i'm okay with the increase and like to extend the contract so in favor so want to vocalize that. open tupe public comment. seeing nin close public comment. this is live before us. commissioner campos. >> make a motion to approve the extension of the contract with

the acceptance of increase described by executive officer. >> seconded by commissioner mar and take that colleagues without objection. our next items. >> item 6, executive officers report. >> at this point i don't have anything new to report so i'll yooyield to the committee. >> very good. we'll open up for public comment. any member who has anything to say to us about the executive officer please come forward. okay. we'll close public comment and go to our next item. >> item number 7, public comment. >> now is the time for anyone to say anything they want to us. >> [inaudible] commissioners. the [inaudible] joyfully of good

deeds to express [inaudible] and good capabilities to project health and heart to maintain the will of aspirations to abide by ones [inaudible] ultimate sincerety and true thoughts. [inaudible] good family order in

management of the nation humanity and [inaudible] peace and wellness for [inaudible] society and rescue of the people. [inaudible] holyness to make true benefits for others of wellbeing for all matters. thank you. >> thank you. any other member of the public who would like to comment? seeing none close public comment and move to our next item. >> item 8, future agenda items. >> anything to add for future ajendsa items? we will have public comment on future ajendsa items and seeing no member we'll close public comment. our next item. >> item 9, adjournment. >> colleagues we are adjourned

have a great weekend and thank you for coming today. [meeting adjourned]

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>> good morning and welcome to san francisco board of supervises budget and finance committee meeting for may 25, 2016. i'm mark farrell and clar and joined by supervisor katy tang as well as jane kim. we will be joined by norman yee and scott wiener.

want to thank lichbda wong and jessie [inaudible] charles kremenak from sfgtv. >> silence cell phones and leck trainic devices. documents should be submit today the clerk. items will appear on june 7, board of supervises agenda unless otherwise stated. >> colleagues we have a lengthy ajendsa. >> item 1, resolution approving agreement between state and city combined city project including pedestrian safety, transit impruchbments andue fillty upgrades. >> shannon karen from san francisco public works. i'm here to seek approval for public works to intr into agreement can caltrans to 19th

avenue. this project features pedestrian and transit curb extensions as well as water and sewer infrastructure improvements. the project extends along 19th avenue which is state route 1 from [inaudible] to lincoln way. the agreement is prerequisite for caltrans. the agreement specifies the responsibility of the city and caltrans in executing the project. the city is the implementing agency fraall phases of the project. caltrans is responsible for providing quality assurance and permit after accepting the plans, specifications and estimate package, the right of way certification, fundsing certification. no funds are exchanged. public works order march 21, 2015 dweckter of public work recommends approve the

agreement to sign the agreement on behalf of the city. happy to answer any questions. >> thank you very much. any questions. moouv to pub lic comment. anybody wish to comment on item 1? seeing none, public comment is closed >> like to send iletm 1 to full board with positive recommendation >> motion by supervisor tang and second by supervisor kim without objection. >> item 2 resolution approving the one permanent easement to mu deso for $35 thousand paid by jwgmic heny to bide nl a portion of mchenry avenue. >> thank you very much. >> good morning. my name is tony borto the assistant real estate director of san francisco public utilities commission. the action before you have is a resolution a easement to

modesto paid by jwg mchenry. in addition the resolution also reflects adoption of several funings include ceqa findings, a findsing the conveyance and respect to code 23.3 the find thofg sale of ineasement through a competitive bidding prauls is impractical. the resolution authorizes the director of property or general manager to execute and modify agreements in furtherance of this resolution. i want to just-there is-qul i have a drawing that

shows what we are talking about. this is mchenry avenue in modesto. these lines here mark the puc's right of way boundaries. under subservice the puc has 3 high pressure water lines and under ground voltage lines. the area is in question is the squiggling box. it is the area the developer needs to expand and widen mchenry avenue. when the city of modesto approved this development which is here and here, they required the developer to widen mchenry avenue. they need a little of our right of way to widen the highway. sfpuc staff and caltrans and modesto reviewed and approved the plan for street

improvements includes a subsurface bridge to protect the pipeline. july 14, 2015 the san francisco public utilities commission authorize said agreement for the sale of the easement. modesto city manager executed this agroument and the city of mu odesto accepted the improvements and an agreement with caltrans. jwg mchenry provided an appraisal dated in 2014 and updated june 4, 2016 fair market value at $35 thousand. the appraisal was approved by the cities director of real propertyment we ask the board to adopt this resolution and the related findings. >> thank you very much. colleagues, any questions for the puc?

