>> i'm sorry. we need a roll call. [roll call] >> i'll make a motion that we don't disclose anything and open session that we discussed in closed session. >> second. [roll call] >> motion passes unanimously. we're now in open session. >> that brings us to item number 6, the pledge of allegiance. >> i pledge of allegiance to

the flag, of the united states of america and to the republic for which it stands, one nation, under god, indivisible, with liberty and justice for all. >> item number 7 is announcements. please be advised that a member of the public has up to three minutes to make pertinent comments on each agenda item unless they adopt a shorter period on any item. during the public comment period, the moderator will instruct dial-in participants to use a touchtone phone to cig mall their desire to talk. please dial in when the item you wish to comment on is announced. and please note that if you are watching this meeting on sfgov tv streaming on the internet, there is a short broadcasting delay so when the item you would like to comment on is

announced, dial 1-415-655-0001 and enter access code 1875564298 #. please then mute the volume on your computer and listen to the meeting only through your telephone, which is a live broadcast with no delay. when public comment on the item you want to comment on is announced, dial star 3 to raise your hand and then listen for an audio prompt which will signal when it is your turn to comment. and for meeting presenters and participants, please maouts your microphones and turn off your cameras when you are not friending. that ining wheres us to item number 8. publts comment on items not listed on the agenda. >> woe are will now open the phone line for items not listed on the agenda. members of the public who are joining us on the phone, jennifer will be our operator and will provide instructions now for anyone on the to enthat

would like to provide public comment. >> operator: thank you. at this imtoo, we'll open the queue for anyone on the phone who would like to make public comment on items not listed on the agenda. please dial star 3 if you wish to make public comment. the system will let you know when your line is open. others will be on mute until their line is open. comments limited the three minutes per person. the queue is now open. please dial star 3. >> thank you. do we have anyone on the phone? >> operator: president brandon, at this time, we do not have any caller on the line. >> thank you. public comment is closed. please call the next item. >> that would be item 9-a, the executive director's report. >> good afternoon, president brandon.

commissioners, port staff, members of the public. i'm the port's executive director. this week actually marks the one-year anniversary of the city's mass mobilization efforts to confront the virus and commit resources to protect public health. just about a year ago, port staff first served as d.s.w.s to the emergency operations center while others worked closely with federal, state, regional and industry partners to prepare for the arrival of the grand princess. it seems like longer than a year ago, to be honest with you. now a year later, the city is poised to administer 10,000 vaccines per day through high-volume sites at san francisco in the bayview as well as community-based sites in highly-impacted neighborhoods and through partnerships with safeway, c.v.s. and walgreens. unfortunately, vaccine supplies are extremely limited. so, while individuals may be eligible for a vaccination,

there may not be doses immediately available. san francisco is ready to distribute the vaccines when they become available and hopefully supply will strengthen soon. given the limited supply, the state is prioritizing populations for vaccination based on their risk of contracting and spreading the virus as well as their risk of serious illness, hospitalization and death. as we receive more vaccine and move forward through the phases t city's goal to distribute the vaccine as quickly, fairly and equitably as possible. as of february 16t city has received more than 263 doses and has administered 203 of those doses to san franciscans and surrounding bay residents including those over 65 years old. this is a vaccine usage rate of 78%. starting tomorrow, san francisco will move into phase 1-b tier one. people who work in the

education and child care, emergency services, and food and agriculture sectors as defined by california's population priority plan will then be eligible to receive the vaccine. these sectors employ more than 115,000 people in addition to the approximately 210,000 health care workers and people over 65 currently eligible. we encourage everyone to get vaccinated when they can do so. i'll provide a report on economic recovery and equity update and get some key project updates as well. as you know, due to covid-19 public health emergency, the port of san francisco is suffering an unprecedented drop in revenues. economic activities from restaurants, cruise ships and parking have significantly dropped or in some cases stopped entirely and is not

