>> it's the best place to get answers to your questions about doing business in san francisco. the office of small business should be your first stop when you have questions about what to do next. you can find us online or

in-person here at city hall and all of our services are free of charge. the small business commission is the public official forum to voice your opinions and concerns about policies that effect the economic vitality of small businesses in san francisco. if you need assistance with small business matters, start here at office of small business. first item, please. >> clerk: item 1, call to order and roll call. >>[ roll call ] >> clerk: mr. president, you have a quorum. >> great. next item please. >> clerk: item 2, general public comment. allows members of the public to comment within the small business jurisdiction but not on

today cad der. new agenda ideas for the future discussion. >> do we have any members of public who want to bring up items not on today's agenda? not on today's agenda? is it something on today's agenda or not on today's agenda? that's an item. not on today's agenda. public comment closed. next item, please. >> >> clerk: approval of legacy business registry applications and resolutions. discussion and action item. the applicants are california wine merchant, creativity explored, great wall hardware, xia, the jug shop and bay view black newspaper. presenter is richard kari caril, legacy business manager.

>> good afternoon, president adams, commissioners, office of small business staff. sfgovtv, i have a power point presentation. before you today are six applications for your consideration for the businesses to be included on the legacy business registry. the applications were reviewed by me for completion then submitted to planning department staff on august 22nd for their review. historic preservation commission heard the applications on september 19th. and made a positive recommendation to the small business commission. for each applicant spc has been

provided a staff report, draft resolution, the application, a case report from planning department staff, and a resolution from the h. p.c. there are copies on the table for the public. item 3a is a wine store and wine bar that opened in 1974 in the marina neighborhood. shops long-standing tradition is to feature california wines, with an emphasis on high-quality, small production, emerging producers. in addition to pouring 50 wines by the glass, the shop hosts meet the winemaker testings, where guest winemakers come down and pour for customers, several of the wines they produce. they also have a quarterly wine club, in which members receive six different wines every quarter, along with detailed notes on the wines and the wineries that make them. item 3b is creativity explored.

the business is a non-profit organization founded in 1983 that provides artists with developmental disabilities the opportunity to become working artists and earn income from their art. the on site gallery in the mission provides professional exhibition space and hosts over 10,000 visor10,000 visitors eac. they develop their own voice and style and creating their work, allows the art to stand on its own and influence a broad social dialogue. item 3c is great wall hardware. the business was established in 1983. the store features over 20,000 items for sale, including electrical, garden, painting, plumbing, cleaning, hardware tools and lumber.

the inventory grows based on customers' requests and needs. great wall hardware is a family-owned business dedicated to excellent customer service and in-depth knowledge to help customers with projects. the business began as a flower stand named plant life in stone's town gala rea shopping mall and moved to the castro in 1983 where it flourished. they create arrangements that reflect the wonder of the natural world. from small to large arrangements art pieces. they blend tradition with innovation in designs. designs. it's known for its unique window displays. item 3a is the jug shop. business is a family-owned retail wine, beer and spirits store that opened in 1965 in the

knob hill neighborhood along polpolk street. it was founded on customer service, product selection and knowledge. the staff has experts in wine and peer and the store features weekly wine and beer tastings. the store features selections with hosted events including multiple food pairing tastings. the jug shop is open every day of the year except christmas. item 3f is san francisco bay view black newspaper. the business is an informational and educational newspaper that published it's first edition in 1976. founded by mohammad al-karim they report on the broad views of the concern that effect communities of color. the newspaper is free and distributed widely throughout

the neighborhood and beyond. it has an extensive sub description base of 3,000 subscribers, all of them incorporated in every state. with this large readership the newspaper serves snow squalls a significant family and community reintegration tool for formally incarcerated individuals. mr. al-kareem transferred the ownership in 1991 to mary and will radcliff. all six businesses received a positive recommendation from the historic preservation commission. after reviewing these applications and the recommendations from the h.p.c., staff finds the businesses have met the criteria to qualify for listings on the legacy business registry. there are six draft resolutions for consideration by the small business commission. one for each of the legacy business registry applicants. note that a motion in support of the businesses should be a motion in favor of the

