rosenfield, we actually do this in june. >> that would be my discussion. >> and maybe in the meantime we can work together to find out what the actual numbers would be, and what a program like that would look like. >> absolutely. >> supervisor cohen: thank you. i told you, everyone is living for june 1st. june 1st. ok. hi, sf govtv. let's get this, keep this moving. one more item to hear. actions and items and recommendations we have heard. public comment on items this 1-3, let's take public comment on items 8-13. 8-13, if anyone would like to speak on these. seeing none, public comment is closed. all right. and --

>> supervisor yee: motion to amend as recommended by b.l.a. for all of these items. >> supervisor cohen: let me help you out here. accept supervisor yee's motion, add some clarity to it. we are going to amend for the, items 2 and 3, i would like to table item 1. ok. >> supervisor yee: actually, i was referring to items 8, 9, 10, 11, 12, 13. and i guess there was some recommendations for amendments, i'm just making a motion to accept those amendments. >> supervisor cohen: ok. we'll take that. >> clerk: the amendments regarding items 11, 12, and 13. in which the b.l.a. made recommendations to accept those items. >> supervisor cohen: that's what supervisor yee said and take it without objection. second by supervisor cohen, and without objection. any other motions or any other actions that you guys would like to take?

>> supervisor yee: we have to make a motion to pass these items as amended. >> supervisor cohen: we do need to do that. also, if i'm not mistaken, mr. clerk, table item 1. >> clerk: i believe just taking the sfpc action, i believe it would be a motion to recommend items 8, 9, and 10. and to recommend items 11, 12, and 13 as amended. >> supervisor cohen: all right, thank you. supervisor yee, i understand that's exactly what you said. >> supervisor yee: yes. >> supervisor cohen: supervisor yee made the motion, stefani seconded. >> clerk: adopted with supervisor sheehy not at the meeting. item 7, a hearing on the

controller's nine-month budget status report for fiscal years 2017-18 and requesting the office of controller and the mayor's office of budget to report. >> supervisor cohen: thank you. mr. rosenfield. >> we can present on the nine-month report. i would suggest procedurally you probably on items 2 and 3, want to accept the budget analyst recommendations. >> supervisor cohen: that's what i was trying to do, but i was unsuccessful, so -- mr. clark. >> supervisor yee: i would like to make a motion to accept the b.l.a. recommendation for those amendments. for the items that were included in 2 and 3. >> supervisor cohen: awesome. i'll second that, and take it without objection. >> clerk: b.l.a. recommendations for items 2 and 3, have been accepted with supervisor sheehy being excused from today's meeting. and may i suggest, i believe it was proposed that these matters be referred to the july 17th

meeting of the full board. no? >> clerk: items 2 and 3, i think you want to continue them to the call of the chair to be combined with the june 1st budgets in front of you. and then item one can be tabled at this point by the committee. >> that is right. >> clerk: items 2 and 3, those have been amended. and i believe the motion now is to continue those matters to the call of the chair. >> supervisor cohen: that is correct. and item 1 is a table item. a tabled item. >> clerk: yes, to be heard and filed. >> supervisor cohen: great. now, we will hear from item 7. >> clerk: item 7 has been called. >> supervisors as you know, our office issues periodic updates on how the city is performing against the budget you adopt each year, and so a few weeks ago we issued our last rejection report for the fiscal year we are ending.

we call it the nine-month report. it's available on our website. you have copies in front of you and i have some on the stand next to me. i'll be very brief in hitting highlights from the report and take any questions you have. at a high level, the -- our most recent projection indicates the city's general fund will end with approximately $94 million more than we did in our six-month report. so, a significant improvement versus our last projection. the vast majority of this is related to good news in the department of public health. that's being driven by both patient revenue and a very significant and large one-time, $39 million payment associated with how affordable care act money flows to the city from the federal government. we have got, i'll hit some other revenue highlights in a minute. but tax revenues are performing well, only modestly ahead of our