okay, seeing none move to public comment. anyone wish to comment on item 2? seeing none, public comment is closed. entertain a motion? >> move with positive recommendation to full board. >> motion by supervisor yee and second by supervisor tang and take that without objection. >> item 3 resolution [inaudible] authorizing the director of mayors office of housing [inaudible] allocation committee to permit the revenue baunz in a principle amount not to exceed $50 million 455 fell street. item 4, [inaudible] no cost for aumgz of 6 months until december 31, 20s 17. &thank you >> don lusty, senior project

manager. before you today are two resolution related to financing and ground lease for new 100 percent affordable fomly housing development located at 455 fell street also known as central freeway parcel o in hayes valley. the first resolution is bonds [inaudible] authorizing the city to submit a application for bond financing not to exceed $56 million used for construction financing. the second resolution authorizes the city to enter into ground lease where the project is built. provides the terms for ground lease that includes 75 year lease term with extension option for additional 24 years annual rent of 10 percent of fair market value determined by a third party appraisal with annual

base rent payments structured as $15 thousand annually and the balance payable to the extent proceeds a available from project cash flows. approval of both resolutions is required for the [inaudible] bond application [inaudible] june 14, it is important to note the baunz are financing obligations which don't require the city to place any money to repay the bond. briefly, the project will be located at 455 fell as i mentioned earlier. will be a new 100 percent affordal rental housing development in san francisco hayes valley neighborhood to be financed with tax ex. bonds 4 percent tax credits and [inaudible] state department of housing and community development and [inaudible] funds from the federal home loan bank,

a permanent mortjudge and funding from the city. the development will consist of 180 family units earning betwoot 40 and scith percent of ami included a 30 percent set aside for formally homeless families. to be built on the largest remaining freeway parcel, the project is owned by mercy housing and san francisco housing development corporation and include 1200 square feet of retail space on the ground floor, a large central landsscape court yard, roof top open space, community garden, office space for supportive service and on site daycare. provide housing for low income families and formally homeless. we are available to answer questions. >> thank you very much. any questions on 3 or 4? we move to public

comment. anybody wish to comment? seeing none, public comment is closed. >> like to make a motion to send item 3 and 4 for positive recommendation >> we take that without objection. >> item 5, resolution declaring intent the city to [inaudible] directorf mayors office of housing and community development to submit application to allocation committee to permit issuance of moorejudge revenue bond not to exseat $140 million for 2070 folsom street. item 7, [inaudible] locate td at 2070 folsom street >> thank you very much. mayors office of housing and community

development is back. >> good morning supervisors. i am ann romarrow project manager. i will present resolutions related to financing and option to ground lease of family housing development in the mission located near 17th and folsom street. the first is tax exempt bond which authorizes the silty to submit for bond finances in a amount not to exceed $140 million. the second resolution authorizes the city to enter into ground lease with city owned parcel where the project will be built. mission economic development agency and chinatown community development were selected to develop the city and it is ideal for housing, it faces south to a park under construction on