expected to recover until 2025 in terms of tourism and programs beyond. total port revenues have fallen to 50% of their prepandemic levels and we're projecting a loss of 50 million in the current fiscal year. as you know, we've trimmed our operating costs, reduced our annual capital expenditures and drawn on some balance to weather the storm. but more turbulence is ahead. port staff is fine tune our revenue projections with the city's controllers office but we currently forecast a revenue loss of $33 million in fy-22 and $14 million in '23 for total losses of $47 million over the two-year budget window or a 21% reduction compared to precovid revenues. the general fund for the same period is predicted to be 4%. 21% is a lot for a small organization with a big mission. the commission has a budget of $112 million and staff of 239

f. te.s, 33% of whom are in the maintenance division and perform daily capital maintenance on the port's facility to ensure the ongoing operation of the port. the port's ability to weather this economic storm is really critical for the waterfront and the city overall because our economic recovery and viabilities impacts others, protecting port assets and delivering on our mission is really critical. the port is home to many of the city's premier tourist test destinations. be ever the pandemic, the embarkader included 24 million visitors a year. this is why port staff has initiated an economic recovery

initiative aimed at tried and true and innovative strategies to address the economic consequences of covid-19. this approach will be so the organization weathers the the storm and is really positioned for economic recovery. finance staff is currently working with each division to identify expenditure reductions and revenue enhancements for fy-22 budget, that are easy to implement. they are then looking to temporary -- to help fund and resolve the temporary economic cliff that the pandemic caused. you will hear more about strategis to the seek other sources of revenue under the item 12-a today. under the legislative priorities item. we're going to need the commission's help to be successful with these the endeavors. following the budget, which was easy to implement concepts, port staff will then pivot to 10 months of inquiry, internally with port staff, looking at our organization to find ways in which we can

further make reductions that we can afford to make that are good for our organizations and good for our people and good for the waterfront. commissioners, we're very eager to find and present strategies to stabilize the port's financial position and we'll need your continued leadership, support and advocacy for a successful -- to successfully mitigate the revenue impacts of covid-19 on the port. and i'm very confident in our ability to tackle these extreme challenges working together. and i am excited to leave this effort and i'm very excited to work with katie on this who is, in fact, the economic recovery initiative czar. more to come for you march 23rd when you see our budget suspecttal. -- supplemental. you'll see strategis in that document and the low-hang or easy-to-implement budget reductions that staff is coming up with as we speak. to equity. the port's rate equity team continues their work to assess

and prioritize racial equity action plan action items to implement in the 2021 calendar year. while we work to complete this process, the port rates equity team has focused on implementing actions from section 6 of the plan, creating an organizational culture of inclusion and belonging. i would also like to report that the micro l.b.e. emergency hardship loan program has approved 10 loans to date with two more in underwriting now. 50% of those loans have been deployed to black-owned businesses. to celebrate black history month, the rates equity team developed new programming for staff that has been well-received and inspired great conversations and team building. the team has form add subcommittee to carry on the programming as we build a diversity calendar to capture milestones and celebrations across all backgrounds and cultures. planning for women's history month this march is under way. staff will hay light fwrim all racial backgrounds who have made history and those who are

making history, bringing the past and present day efforts of our fearless women leaders to the forefront. we're continuing the keeping it real movie club where staff has been invited to watch a featured film about supreme court justice ruth bader ginsburg followed by a facilitated discussion. lastly, staff have decided to repurpose our virtual coffee breaks for the month of march to engage one another on a personal level by sharing which women inspires them and why. now i'd like to give some project updates to the shoreline resiliency project. s the california oceans protection council or o.p.c., a division of the state natural resources agency, voted just this last tuesday to award the port $1.677 million in a grant from their coastal resiliency grant program to the port heron head park shoreline resilience project. our project was one of 15 projects that was selected to

receive funds. the o.p.c. grant program distributes funds generated by proposition 68 bond initiative passed by voters in 2018. this was o.p.c.'s third round of funding focused on nature-based strategies and they awarded just over $8 million to 15 projects. the.1.677 million awarded to the port is the largest amount awarded in this round and was one of two implementation projects. the herron head park shoreline resilience project consisted of two commonly integrated elements. shoreline stabilization and wetlands restoration. the project calls for a construction of a living shoreline comprised of a course sand and gravel beach with natural wood features. the shoreline stabilization elements will protect herron's head park from shoreline erosion which is causing