resolutions. in the resolutions, please pay close attention to the core physical features or tradition that's define the business. once approved by the s. b.c., the businesses must maintain these physical features or traditions in order to remain on the legacy business registry. for california wine merchant the it's wine store and wine bar. for creative ti creativity expls artists with developmental disabilities. for great wall hardware it's hardware store. for ixia it's florist featuring sculpture arrangements. the jug shop is liquor store and for san francisco bay view black newspaper it's pu publication offering the black community. this is my presentation. i'm happy to answer questions. i believe there are business representatives who would like to speak on behalf of the application. >> do we have any members of the commission who would like to

make comments before we go to public. >> i have three speaker cards. tom temprano, michael priolo and linda johnson. >> hello, tom from the supervisor rafael mandelman. we are excited to be offer our businesses, first of what will be many legacy businesses come before you today. those two businesses are items number b and d that is creativity explored and ixia. i think rick already stated that the qualifications well but i wanted to sum ar ris summarize r nominations for you. since 1983, they have given artists with developmental disabilities the means to create

and share their work with the vulnerable residents. creativity explored launched 400 artist requests developmental abilities and they have earned a international scale. the they have a model worldwide in the field of art and disability. given their strong presence in the mission district and their commitment toed arts and the disability communities, we feel they would benefit strongly. ixia has been operating in the castro at 2331 market street since 1983 as well. providing unique sculpture floral to residents and visitors for 35 years and maintaining an artistic window displays. founded during the height of the aids crisis, ixia supports the community by donating floral arrangements to organizations like the san francisco aids foundation, meals on wheels, o. d.c. and the san francisco

housing development corporation. ixia is a successful long time business on a stretch of market street that has seen a large number of neighborhood businesses come and go. supporting businesses like these along our neighborhood commercial important and we believe strongly this business would benefit from addition to the legacy business registry. thank you for your consideration. >> thank you, next speaker, please. >> good afternoon, commissioners. my name is linda johnson. i'm the executive director at creativity explored. i want to thank you so much for considering our legacy business application today. as the other speakers have said, we're a non-profit art studio working with artists with developmental disabilities. we're celebrating our 35th year. we are honored to be considered.

we thank rick and symptom for theitom for theirtime and suppo. i'm here today to ask you as members of the commission to adopt a recommendation to improve our legacy business application. in doing so, supporting a community of artists with disabilities as they work to create art. our artist explored our nearing $1.7 million in revenue that they've earned from their art. the artist at c.e. are 100% individuals with low incomes who would ordinarily struggle to earn any income. so participation in our program can mean the difference between living on a fixed income and being able to go out and go on a vacation, do something extra with your family or just go out and buy a slice of pizza. we also support the

application -- it will help our exhibits and offer opportunities to engage with the public. as a result, our artists will create meaning of the art practices and they're recognized worldwide in the contemporary art world. and i encourage you to visits our mission district and petroro hill basis. thank you so much. >> thank you, nex. next speaker, please. >> hello commissioners. i'm michael, owner and operations manager at the jug shop in san francisco. i wanted to thank you all for your time and consideration today for our legacy business application. thank you, rick, for your time and efforts. also thank you to the u.s. f. students i worked with to complete the application. our business is in its 53rd year. we are loved by our community. we love our neighborhood. we served them for a long time. i feel this opportunity to be on

the legacy registry and some of the benefits that come with it will help us continue to be there to serve the community and keep it short. thank you very much for the consideration. i appreciate it. >> thank you. any other speakers who would like to speak on behalf of any of the legacy businesses? come on up. >> my name is willie radcliff. my wife, mary, is getting the paper out. i want to thank you for the community. we started at the bottom. we were in alaska when some of the kids up there were having some problems so we went to help them out. we've been helping people in prison out for all of that time.

i was in alaska for some 34 years. we always love san francisco since i was six. anyway, this is where i am and i want to thank you for the opportunity for us to be helped and join this program. we really thank you. it's a good program. we'd love to be part of it. anyway, thank you for in inviting us. we still out there kicking. i'm 86 and my wife is 79. we are getting on and moving on and we'd like to see the bay view continue, even after we're gone. thank you for i for in inviting. >> thank you, very much.