prior projection. additionally, in terms of department spending, generally in line with the six-month mark, one exception. police department has had a series of very large worker's comp cases that have driven their worker's comp costs up significantly, since the six-month mark. our projections are require about a $5 million reappropriation of other savings in the budget to cover this overage. i think will you likely see that coming in the near term. so, those are a few of the highlights from the report. obviously a lot more here, and i'll talk through some of them in a minute. big picture, $94 million improving balance at the end of the year, the typical practice of the city is take that and push down the projected deficit. if we do that, $137 million shortfall we projected, the three offices projected, just a few months ago, would climb to

about 43 million. so, significant reduction in the projected shortfall and additionally, our office will now update projected taxes into the new year's, and i would expect, given the growth in the current year now, the updated tax forecast, included in the mayor's june 1st budget, more likely to offset the remaining $37 million gap. so, this is showing some of the key components versus our last projection, and where you see surpluses and deficits, versus that time. you can see the vast majority of the improvement of 94 million is being driven by department operations. that $84 million improvement again the vast majority of that driven by the department of public health and good news we are seeing there. tax revenues, city-wide revenue surplus of 21.4 million, and then a host of other smaller up and down.

[please stand by].

>> this is easily our most volatile revenue in the city. it's paid at the moment properties change hands and given the -- given the changes the voters have adopted, we have higher rates that becomes a key driver of what the tax looks like. and the rate at which those changed hands is very uneven. you can see here what that performance looked like in recent years. and you can see how jagged and volatile this tax can be. in '08-'09 at the beginning of the last recession, we had a year that we received $50 million for an entire year. and you can see the improvement we've seen since then, largely

driven by both rate increases and more transactions of downtown office, hotels, and other large commercial properties. there were times in '16-'17 where in a single month we received more transfer month than we did in the entirety of '08-'09. so we've had a remarkable run-up. you can see we hit a peak of $400 million last fiscal year. and now you can see how far we've fallen off from that peak in the current year. now we're estimating $257 million in transfer tax for the current year. that's $150 million loss versus the prior year, which was that extraordinary peak, and it's being driven by the pace that commercial properties trade hands. >> supervisor ye >> supervisor yee: can i ask a follow-up question. i guess transfer taxes are more

unpredictable but i'm surprised for the property tax, i would have thought it would be a little more predictable. it's good that we have more money, but i'm surprised that we're that off in terms of estimating it. >> so what's been driving property tax, which is definitely more stable than transfer tax, the improvement we've seen is the rate by which the assessor's office has worked through their prior year bills. so we've had a remarkable amount of property changing hands in the city. all of that property needs to be assessed by the assessor's office and it adds it to the roll going forward. so there's been a backlog of property tax bills to be worked. this has been true in the city for many years. and what's driving that passenger, the assessor's office is working through the backlog more quickly than we've expected. so that's adding more money to

the roll than what we expected than what we thought to be the case. >> supervisor yee: kudos to the assessor. >> i agree. i will note where we'll end the current fiscal year on transfer tax and into the fiscal year is a key tax for us. the good news in revenues drives improvements to our baseline contributions. so some of the improvement you're seeing here in taxes is driving smaller increases or improvements to the transfers that were required to send to the m.t.a., the library, the schools, children, open space, and other funds. and there are more details about the specific values for these in terms of department operations, this is showing you a summary of both revenues and uses for our largest departments. again, there is much more detail

in the report itself. the number that sticks out on this page is $80.5 million for the department of public health, which is what is driving the bottom line improvement of $84 million. of that $80 million, it represents a $48 million improvement from our projection just three months ago. and almost the entirety of that improvement or $39 million of that change is being driven by a large, one-time payment we've received associated with the aca expansion population that the federal government has modified the timing of how the payments occur. rather than receiving one payment this year, we actually received two payments this year. and that will not occur in the future, but for this year, it's two payments and that single act drives a $39 million variance.