substantial loss of wetland acreage each year and will enable some capacity to adapting to sea level rise by 2050. while we do not have all funds yet for the project, receiving this award is a big step in the right direction. to get to the $3.1 million we need for the entire project and i want to thank carol bach for her tireless work and congratulations on receiving the grant. the squeak engineering week and i'd like to acknowledge our engineering division for their outstanding work. this has been featured on social media channels and will be ho*ting an a.m.a., ask me anything session, to port staff on friday. the engineering division does a great job serving port, port tenants, the public interest in its roles as protector of public safety and port property. they provide project and engineering design, facility inspection, contracting, code

compliance review and permitting services for all port facilities and there are many types, peers, structures, cranes, utilitieses, public and private areas, public development, streets and walkways. they did $55 million of capital work last year, including some big projects like craneco park and the back lands project and they are on track to complete $34 million of capital work in 2021. i'm proud of this team, the works they do for waterfront resiliency program as well and the work they have done on the fire. it's a great group of people. congratulationss to you and happy engineering week. lastly, aye like to conclude my report. i'd like to announce that min young was recently hired as the planning and environments division new assistant deputy director. ming will bring our dwaition wealth of experience and expertise with policy and work with regulators to help advance the port's promise and programs. she's been with the port since 2017, previously serving as a waterfront planner.

prior to joining the port, ming was a planner with the city planning department and a coastal planner with bcdc. congratulations, ming. that concludes my director's report. thank you very much. >> thank you t elaine, for that report. we will now open the phone lines to public comments on the executive director's report for members of the public who are joining us on the phone. jennifer will be our operator and will provide instructions now. >> operator: thank you, president brandon. at this time, we will open the queue for anyone on the phone who would like to make public comment on the executive director's report. please dial star 3 if you wish to make public comment. the system will let you know when your line is open. others will wait on maouts until their line is open. comments will be limited to three minutes per person. the queue is now open. please dial star 3 if you wish to make public comment.

>> thank you. do we have anyone on the phone? >> operator: president brandon, at this time there are no members of the public on the phone wishing to make public comments on this item. >> great. seeing no callers on the phone, public comment is closed. commissioner? >> sorry. unmuting. sorry. thank you for the report, elaine. very informative and i also want to comment that i did read the minutes of the last meeting that i missed and i feel like i'm totally caught up so you caught me up further today. i have no further comment. thank you. >> thank you. commissioner gellman? >> thank you, director, for the report. it was thorough, as always. i did want to commend the port on the team building and

socialization from an equity perspective around the black history months and now moving into international women's fruit. it's hard to do in this covid environment and the port has give and lot of thought to our equity officer and i want to comments you on the coffee chats and the movies. great to see it is still happening in this virtual environment. >> thank you. vice president adams? >> director forbes, great report. a couple of thing stood out to me. one of them you said that we don't respect tourism -- we don't expect tourism to fully rebound 2340825. -- until 2025. that catches my attention and the loss to the port and i'm curious to hear later today when we talk about what we'll do as far as a reset financially and then i think my last question to director forbes is she mentioned we're moving into one [inaudible] and i want to thank the mayor. my question is, are there going

to be any sites in the port or the cruise terminal where members from the community can get vaccinations? >> i'll answer that now. at this point, there are no port facilities that are providing vaccines. but the city has max vaccination sites, three in particular in town, and there are numerous locations where one can get vaccinated and it is all on the city's websitement you . you can sign up and be aware of where you can go for vaccination. thank you. >> thank you. >> thank you so much for your report. i think it's absolutely phenomenal with the covid relief efforts that we've been able to participate in over this year. it's hard to the believe that it has been a year. but you and the staff have just done a phenomenal job. i also think it is absolutely

wonderful that carol is able to get the $1.677 million for herron's head park. she is so wonderful and so dedicated to all the parks and in this time of our economic recovery and us needing all the funds that we can find, that is especially wonderful. i was a comprehensive report. the social media has been -- everywhere i look, i see the port. whether it is black history month, whether it is engineering week or [inaudible], the phenomenal work that went on. so given all that we have been through over the past year, it's remarkable of what we've been able to accomplish under your leadership. so, thank you. >> call the next item, please. >> that would be item 10, the consent calendar.