>> any other speakers? public comment is closed. do we have any commissioner comments? commissioner dooley. >> once again, a great roster of very deserving businesses. i want to particularly give a shout out to creativity explored, which is just an amazing, awesome place. i myself have bought art through throughout the years. what you do is just phenomenal. as a fellow florist, i have to do a shout out to ixia and say they've been there and they've done something unique. their signature flower arrangements are really quite amazing. once again, congratulations to all of you. >> ok.

commissioner zouzounis. >> yes, i echo that. great roster. i want to give a shout out to the jug shop. definitely one of those businesses that help support other small businesses and creates a community and merchant corridor. i love to see boutique liquor store, you know, holding its own and representing a community business in san francisco. keep it up. >> thank you. >> commissioner ortiz-cartagena. >> i too just a segway jug shop, i've made runs there. i don't know if it's a good thing but thank you. creative explored, my neighborhood, you have done so much for so long. you know, wow. bay view black, when good evening to penitentiary, i reach out to the cats at quinn, you are what keeps the cons aware. that's how they know and stay connected to the neighborhood. i know the efforts you put. when good evening to quinton goy

get their paper it makes it for them. it keeps their mind off the silliness that's inside behind the walls. thank you. >> thank you for coming out today. thank you for going through the process. i know it's tedious but rarely do we reflect on our past. usually as small business owners we're worried about the present and the future. so, i think it's always a rewarding process. i know rick does a great job of ushering you through the process. it's nice to have that documentation when you are done to kind of reflect and share with your relatives and the young once in the family so they can see where you all have come from. so, thank you very much. and congratulations. >> any other commissioner comments? i want to give a shout out to a couple here. first great wall hardware.

albert cho. not only is evolved in the park side neighborhood but he is involved in the council of district merchants and what goes on city wide. he really fights for the neighborhood hardware store. his hardware store is one of the better hardware stores in san francisco. you can always get whatever you want there, which i'm very happy about. i also want to give a shout out to ixia. gary weis. the former own. owner.i know they just sold. they've been a mainstay for 25 years. what he has done with my tree hospice, san francisco aids foundation. when one of the non profits needed a flower arrangement, gary was there. my hats off to gary and ixia and everything they've done. the jug shop, like everybody else, i started seeing you when you were across the street on pacific at the old place.

i went with you to the new place. i just say i bought for parties many kegs of beer because that's where you go to get your kegs of beer for parties is the jug shop. for some non-profit stuff that's where we've gone. i'm happy that when you did move across the street to the paint shop, you reel opened it up and you sell bears that they don't sell in a lot of other places so paul, you are the only one that sells that in the city. thank you, i appreciate it. >> any other comments? do we have a motion. move to approve? all of the businesses as presented in the package. >> second. >> roll call. >> voice call. >> motion by commissioner dwight and seconds by commissioner dooley. commissioner adams. >> yes. >> corvi. >> yes.

>> dooley. >> yes. >> dwight. >> yes. >> ortiz-cartagena. >> yes. >> lee riley. >> and commissioner zouzounis. >> motion passes 7-0. >> congratulations, everybody. >> [applause] >> next item, please. >> item 4. board of supervisors file number 180803. planning code. mission alcoholic beverage special use district and mission street neighborhood commercial transit district. ordinance amending the planning code to require conditional use authorization for restaurants and prohibit new through pubs within a subarea of the mission alcoholic beverage special use district. to establish limits on the number of eating and drinking establishments, require conditional use authorization for replacing legacy businesses and new bars.