there's a lot more information in the point, but i know you've had a long meeting. this is a good news report, again, being driven by the department of public health. it substantially reduces the deficit for the fiscal year. now we're 10 months through the fiscal year, so we're more comfortable with -- we're projecting a shorter window to arrive at these numbers there. is so uncertainty with in particular transfer tax and volatility at the general hospital. and other things are creating uncertainty when it comes to public health revenues. and our next update from our office will be what we call the revenue letter, which is our commentary following the mayor's budget in early june regarding the revenue assumptions in the coming two years. with that, i'm happy to answer

any questions you might have. >> supervisor cohen: thank you. you answered my question about transfer tax. also answered the question that i had around the volatility around zuckerberg general, and that has to do with the cost of service. we have more people accessing department of public health resources than anticipated. is that what it was? >> public health revenues in the current year have outperformed the budget, if we look back to the original budgets today. and it's being driven by a number of things. a census at the general hospital that's higher than budgeted. more patients mean more payers. the coverage ratio of those that have insurance versus those that don't is continuing, which is a multiyear trend. so the hospital is receiving more revenue, and some of that is associated with the aca as

well. and in this report, you have a very large, one-time payment, which is from the federal government associated with the medical association. so those are the drivers in the variance. >> supervisor cohen: thank you. do you have any questions for the controller? all right. thank you i have much. -- thank you very much. let's take public comment on item 7. any member of the public that would like to comment on item 7, controller's nine-month budget status report. seeing none, public comment is closed. thank you for your presentation. is there an action on this? can i get a motion to -- supervisor yee or stefani. supervisor stefani made a hearing to file this hearing as heard, seconded by yee. we're taking it without action. is there any other business before this body? >> clerk: that completes the agenda for today. >> supervisor cohen: thank you.

we are adjourned.

>> my name is amanda [inaudible] over see the girls sports program. when i came to san francisco and studied recreation and parks and towerism and after i graduated i moved to candlestick park and grain r gain adlot of experience work with the san francisco 49 and [inaudible] be

agfemale in a vore sports dynamic facility. i coached volo ball on the side and as candle stick closed down the city had me move in92 too [inaudible] >> immediate interaction and response when you work with kids. i think that is what drives other people to do this. what drew me to come to [inaudible] to begin with for me to stay. i use today work in advertising as a media buyer and it wasn't fulfilling enough and i found a opportunity to be a writing coach. the moment [inaudible] you to take advantage of how you change and inspire a child by the words you say and actions you do. >> you have a 30 different programs for girls through rec

and park and fast ball, soft ball and volley ball. i started the first volley ball league and very proud what i have done with that. being a leader for girls is passion and showing to be confident and being ambiggish and strong person. [inaudible] for about 5 years. programs offered thraw thirty-three rec and park and oversee thg prms about a year. other than the programs we offer we offer summer camp squz do [inaudible] during the summer and that is something i wherei have been able to shine in my role. >> couple years we started the civic center socking league and what an amazing opportunity it was and is it for kid in the neighborhood who come together every friday in the civic center plaza on green grass to run and play. you otonly see

soccer and poetry but also see books t. is a really promoting literacy to our kid and giving them to tools to make it work at home. real fortunate to see the [inaudible] grow. >> girls get pressureed with society and i know that is obvious, but we see it every day, magazines, commercials the idea what a woman should look like but i like to be a strong female role for it goals that play sports because a lot of times they don't see someone strong in a female role with something connected with sports and athleticism and i love i can bring that to the table. >> soccer, poetry, community service. we now have field of dreams. we are [inaudible] all over the bay area and excited to be share our mission with other schools across the bay to really build the confidence and character of kids when they go

out to play and close their eyes and think, why was [inaudible] we want to make sure-i want to make sure they remember me and remember the other folks who [inaudible] >> get out there and do it. who cares about what anybody else says. there will be poopal people that come up and want to wreck your ideas. that happen today eme when i went to candle stick part and wanted to [inaudible] people told me no left and right. whether you go out for something you are passionate about our something you want to grow in and feel people will say no. go out and get it done. i can be the strong leader female and i love that.

>> i love teaching. it is such an exhilarating experience when people began to feel their own creativity. >> this really is a place where all people can come and take a class and fill part of the community. this is very enriching as an artist. a lot of folks take these classes and take their digital imagery and turn it into negatives. >> there are not many black and white darkrooms available anymore. that is a really big draw. >> this is a signature piece.

this is the bill largest darkroom in the u.s.. >> there are a lot of people that want to get into that dark room. >> i think it is the heart of this place. you feel it when you come in. >> the people who just started taking pictures, so this is really an intersection for many generations of photographers and this is a great place to learn because if you need people from different areas and also everyone who works here is working in photography.