item 10-a, requests approval of the port's 10-year capital plan for fiscal years 2022 through 2031. that is resolution 21-09. >> could i have a motion? >> so moved. >> i second the motion. >> thank you. now let's open it up for public comment. we will open the phone lines to take public comment on the consent calendar for members of the public who are joining us on the phone. jennifer will be our operator and will provide instructions now for anyone on the phone who would like to provide public comment. >> thank you, president brandon. at this time, we'll open the qwest for anyone on the phone who would like to make public comment on the consent calendar. please dial star 3 if you wish to make public comment. the system will let you know when your line is open. others will wait on maouts until their line is open. comments will be limited to three minutes per person. the queue is now open.

please dial star 3 if you wish to make public comment. >> thank you, jennifer. do we have anyone on the phone? >> operator: president brandon, at this time, there are no callers on the line wishing to make public comment on this the item. >> thank you. see nothing callers on the phone, public comment is closed. we have a motion and a second [inaudible] please have roll call vote. >> certainly. [roll call] commissioner gilman is on mute. [roll call] commissioner gilman? >> is she still on maouts?

>> still on muy. i can't see her here. commissioner gilman, are you there? >> well, the motion passes. resolution number 21-09 is adopted and we will record commissioner gilman's vote when she returns. call the next item, please. >> certainly. item 11-a, request authorization to enter into an exclusive negotiation agreement with san francisco waterfront partners iii l.l.c. for the lease and development of a project including commercial, retail, maritime and public access uses for piers 38 and 40 located among the embarcadero and this resolution 21-10. >> good afternoon, commissioners. thank you, kyle. president brandon and director forbes. the port's real estate and development division. i'm here seeking your authorization into enter into an e&a for piers 38 and 40 with

san francisco waterfront partners three. -- iii. i'm joined today with rebecca benoccini and eileen chevay and simon snelgrove and wayne perry from san francisco waterfront partners team. all of us are available to respond to any questions at the end. msnbc slide, please. this is a brief outline of the presentation. i will note a typo on number 4. you can see where i've drawn from for my slide deck. i will be providing an update of the pacific waterfront partners iii proposal, not strata proposal. apologies for the typo. we'll also be talking about the e&a terms we negotiationed and then next steps. next slide please, karl. i just wanted to again share with the commission and the public where we are in this long journey and process and

how development projects make its way through approvals and titlements typically along the waterfront. this is a general scenario that shows where we're at high lighted in green, saekings your approval of the e. in. a. and move into negotiations on a term sheet, the project description. during that time, we engage with the community regarding the project proposal and begin key regulatory outreach and that typically takes anywhere from 7 to 12 months. later in the presentation, i'll provide a more detailed schedule for the peers 38 and 40 project. we will get the board of supervisors to approve the fiscal feezability and begin to negotiate transaction documents such as the ldea and the lease, begin environmental review,

other regulatory partners review with ongoing engagement to the community and that takes usually 18 to 24 months. we'll come back to the commission for approval of the transaction documents and then go to the board of supervisors for their approval. so, again, we're very early in the process. we have a lot of outreach to do with our partners, including the community and our regulatory partners. i just wanted to give that overview of where we're at in the timeline. next slide, please. again, just wanted to share an overview of what the development offering is. it is piers 38 and pier 40, including 35,000 square feet of retail and office at pier 38 and the 95,000 square foot shed and then on pier 40, it is the 46,000 square foot shed with 20,000 square feet of parking and the water areas north of 40 and north of 38 and extending east of pier facilities. next slide, please. i wanted to show that this

project aligns with five of the port's strategic plan goals, including productivity, stability, resilience, engagement and equity and i'll say this one of the reasons that pacific waterfront partners score sod high with the scoring panel was their concept and how to achieve not only the goals of the waterfront plan and the values of the community, but how to bring equity to the project, which is an important part of their consideration. next slide, please. so, again, just wanted to talk a little bit about the background and how we arrived, where we're at today. we've been working off the port's strategic plan. following the work of the waterfront plan update and request for interest for the historic piers. piers 38 and 40 are part of the embarcadero rehabilitation program that will include can