prohibit mergers of commercial space greater that 1500 gross square feet. require ground floor non residential tenant space of a large project and expand fil philanthropic in the mission street neighborhood commercial transit district. affirming the planning department's determination under the california environmental quality act, and making findings of consistency with the general plan and the priority policies of planning code section 101.1 and findings of public necessity convenience and welfare under planning code section 302. discussion and action item. presenters are amy fineart, legislative aid to supervisor r. >> good afternoon, commissioners and director. i'm amy wineart, legislative aid

to hillary ronan. i'm here to present on the planning code amendments that were introduced by supervisor ronan several weeks ago or a month ago. these will allow small retail and arts and food businesses in the mission to thrive and to grow and to reduce rent pressure on these mom and pops from competing corporate or office uses and large-scale development. the mission district is historically working class, home to latino and immigrant families. the area has a rich cultural history. home to so many non-profit communities service organizations, arts institutions, legacy business, and light industrial jobs. the mission is san francisco's ground zero for displacement and it has had damage to residential and commercial diversity.

under the mission action plan 2020, which is a initiative that is coordinated and led by the planning department but engaging city staff as well as supervisor ronan's office and many of the community-based organizations and individuals who are concerned with the future of the mission. we're looking at ways to support a thriving mission that will continue to be home and small business and place for families arts and culture and not profit community organizations fine. map 2020 is really looking to develop solutions through tenant protection, affordable housing, community services and and community planning. we're what we're talking about today are commercial zoning that impact the economic development

and stability of the neighborhood. there's no single solution, we're still working on these initiatives. there are several -- with many that represent mission based businesses. so just to give you a little bit of background here, there are two zoning district that are being effected today. there is the mission alcohol and beverage special use district, which was created in 1987, to control the large concentration of alcohol serving businesses in the especially bars and liquor stores and there's the mission street neighborhood commercial transit district established in 2008 which was part of the out growth of the eastern neighborhoods plan. and the controls in that are designed to permit

moderate-scale buildings to encourage neighborhood serving businesses. to encourage active ground floor retail and to keep housing development above the ground story. so the proposed changes today, i'll just go through them single line by single line. in the mission street neighborhood commercial transit district, we are looking at promoting small commercial spaces and limiting mergers of store fronts. we are requiring a c.u. for new businesses after displacement of a legacy business. we're looking at opening up opportunities for light manufacturing on the side streets of the n. c.t. not on mission facing ground floor but the side streets. we are ensuring a commercial mix by managing the he is of

restaurants and bars in the future allowing for a small bit of growth, but not an overwhelming concentration. we're requiring a look back after two years and five years. reevaluation, knowing that this is really a moving, changing district. and then in the mission district it's a really large chunk of space. we're looking at a portion that is north of chavez. the mission alcohol special use district extends all the way up into the mission bernal corridor much those folks haven't been part of this discussion at this point so we're not including that. they have their own commercial challenges and we're definitely working with them and we'd love to share that with you at different times. so in the mission alcohol and beverage special use district, we are looking at requiring a

c.u. for restaurants going forward and prohibiting alcohol serving brew pubs is a special abc license which is a type 75 and it takes the p.d.r. group hub and it allows it to be a full bar with distilled alcohol. so we're just prohibiting those. so the package of amendments is we feel a very proactive approach with practical, very solution-oriented changes saying yes to arts and culture. yes tie healthy commercial corridor and yes to a vibrant future. i wanted to thank some of the folks who have bee have been won it today. deanna will do a presentation. she's from oecd. diego can answer questions about

the code. i know we have at least one person from the community, peter is here, it's working with the commission economic development agency. thank you. >> welcome. >> i'm here on behalf of the economic office and workforce development to present a overview on how we got to these controls. how we develop them through process of the mission action plan. and i'll provide access as well as what we have on the ground on mission street. so to begin with, you will see sort of the goal of 2020 is a community stabilization plan. that involves housing, the