>> we get to build the community here. this is different. first of all, this is a great location. it is in a less-populated area. >> of lot of people come here just so that they can participate in this program. it is a great opportunity for people who have a little bit of photographic experience. the people have a lot, they can really come together and share a love and a passion. >> we offer everything from traditional black and white darkrooms to learning how to process your first roll of film.

we offer classes and workshops in digital camera, digital printing. we offer classes basically in the shooting, ton the town at night, treasure island. there is a way for the programs exploring everyone who would like to spend the day on this program. >> hello, my name is jennifer. >> my name is simone. we are going on a field trip to take pictures up the hill. >> c'mon, c'mon, c'mon. >> actually, i have been here a

lot. i have never looked closely enough to see everything. now, i get to take pictures. >> we want to try to get them to be more creative with it. we let them to be free with them but at the same time, we give them a little bit of direction. >> you can focus in here. >> that was cool. >> if you see that? >> behind the city, behind the houses, behind those hills. the see any more hills? >> these kids are wonderful. they get to explore, they get to see different things. >> we let them explore a little bit.

they get their best. if their parents ever ask, we can learn -- they can say that they learned about the depth of field or the rule of thirds or that the shadows can give a good contrast. some of the things they come up with are fantastic. that is what we're trying to encourage. these kids can bring up the creativity and also the love for photography. >> a lot of people come into my classes and they don't feel like they really are creative and through the process of working and showing them and giving them some tips and ideas. >> this is kind of the best kept secret. you should come on and take a class.

we have orientations on most saturdays. this is a really wonderful location and is the real jewel to the community. >> ready to develop your photography skills? the harvey milk photo center focuses on adult classes. and saturday workshops expose youth and adults to photography classes. - >> shop & dine in the 49 promotes local businesses and challenges resident to do their showing up and dining within the 49 square miles of san francisco by supporting local services within the neighborhood we help san francisco remain unique successful and vibrant so where will you shop & dine in the 49 san francisco owes must of the charm to the unique

characterization of each corridor has a distinction permanent our neighbors are the economic engine of the city. >> if we could a afford the lot by these we'll not to have the kind of store in the future the kids will eat from some restaurants chinatown has phobia one of the best the most unique neighborhood shopping areas of san francisco. >> chinatown is one of the oldest chinatown in the state we need to be able allergies the people and that's the reason chinatown is showing more of the people will the traditional thepg. >> north beach is i know one

of the last little italian community. >> one of the last neighborhood that hadn't changed a whole lot and san francisco community so strong and the sense of partnership with businesses as well and i just love north beach community old school italian comfort and love that is what italians are all about we need people to come here and shop here so we can keep this going not only us but, of course, everything else in the community i think local businesses the small ones and coffee shops are unique in their own way that is the characteristic of the neighborhood i peace officer prefer it is local character you have to support them.

>> really notice the port this community we really need to kind of really shop locally and support the communityly live in it is more economic for people to survive here. >> i came down to treasure island to look for a we've got a long ways to go. ring i just got married and didn't want something on line i've met artists and local business owners they need money to go out and shop this is important to short them i think you get better things. >> definitely supporting the local community always good is it interesting to find things i never knew existed or see that

that way. >> i think that is really great that san francisco seize the vails of small business and creates the shop & dine in the 49 to support businesses make people all the residents and visitors realize had cool things are made and produced in san