other piers coming down the pike for an r.f.p. and hoping through these projects we can help build the resilience of the waterfront and support the resilience program. next slide, please. that is brief timeline on the process that we've been under way for about the last year, showing about the issue of the r.f.p. january 10, receiving proposals about a year ago on march 4. going through the technical review and panel review and presenting the two concepts to the commission in august, receiving your authorization to begin the e.n.a. negotiations with san francisco waterfront partners and now today seeking your approval of the e.n.a. next slide, please. >> i wanted to give you a brief overview of the proposed program for piers 38 and 40. in front of us is a site plan

and land-use program. in green shows all of the public access areas, both on the pier 8s in the facilities and the new docs being proposed. the orange and pink areas are for commercial retail areas, both restaurants and pop-up spaces, accommodating a range of offerings. the primary revenue generating source for the project is the gray. the teal is the supporting leaseholds that support the facilities and then the blue is a shared space for pier 40 te nanlses, existing tenants and workforce development training space. next slide, please. so this is a numbers overview and some illustrations of the concept of san francisco waterfront partners with a total program of around 247,000

square feet with a mix of office, retail and restaurant, some exterior pop-up retail and this doesn't include any of the maritime facilities. next slide, please. throughout the negotiating period, included in the exclusive negotiating agreement, there are several responsibilities of both the port and the developer. i won't read through all of these. the primary role is to actively negotiate and help facilitate the community outreach while the developer is responsible for doing all of the things listed, including site due diligence, negotiating terms, renegotiating the port for the negotiating fee and transaction cost, establishing and performing at the schedule identified and completing the financing and land use forms on ceqa. next slide. during the negotiations for the

last approximately 10 months, we've been negotiating three specific terms that were different from the form in the r.f.p. including aed dressing equity inclusion. extending to a term of two-year which is we think will take the entitlement of the promise and the transfer. specifically as it relates to diversity, equity and inclusion. during the e.n.a., there are no l.b.e. requirements and recognizing this we wanted to establish some level of measures to address diversity equity inclusion and we'll be working with san francisco waterfront partners and the diversity team to establish metricks to work towards within the e.n.a. period. the term is two years with three six-month extensions which matchs the performance benchmarks and then lastly the

transfer provision. one of the reasons we chose san francisco waterfront partners was because of their experience and skills. however, it is recognized they are likely to bring other investors in. port staff spent considerable time to carefully tailor provisions to meet the developer's need to access capital while protecting the port. with that in mind, the port commission will need to approve investors that have a greater than 50% interest in the investment unless it is an institutional investor which would require the executive director's approval to executive director may request the commission to grant approval. under all these circumstance, san francisco waterfront partners must maintain operational day-to-day control in decision making and what we heard from the commission at the last meeting on piers 30-31, if a request for

approval is ma i to the executive director for an investor of greater than 50% by an institutional investor and e.d. plans to approve the request, the executive director will notify the port commission and if approved also provide a notice to our northern advisory committee. next slide, please. moving back to this project-specific schedule, we're looking at hopefully awarding the e. in. -- e. in. -- e.n.a. and beginning that today and completing by the fall of 2021 which allows us to begin the ceqa process later this year with a goal of securing all necessary approvals by mid 2023 and to begin construction in the fall of 2023. next slide, please. so, the next steps are should you approve the e.n.a., continue and the stakeholder

outreach, begin the regulatory partner coordination. continue on with term sheet negotiations. and come back to the port commission and provide updates and seek guidance as required. with that, the port team and san francisco waterfront partners are available for any questions. thank you. >> thank you, david. commissioners, motion? >> so moved. >> second. >> second. >> let's open the public comment for item 11-a for members of the public who are join us on the phone. jennifer will be our operator and will provide instructions now. for anyone on the phone who would like to provide public comment. >> thank you, president brandon. we will now open the queue for anyone on the phone who would like to make public comments on item 11-a. please dial star 3 if you wish