economic development and culture in the area to stabilize that community. we are now in three years, in the third year of implementation of it. what you see today has been a culmination of many discussions, community engagements. i'll go over how we got here today. so more specifically, i mentioned that there are different branches within the mission action 2020 plan. we looked at economic development and how we can help stabilize and strengthen that sector. relief over all goal that was focused on and agreed upon for economic development in the area was to stem the loss and promote community businesses that serve low to moderate income households. to support that community in the mission. some of those strategies include promoting and encouraging businesses to be community serving, providing guidance, supporting ownership, increasing

commercial space and the uses within new developments, attracting community serving businesses, supporting alternative business models and looking at policies and regulation to support some of the businesses in the area. in addition to it, i want to say we look closely at how we can support p.d.r. and promote it further. so, as this is a strategy it's a three-prong approach. it's a community partnership between the city. we both look at our tools. whether it's community tools they have or city tools. we look at ok, how can we get at some the solutions and together work through those and discuss those strategies. the one we will be presenting before today in a detailed way focuses on existing policies and regulations, how can we support the over all goals here. i want to say that we have been

implementing and improving and increasing the level of oewd services on the ground to support small businesses. we have increased our on the ground outreach, where we have someone continuously on the ground, talking to businesses, engaging with them. they make sure they know where they're at and they understand what services we have. we've had a robust mission district bilingual marketing campaign that we piloted about a year ago and we're looking at continuing that and learning from it. we have provided lease negotiations and keep an eye on vacancies. we also leverage our other programs and services such as the non-profit sustainability initiative as well as p.d.r. technical assistance heading out there and ensuring that again, that our existing long time businesses are there to keep providing services to the community. the third piece that i would like to talk about is the

community approach. this is a collaborative approach. the community i community say b. one is our small sites. a small site acquisition program by the city. so as part of this strategy, our non-profit partners have gone out and proactively acquired properties that are not just housing but are also commercial. with the end goal of stabilized goals in one. they have also taken a proactive role of engaging with businesses on the ground and negotiating with them with the intent of being community-serving. specifically for these zoning controls, we developed, within map to 20 in economic working group that developed and advise after we actually completed an economic development corridor

study in 2017. we completed that and we began to engage in looking at the zoning. so we've been working with this working group that has involved non profits, small business providers in addition to the hispanic chamber of commerce. we've also held public meetings in april to highlight what some of these recommendations would be and as you can see, we've engage with a numerous amount of stakeholders and we have taken their input and modified accordingly. what you see today reflects some of those discussions, some of the input that we had in visiting some of the small businesses and these groups. i provided a graphic for you in terms of the geographies that are impacted. there's an overlay of the two areas. the yellow zone is that segment that amy described that's within the mission alcohol s.u.d.

those recommendations to modify the mission s.u.d. are only within this specific zone, which is within the map 2020 strategy. >> on valencia street is not part of this? >> no. because again, it's consistent with mission action plan 2020. and these are the boundaries that support those strategies. >> thank you. >> and then, the mission neighborhood commercial transit district, which is the blue hashtag. those two will overlap. it means where the overlap is, both controls will apply. the current make up of the corridor mission n.c.t. is here. you have exiting 26% eating and drinking establishments. 36 retail sales services and professional services, we have 22% community 5%. we have about 63% of active uses

that are not eating and drinking. the current proposal before you allows for growth up to 30% of eating and drinking establishments. trying to promote a balance between the two. in addition, we'll be reel on the ground proactively working to support our refail other retr establishments there. in the back page visually demonstrates what we are proposing in the two areas in the charts. those same zoning modifications that amy went over and rick also went over and named each one one by one. i wanted to make sure to provide a visual rentatio representatiou can refer to it and see how it applies to the geographic area. that concludes my presentation. we're open for questions. >> first off, i want to say

great presentation. you really should be proud of yourself. what oewd has done is invest in neighborhoods. you yourself, getting involved in that mission district. district. what you have done after the fires. getting the leases down there. keeping businesses in there. getting legacy businesses and working with the supervisors' office. i can't say enough for what you've done personally in the mission direct, especially that part of the mission district. you should be rewarded for that. i think you've done a great job. it's a model for the rest of the city and how you work with former supervisor compost and now with supervisor ronan, this is the third year and i'm going to let williams say a few words here. with the exception of the red bus lanes, you've done -- that's not their fault. it's m.t.a.s.