17th and folsom. the project includes up to 139 units of affordable housing over ground floor using facing the park and include 20 percent set aside for homeless or at risk transitional age use. also includes a hub on the ground floor that include license childcare and youth after school programs and services, leadership programs and ground floor cafe with public restrooms. we request approval to authorize the skity to apply for the bond allocation and will return to the board to request-issue the bonds in late 2017 when the project is ready for construction. the bonds a conduit finances only. apply to the the bond allocation the developer must demonstrate site control which is achieved by a option to ground lease the site. the option leads to

the ground lease with standard city terms. that is the term of 75 years with extension option for additional 24 years and annual rent of 10 percent of fair market value with base rent in the amount of $15,000 a year. the project will provide needed affordable housing for families and homeless transitional age youth in the mission with ground floor uses and recommend approval. we have representatives from the sponsor here if and center questions for them. >> thank you. colleagues, any questions? okay. seeing none open up to public comment. public comment is closed. motion to send the item forward? >> motion to pass to full board. >> motion by supervisor yee and second by supervisor tang. >> item 7, resolution declaring

intent of the city to expenditures from proceeds of future bond indetedness and mayors office of housing and community development to submit a application to california debt limit allocation committee to permit the issuance of rez sidential bond not to exceed $225 million. item 8, declaring intent of the city to [inaudible] submit a application to the california debt limit allocation city to permit the issuance of residential bond in amount not to exceed $240 million for 1601 mariposa street. >> thank you very much. >> good morning, my name is adam cray and bond program manager for housing and community development. here to present resolutions for two

affordable housing projects. these resolutions authorize the city submit a application to california debt limit allocation committee. when bonds are authorized they will be issued as conduit debt and nolt require the city to pledge funds to repay of the bonds. the first project 5th and howard consist of 263 below market rate units and 100 percent affordable and mixed income building located at 921 howard street. the below market rates units serve those not earning more than 50 percent ami. the second project, will be 299 one unit mixed income project located at 1601 mariposa. 60 units serve very low income house holds and a portion will be reserved for houses earning no more

than 40 percent of ami and the balance is reserved for those earning no more than 50 percent ami. both of the projects the sponsors plan to submit an application to the california debt limit allocation within 4 weeks. here is representatives fraup tenderloin development and [inaudible] on behalf of the sponsors like to thank you for the consideration and look forward to your support for the very important projects. >> thank you very much. any question for staff on 7 or 8? we move to public comment? anybody wish to comment? seeing none, public comment is closed. >> motion to move forward item 7 and 8 to full board with positive recommendation. >> motion by supervisor tang and take that without objection. >> is there a second?

>> second by supervisor yee without objection. >> with that, call item number 9 please. >> hearing on the cities financial position and requesting the mayors budget director and budget and legislative analyst and controller to report. >> okay, thank you very much. this is a item colleagues we have as a standing item and don't have anything to work on this week so we will continue this. continue to the call of the chair but will take public comment. anyone wish to comment? seeing none, public comment is closed. motion by supervisor tang and second by supervisor yee without objection. we will do a few out of order, calls item 12-14. >> item 12, ordinance appropriating $207 million to mta for transportation projects and equipment. 13, resolution authorizing the sale issuance and execution of one or more series

mta revenue bonds in amount not to exceed $207 million. item number 14, ordinance appropriating approximately $6 million oo support planning design and outreach for capital improvement projethwith golden state warrior [inaudible] >> thank you very much. we have [inaudible] >> good morning, thank you for hearing these 3 items. item 12 and 13 are related to the next sear as of revenue bonds which we are seeking approval of the ordinance and resolution. we propose to seek approval of $190 million fund, light-rail vehicle procurement and [inaudible] mission bay capital improvement. the fund is $190 million and 1070 mill ynl for

light-rail, 48 million for van ness bart and [inaudible] capital improvements. the light-rail vehicle is one of our largest projects and we vavariety of funding sources to help fund the new light-rail vehicles. the revenue bonds are a portion of the funding sources and same is true of van nessbert projth. i want to thank you debia newman from budget analyst, did a great job summarizing the bonds. don't want to bore you details s, so if you have questions happy to answer them. >> any questions right now? okay, mr. rose can we go to your reports, please? >> yes, mr. chairman and members. on page 7 of our report we report that the estimated total debt service over 30 years is approximately-i'm on