to make public comment. the system will let you know when your line is open. others will be on mute until their line is open. comments will be limited to three minutes per person. the queue is now open. please dial star 3 if you wish to make public comments. >> thank you, jennifer. do we have anyone on the phone? [beeping] >> operator: president brandon, there seems to be no callers on the line wishing to make public comment. i wanted to see if a hand would go up. but i don't think it is going to go back up. thanks. >> thank you. seeing no callers on the phone, public comment is closed. commissioner gilman? >> thank you, david, so much for this report. this is really exciting to see 38 and 40 moving forward. i have one question and two comments. the transfer terms are the same

theoretically as we're moving forward with our other major projects like peers 30, 32. correct? >> yes. we align them together. >> great. so, then that adds to my other reflective comments. is one two years is quick and i love that. s so hopefully maybe we can align everything else moving forward to make it as quick and fast as possible. not to exclude ceqa and public comments, but just the fact that they can start construction by 2023 is admirable and exciting. it just want to say that with a due diligence on environmental review and i hope also moving forward we can explore how to include the d.e.i. work that we talked about in this stage of the process. i'm impressed that you will be bringing that back to the commission. the approximately cants had a strong partnership and proposal when he came in for the r.f.p.

for these peers. i think that is something that we should be incorporating during the e.n.a. process. so i just wanted to make those comments. i fully support the item. >> thank you, commissioner. >> thank you. commissioner? >> yeah. i fully support this. i think we had it presented before when it first came up and commissioner gilman has add add few questions. i don't have anything to add at this time. >> thank you. vice president adam? >> i'm good, madame chair. thank you. >> wow. maybe we should have put this on consent calendar. [laughter] david, thank you so much for this presentation. and as you can tell, everybody's very excited to move this forward. just wondering the piece of it that is going to be included in

the portion of it. so when will you come back with those matrix? >> maybe to be consistent with what we shared with you on piers 30, 32 in approximately six months. we might be able to do it sooner on this because we have a few more things i want to touch on but i'm beginning to have conversations with stephanie tang and tiffany and tony to figure out how we can do it and do it right. i know simon and wayne are excited to begin to discuss it in more detail. so, i would think between four and six months, if director forbes is ok with that timing. >> ok. so, the e.n.a. period is one year? >> it's two years with three six-month extension options. >> ok. ok. got it. ok. that's fair.

>> i think if there are no more questions that simon wanted to say a few words, too f that's ok. >> i was just going to ask if simon or wayne wanted to say a few words. so please, simon. >> thank you, madame president. thank you, commissioners. we're delighted. i've been getting tweeted by people who wanted to speak but couldn't get through the line. so, mainly today, director forbes and commissioners and the [inaudible] [quacking] sorry. that's howard still trying to get in. it's such a pleasure to work with the team. it is firing on 16 cylinders right now and everyone from the team, mike martin and, of

course, we'll -- [inaudible]. but seriously, it's great. we're very excited and particularly excited to introduce your bill. i wanted to ask wayne if he would come on and say hello and you're probably sick of hearing me talk. so i'm going to go quiet now and ask wayne to say hello and thanks for the help. [please stand by] [please stand by]

hi. this is alex bash, and i worked at the port 20 years ago. i want to say this can kind of be a world class center [inaudible] city covid testing site, and as you continue on, there's a long gap until you get into the sparking community

pop up site within mission bay, which has many food trucks bringing many people together in a convivial, albeit safe atmosphere, during covid. having entertainment, food trucks, and market stalls, whatever else might happen there would be another thing to [inaudible] so just want to say that, you know, i have stayed active in the northern waterfront serving on advisory committees for almost 20 years now, and i think this would be a wonderful development to the waterfront by a development

team that has really proven itself in the outstanding job they did at piers 1 1/2, 3, and 5. i think one of the best things that we did at the port was to select such an outstanding developer there and for the ferry building. so thank you for the opportunity to make these comments, and thank you, all, on the commission for your service. >> thank you, alex, for your comments, and it's hard to believe it's been 20 years. jennica, next caller, please. >> okay. opening the next line.