you guys have done a great job with the balance over there. questions from commissioners. >> i've been part of some of those discussions. there's some stakeholders, peter popdoplis, roberto hernandez, it's like a family in the mission. to get all of us in one room, and come out with some actionable plans, it's amazing. what we're doing there i think is generational. people will remember what we did now. we put a line in the sand and we held our ground. thank you. it is a weird compilation of a city agency and a lot of stakeholders and i'm excited and proud. thank you. thank you.

>> commissioners zouzounis. >> thank you for the presentation. it clarified a lot. i really appreciate having an eye to small businesses overlooked in that conversation. so question, i know that we're focusing on the greater mission. is the limited alcohol use district, the special use district still in place in its 1987 form in like valencia and itself, right? the one question that i had, i have talked to businesses on that corridor who have changed to try to keep up with the times. we have one, which was early legacy business, valencia whole foods, who is a beautiful deli and boutique establishment, but they are struggling because they can't pair wine with their olive

display. i'm curious if there's a reassessment since we're talking about reassessment now, has there been a reassessment on businesses on the existing corridors? >> diego sanchez. there hasn't been a reassessment because valencia whole foods was explained it's not part of the study area. it's my understanding that the mission alcohol beverage special use district would allow a small grocery store to sell alcohol, for example, wine with conditional use authorization. >> ok. thank you. >> commissioner dooley. >> i wanted to say congratulations. i'm a huge believer in communities figuring out their own destiny and being proactive. thank you so much for all the

hard work you've done. you are really out there in your community trying to make it work for everyone. >> commissioner yee riley. >> yes, for the mission alcohol special use district, why do we ban all the new breweries and not require a c.u. instead? >> we can clean up some of my non zoning explanation. it actually only a supplies to restaurants. breweries are still allowed. those are p.d.r. uses within p.d.r.-type spaces. this license limits the amount of brewing that restaurants can do but allows spirits. it's snag is prohibited in general, right, as part of the

mission alcohol s.u.d. so we felt like it was not in spirit with the original intent of the mission alcohol s.u.d. and currently i believe we only have about two that have this type of license that actually also have other types of licenses. so we felt it was inconsistent with the intent and the strategy in this case. >> i see. thank you. >> any other questions before we go to public comment? do we have any members of the public who would like -- come on up. >> good afternoon. peter with the commission economic development agency and i'm also here today on behalf of the united states mission community development team. so i want to join you all in thanking these three folks for all your hard work. it certainly has been a lot of

diligent, day-to-day work. this corridor, as you know, has been unstable for a bit now. as someone remarked, the red lanes transit changes created a significant upheaval that we're still dealing with on a day to day basis. i want to thank you three. you have been continually, and especially deanna running out to meet with the businesses particularly and bringing the technical resources to them because we know it's not easy to convince a small business person who is struggling to allow someone into their world to try to help them stabilize no matter how bad it gets. that's taking time and the supervisors office coming out to the corridor and talking firsthand with folks to see what is happening, it's been a huge, huge help. so as we continue to stabilize, we think it's a very pragmatic package that we've been working on for quite a long time. i don't know how long. a year at least. i think that it really addresses

a real significant amount of the challenges how to right the to e environment for those mop and pop businesses to thrive. those are going away right. on this corridor we're seeing a shift of low price point community serving mom and pop zone to hire priced point destination site. you look it up on yelp. we just want to maintain a stability and a balance with those things. we want to make sure that everyone has an opportunity to thrive in the corridor as we go forward. i think we would like to keep looking into some of the things and discussing them at map 2020 a couple items such as accessory restaurant use. i think over all, we think this is a very solid package that addresses some of the core kind of issues. especially it will create homes for no non profits, arts, lights manufacturing. light manufacturing demand is up not down. we have to make sure we can