>> hi everybody, we down here at the /ep is a center which is our pop up space down here in san francisco where we operate a store front to educate the policy from the home owner who has center which is our pop up space down here in san francisco where we operate a store front to educate the policy from the home owner who has never done anything in the house to the most advanced structure engineers we have working around here. we we're going to here from kelly to talk a little bit about san francisco. how are you doing kelly? >> very well, thank you for having us here. >> in front of us, we have a typical soft story building. when i see this, i think this is some of the most beautiful architecture our city has. a lot of people don't know these are problematic buildings. why don't you tell us about some of the risks he we have in these buildings? >> soft stories are vulnerable in past earthquakes and the northridge earthquake to this type of building and character of building. when we talk about the soft story, what

we're talking about is generally a ground story that has less wall or other /pwraeugs to resist the lateral forces that might be imposed by the earthquake. so we're looking for something that is particularly weak or soft in this ground story. now, this is a wonderful example of what some of the residential buildings that are soft stories in san francisco look like. and the 1 thing that i would point out here is that the upper force of this building have residential units. they have not only a fair amount of wall around the exterior of the building but they also have very extensive walls in the interior and bathrooms and bedrooms and corridors and everything that has a certificate amount of brazing yea it's significantly less country /srabl in those stories. now very often, we get even a garage or storage or

sometimes commercial occupancy in this ground story. that very often not only has a whole lot less perimeter wall but it often has little or no wall on the interior. that wall is the earthquake bracing and so he see very significant bracing in the top floor and very little on the bottom. when the earthquake comes and hits, it tries to push that ground floor over and there's very little that keeps it from moving and degrading and eventually /paoerblly keeping it from a collapse occurring. so we know they're vulnerable because of this ground story collapsing >> is this only a problem we see in sentence france? san francisco? >> no, this is certainly a national problem. more acute in western but more up to california,

washington, moving out into other states. this kind of building exist and this kind of building is vulnerable. >> when you're involved with the community safety, this is a different way of thinking about these types of things. we had a community group of over 100 people involved and upper 1 of them. tell us about * how that conversation went. why did we decide as a city or a community to start fixing these types of buildings? >> there were a lot of aspects that were considered well beyond just the engineering answer that these are vulnerable. and that effort brought in a lot of people from different aspects of the community that looked at the importance of these buildings to the housing stock and the possible ramifications of losing this /houbgs in the case of an earthquake. the financial implications, the historic preserve vacation s implication as you mentioned, these are very handsome looking buildings that are

importance to the tourist city ask which make san francisco something that people are interested from outside in coming and visiting. >> it's such animation story when you think about the 10 years that the community spent talking about this /seurb but we actually did something about it. now we have an order unanimouses put in place to protect 100,000 residents in san francisco and retrospective in 2020. so on behalf of residents and employees in san francisco, we want to say thank you for the work you've done in pushing this forward and making people more aware of these issues. >> and it was a fantastic community effort. >> so in an earth quake, what happens in these kinds of buildings? >> what happens when an earthquake comes along is it moves the ground both horizontally and vertically. it's mostly the horizontal that we're

worried about. it starts moving the building back and forth and pushing on it. when you see i'm pushing on it, the upper stiff of the wall stay straight up but the lower floors, they actually collapse just like i did there. >> luckily, we can put this building right back up where it came from so it's a lot easier. now kelly, obviously these aren't real frame walls here but when you talk about buildings, what makes the property for stiff? >> the easiest and most cost-effective type of bracing you can put in is either put in a brand new wall or to potentially go in and strengthen a wall that's already there where you don't need to have an opening is where you maybe have a garage door or access to commercial space, you might go to a steel frame or other types of bracing systems that provides the strength and stiff if necessary but

at the same time, allows continued use of that area. but some combination of walls or frames or other tools that are in the tool kit that can bring the building up to the strength that's required in order to remove the vulnerability from the building so that when ground shaking comes, it in fact is a whole lot more resistant and less vulnerable. ideally, this story down here would be made as strong and stiff as the floors above. >> if i'm a property owner, what is the first thing i should do? >> the first thing you should do is find professional that can come in and help you evaluate your building in order to, 1, figure out that indeed it does need to be retro fitted and 2, give you some idea of what that retro fit might look like. and third, evaluation and design to help you determine the retro fit

requirement. >> well kelly, i can't thank you enough for being here today. thank you so much for your wealth of information on how we can take care of our soft story problem in san francisco. and you the viewer, if you have any questions, please feel free to visit our website >> supervisor cohen: looks like we are ready to