>> hello, can you hear us? >> clerk: yes, we can. >> we can hear you. >> i can hear you. you can hear me? >> we can hear you. >> this is byron [inaudible], recently retired from the port authority. thank you for the opportunity to speak on this project. i, with the years that i was on the port, had the opportunity to work with simon. i won't mention piers 1 1/2, 3, and 5, but i think it's comparable with what's being proposed at 340. i want to speak in the years after that project was completed, that specifically, simon and his waterfront team continued to partner with the

port to get businesses on the waterfront. more importantly, i wanted to speak to the equity opportunities that this proposed proposal presents. there are a number of businesses in the bayview that are food-oriented businesses where the operators are trying to grow those businesses, maybe don't have access to brick and mortar facilities, and in particular, the pier 40 plaza market is an opportunity to partner with those folks, looking forward, if you all approve this, to pacific waterfront partners and the team working closely with the bayview community, getting that kind of participation as a pier 40 development as well as training in the other restaurants and employment in the other restaurants and retail activities that will happen within the project. so i encourage you all to

approve this e.n.a. and move forward with the development. thanks for letting me speak. >> thank you. next caller, please. >> clerk: president brandon, it seems that that's all of the callers on the line for this comment. >> okay. thank you. again, public comment is now closed, and commissioners, unless you have any further comments, want to thank david and simon for this presentation, for bringing this project together. if it'll be anything like 1 1/2, 3, and 5, we'll have

another state of the art facility on the waterfront, and it will be a wonderful addition to the waterfront. so with that, please, can we have a roll call vote? >> clerk: absolutely. on resolution 21-10 -- [roll call] >> motion on the resolution 21-10 is adopted. call the next item, please. >> you're on mute, carl. >> clerk: thank you, michelle. president brandon, i was going to say, if it's okay, i would like to record commissioner

gilman's vote for item 10, which was resolution 21-09. >> yes. >> clerk: okay. # 11-b is an informational presentation regarding real estate and maritime portfolio management strategies and policies to address current and projected market conditions and support economic recovery. >> good afternoon, commissioners. mike martin. as you know, over the last, let's say six to eight months of 2020, we had an intensive set of dialogues with you really focused on tenant relief and retention.

we, i think, worked with you on general ideas, refined those with you, and eventually received your approval and have moved on implementation, and looking now to things we need to do to more efficiently administer the portfolio as we see it now to find new opportunities to fill vacancies and to otherwise sort of improve port revenues over time and hopefully reduce or operating costs so -- reduce our operating costs so that our budget can come back to what it needs to be to do all the things listed in our mission. i think we're going to report to you on implementing the repayment on the relief programs. i've been in a couple of calls already today about these implementation questions that come up over time, but really,

i think it's sort of to be transparent with you about the strategic thoughts that we're having based on conversations that we're seeing, coming back later to you with more detail and hopefully seeking approval needed to move ahead on these strategies. so this is the first of a series of items where we'll be in front of you and definitely interested in your strategic policies. with that, i'd like to hand it off to the new deputy director of real estate developments, rebecca bendicini.

so with that, i'll hand it off to rebecca to take it off from him. >> thank you so much, mike. good afternoon, president brandon and commissioners. could i have the next slide to get into the meet. so as i go through, i have about 15 slides to go through with you. i want to give you a bit of background, give you a scale of the work ahead mike was starting to allude you in terms of our portfolio management. we have a bit of market data that we want to share with you that our consultant helped provide and then look at the

steps that we need to take to come out of this recession on the other side on stronger footing. this is the beginning of the conversation. there's more to come, and as director forbes alluded to, we have an economic recovery group, and this conversation is going to be going on over the coming meetings. next slide, please. we're focused on strategic alignment elements focused on economic viability. we need to maintain our financial strength. it's a really important part of the strategic plan, and these elements we're going to talk about will support those strategies. next slide, please. as mike was alluding to, middle of 2020, many of the meetings were focused on maintaining tenant occupancies, maintaining them in their leaseholds, and

preventing what we called unnecessary vacancies, so you'll see in the staff report as well as the slides here, these bullets are all the work having to do with the tenants helping them through these difficult economic circumstances. the blue bullets were working through rent-based referrals, getting them through december, and getting them the referrals, the share spaced. we had the l.b.e., which was targeted to tenants and port contractors and working on any program with our tenants. we are very aware of those that have been able to function on outdoor dining and those that closed down when they needed to for shelter in place and different health orders. that's sort of the background. it's a whole cornucopia of

items that we've been working on in terms of rent relief and just broadly tenant management. next slide. so a bit of an update on how we've been doing since we passed the number of programs since the end of 2020. with regard to rent relief, we have had 72 tenants apply to date. we anticipate or we will be closing down the on-line applications come sunday. those tenants represent about 103 agreements. we've been reaching out for many months, trying to make sure that tenants are very aware of this program, and we know of tenants who have started the application and have not completed it, so we're expecting that number to go out, but we still don't have many tenants who have applied for that program that we believe are eligible.

our civic impact tenants, we believe many who are eligible have applied.