maintain those spaces and provide the blue collar jobs that are great, especially for our immigrant community. it's a great opportunity we don't want to lose out because of zoning issues. so, i want to thank you and ask you to please move this forward with your recommendation. >> thank you. >> thank you. any other members of the public? seeing none, public comment is closed. commissioner ortiz-cartagena. >> after hearing public comment, can the presenters explain the restaurant accessory use? >> currently the zoning recommendations allow for 30% of eating and drinking establishments within a core lower. that allows for 20 new eating and drinking establishments. so currently, accessory uses

within retail spaces, for example, we have them all along the corridor like a liquor store has delis. those are permitted. that would not count against the threshold of 30% eating and drinking establishments. they would not operate in majority as eating and drinking, it's a small accessory use to support their retail component. >> this wouldn't go against the cap we're trying to establish with this legislation. how would you prevent it from becoming a loophole where i say i'm going to sell jeans and before you know it i'm selling this. what's the game plan on that? >> i want to say we're very proactive on the grounds. we have actually included a formal look back years but that does not mean we're going to wait two years, right. it allows for flexibility for

our businesses, especially our retail i in this challenging environment to be creative. it's a minor use to the major use. in the event that it becomes 50% let's say or more or even less than that, but if it's starting to take over what the use is, then yes, that is not allowed. they would go through a conditional use -- or change of use to convert to a eating and drinking establishment. that would count against the cap, right. >> any other commissioner comments? >> do we have a motion? >> i move. >> can i just second, just as a progress to make sure we keep an eye on the accessory use and make a commitment to make sure that we're not waiting two or five years. i know what your team does so i

know. from a technical, you might win the lottery and then what? what are we going to do, right? just something in writing we keep an eye on the accessory use. >> certainly. for sure. for sure we will. we work very closely with the community. we will both be keeping an eye very closely on this corridor and the impact to ensure. it's not an exact science. we have ourselves to be accountable to. >> don't win the lottery. [laughter] >> we have a motion, yes. we have a second by -- >> was that an amendment to the motion? >> no. >> a statement? >> a motion to approve with a recommendation in the report to keep an eye on it so it's ensuring it's stated that this is something that the commission wants to make sure it's in the report. >> are you ok with that?

>> yes. >> we have a motion by commissioner dooley. >> commissioner adams. >> yes. >> corvi. >> yes. >> dooley. >> yes. >> dwight. >> yes. >> ortiz-cartagena. >> yes. >> yee riley. >> yes. >> zouzounis. >> yes. >> motion passes 7-0. >> great. thank you very much. >> thank you. >> next item. >> item 5, presentation on the enactment, licensing rules and regulations of san francisco health code article 19q. prohibiting the sales of flavor tobacco products and transitional support for small businesses effected by the band. discussion and possible action item. presentersare jeannine young, senior health inspector retail tobacco and smoking program. and office of economic and workforce development. >> jeannine, a minor correction. i listed george on the

investment but they do not have a presentation but george is here to answer any questions on the work that oewd is doing in relation to this. >> ok. >> welcome. >> just in case, in your packet, under item number 5 is the power point that will be presented to you. >> welcome. >> thank you. i'm deric smith, i'm actually co presenting with jeannine young. i'm a co presenter. i'm the community health guy. my colleague, jeannine young is from the environment help program. for your benefit and the benefit of the viewing public, we wanted to give a little context about what we're talking about before inspector young goes through and talks about unti nuts and bolts specifically and the ordinance we're looking to speak to you about.