item 12-the debt services is 385.4 million of which 178.4 is interest and 207 million principle. the bonds will add between 11 million to 16 million in debt service. on page 8, we note that the sfmta will repay the bonds from gross annual revenues which total 626 million312 thousand in 15-16 and that is table 7 on page 8 of the report. we recommend you approve the proposed resolution and ordinance. regarding item 14 , on page 13 of our report we

note that according to the controllers office when the warriors purchased the 11 acres from sales force in 2015 the sales transaction generated 3, -that results in 3 million 50 thousand to mission bay fund. $350 thousand for sfmta increased base line for total $3.4 million so that one time transfer provides the source of revenues, 3.4 million for appropriation for arena capital improvement for fy 15-16 and that is shown on table 1 of

page 5 the report. sales tax and gross receipts tax totaling approximately 2, $310 thousand are projected to be generated for construction the warriors areney in fy 17-18. $270 thousand is base line allocation from the sales and gross receipts tax revenues. provide a total source of revenues [inaudible] and again that is shown on table 1. all of the revenues in the supplemental if they are not generated by warriors sale tax and gross receipts tax is the city general fund would fund a difference so want to note that is a possibility. on page 14 of our report, over 5

year period as shown in table 2 on that page 14, even with the anticipatedgeneral funds contributions to transfer taxes and construction gross receipts taxes and sales taxes, the sfmta will face a revenue shortfall of 34, 508, 573. sfmta anticipates funding the sort fall through revenue bonds and that was the prior item that we just reviewed. as shown in file 6604 and 160465. request approval not to exceed [inaudible] which includes 35 million of mission bay transportation capital improvement. the $35 million in the prior

item would funds this $34.5 million projected shortfall. we note according to the the report from the direct of transportation, sfmta will be able to deliver transit service to the the warriors project, sfmta can not guarantee future finding for the transit service to the warriors project. accord toog the director of transportation, sfmta supports the warrior project understanding the city, golden state warriors and sfmta don't expect adverse impact associated with implementing the transit service plan and capital investment to support the warriors project and recommend you approve the ord nnss. >> thank you. any questions on

items 12-14. seeing none we will open to public comment. anybody wish to comment on items 12-14? seeing none public comment is closed. any questions or comments at this time? >> like to the make a motion to send forth 12-14 to full board with positive recommendation. >> motion by supervisor tang and second by supervisor kim and take that without objection. item 10 and 11. >> item 10, budget and appropriation ordinance appropriating all estimates received and estimates expenditures for departments as och may 2, 2016. item 11, annual salary ordinance proposed budget and appropriation ordinance for selected department as of may 2, 2016 for fy 2016-17 and 2017 to 18.

>> colleagues these are departmental budgets we started to hear. we will go through a number of them now and start with department of environment. we will not do that. we will move on. is retirement here? jake huish? come on up. mr. rose, we want to go to your report? >> why don't you let the department go first and we'll comment. >> good morning. pleasure to be back here. we have reached agreement with the budget analyst office related to adjustments they are recommending to this committee on department budget and would like to take the opportunity to thank the committee as well as budget analyst office and mayors budget office for supporting the budget for us to fulfill or mission and with

that, happy to answer question. >> thank you very much. >> mr. chairman and members, now i'm referring to the separate budget analysis report on the budget. on page 42 of the report we note that our recommended reduction to the budget total 616, 503. still low a increase of of 6.5 percent in fy 16-17 budget. the budget total 576, 097 in 17-18. the reduction uzalone increase of 161, 335 or 6/10 of a percent. the department concurs with our reductions which is shown on pages 43 and 44 of our report. glad to answer any questions.

>> thank you mr. rose. colleagues any questions for mr. rose or huish? thank you very much. colleagues can i entertain a motion to assessment these budget analyst recommendations pending public comment? >> so moved. >> motion by supervisor tang and second by supervisor yee. we take that without objection. i want to make sure as we start budget season this is the first one we do this appropriately or is there another method? >> john gibbener, today we take comment on item 10 and 11 and recommend the committee take the motions but not vote on them until after public comment and when public comment is done adopt. >> okay. fair enough. madam clerk motion to resend the previous- >> motion to resend. >> motion by sfr visor tang and se