so the objective here, we're going to be very brief but just. >> sonali: , wjustso you know, o talk about the context. nuts and bolts what is a flavored tobacco product so everyone knows what we're referring to here. we're on the same page. the project plan summary that inspector young has then to lead on as well as city activities to assist retailers around the ordinance will allow as well as action to be taken by retailers in a moment for question and answers on this issue. in setting the stage, we want to make sure everyone is on the same page knowing about this ordinance. the ordinance ends the sale of menthol and all favored tobacco products in san francisco. it does so by modifying the existing tobacco retail license in san francisco since 2004. all retailers have been required to obtain a local tobacco sales ordinance in san francisco.

enforcement of this ordinance does not take place at any level except retail level. possession of a delivered tobacco product is not touched in anyway by this ordinance. and, item 3 says this ordinance took effect on july 20th and undergoing a roll-out process through 2018. it was first adopted in 2017, july of 2017, after unanimous board support in signature by mayor lee yet. it was challenged by the tobacco industry through a voter referendum process. on june 6th, it was adopted, readopted through the referendum process by voters, about 68% were in support at that time. just setting context since this is something that very much effects public-health. that's the crux of it, since you are the small business your focus is the small business understand. just understanding the. there's disparity between

tobacco products. the charts, the most important shows that flavored products are starter products. so young people commence by using a flavor product. this is menthol. there are other flavor products as well and we'll talk about that in a moment. showing young people who commit to smoking or using ta back' too products. there's a race as well as scio economic correlation with this. because tobacco industry has been marketing these products for a long time and they use it as a starter product. generally menthol is the one product that i think is probably the most important or the easiest for folks to focus in on. they have an an h anesthetic and there's a lot of perception, just because the packaging is green and mint is something that maybe your family puts into food or you put into other products

for freshness, there's a perception of reduced harm, which is not the case. menthol smokers, while they're more motivated to quit, they're less likely to quit. so that's saying they'd like to quick but menthol has an effect in maintaining the addiction. so, the reduction of flavored products, particularly menthol, there's been studies and projections on this, it would have a human life-saving effect as well as healthcare effect. when you think about it, especially small businesses and all communities that have to access healthcare coverage. a reduction in death and disability from tobacco leads to savings of healthcare costs. big picture, we're coming into retailers with senior health inspector young will plain. d.p.h. is working with youth to get the word out about this ordinance. san francisco is in its third

round of our s.f. quits program. we've gone through something like 10,000 quitting kits, where we offer them to the public. we'll have another push that is going to specifically work around menthol tobacco where we offer incentives products to get people started so we're not just giving them quitting telephone numbers and talking about classes. we're actually giving them some resources to get them started on mints and tooth picks and water bottles and anyone who knows someone trying to quit to use. encouraging quitting on a media campaign and correlation to support the smokers themselves and getting the word out to retailers. i think i'll pass it on now to inspector young about the nuts and bolts about this ordinance. >> thank you commissioners. i'm happy to be here to share how we're planning on rolling this ordinance out. the san francisco law effects 800 tobacco retailers. the law does not provide any

exceptions or carveouts for retailers. when i'm out in the field or on the phone, i'm often asked when is the final date to sell flavored tobacco. according to the law, the final date was july 20th, 2018. although the law did not provide the heath department with any authority to offer any additional dates or other than the july 20th, 2018, it did provide us the opportunity to enforce after we had adopt rules and regulations. so as you learn today, until the health department has final rules and regulations, the department staff is really dedicating their time and energy to provide edition and technical assistance for our retailers. [ please stand by ]

... how do they determine what is a favored tobacco product. so determine whether a product is a flavored tobacco product,

we're advising them to read the product label, to contact their supplier and order products that are labelled unflavored or unsweetened. and then when the volunteers come out, as well as city department staff, we're planning on two phases of face-to-face contact with each retailer. to show us what product that you're specifically asking about, so we're able to bring it back to the office and do research. finally, our advice, err on the side of caution. if the vendor doesn't know and the health department doesn't know then the retailer can choose not to sell the product. we are also encouraging our retailers to stay up to date with the latest information. that's why reading their mailers and we're sending out e-mail to frequently check environmental health website and contact san francisco 311. there is very -- two very, very