[inaudible] >> so the staff report is -- it's actually not as long -- it's not too long, but it has a lot in it, and as you're thinking about what your comments might be and what you want to opine on, this table kind of summarizes what we're talking about today in terms of seeking your feedback, so the items that are grayed out are all of the policies that are underway that you have approved in some way and were implementing, so these items were underway and we're just in

administration mode. the second grouping of items which are called staff authority, we just want to be transparent and make our public aware of these are the tools at our disposal with leases that tenants aren't in compliance with. we'll talk about our delegated authority for settlement, which allows us to do settlement at staff level or settlement at the commission level where the commission will, on a one-off basis, look at a particular kind of situation and may decide to go forward with a settlement agreement? those are sort of existing authority? the next three are existing changes. this is an informational item that we want to talk about you with potential changes, and then once we're ready, we can come to you with a presentation about the port's determine.

delegated authority relative to uncollectible balances. these are balances that the tenant is not going to pay and has left, and we do not believe they're collectible, and then, the last one is strategic leasing tactics, so this would be as we get more spaces and we have more vacancies, what are your potential thinking we would like your delegating of authority to get these things to us. everything in this table, it's a nice little wrap of everything that's on the next slide. the next slide, as we think of this 161-tenant grouping that we're going to have to get to lease sometime, there are some tenants that don't reach back to us, some who don't attend to their leasehold very

frequently, they might be subject to a potential bant onment assessment, and we'll be -- abandonment assessment, and we'll be looking in our database to see if we need to pursue a collection strategy. there may be tenants that respond to us and have a dispute of the amounts that we're charging with them. there may be opportunities for us to enter settlement agreements. you're already starting to see some of those on your closed session calendars, so to the extend that there are settlements that are mutually beneficial to the court and the leaseholder, we have the authority to settle anything up to 25,000, and after that, we can go to the port commission for those items exceeding the threshold. they're a tool that we could apply to these 161 tenants.

next slide, please. in the staff report, we noted that the mutual termination authority has been used a couple of times in the last year. it was adopted -- the policy was adopted in 2009. it allows staffing authority to enter mutual terminations with tenants of rent up to $10,000. we are requesting we increase that. between 2009 and 2021, our rent parameter has increased somewhat. the office of parameter rent has gone up quite a bit more than that 50% differential, but we're suggesting about a $15,000 break point where staff would have the opportunity to enter mutual break rather than

bringing it up to the port commission. as for uncollectible balances, we don't have a specific policy yet. what we have today is working with the controller's office and the city attorney and doing an analysis of the tenant's assets. this is when the tenant abandons the property and is not able to enter into a settlement agreement with us. in that case, we need to determine whether or not we're going to pursue them through legal means in order to get that money back. there are some cases that we've looked at the tenant's assets, looked at the possibility of receiving that money, and with the controller and the county attorney, trying to go to court or determine if, even if going to court, if we're going to get that back. we may be returning with a policy for you to look at if we think that that would kind of ease that administrative burden, or, when we return, we

think that we're going to continue the same procedure we've been using, which is just looking at each tenant, case-by-case basis, and bring it to the port commission, reports relative to these uncollectible balance write-offs. so that one, we don't have a presentation as of yet, but we want to keep it on the table as we're looking on this very large accounts receivable ledger. the third one, this is about leasing tactics. this is to the extent determinations are that it's an uncollectible balance and leading to many separations, and we're going to have to start filling those vacancies, and we're going to want to start entering into leases as expeditious as we can while still being fair and transparent with the new tenants coming along and the old tenants that we have. so next slide, we'll start talking about the leasing tactics. next slide, please. so we worked with mason and

k.m.a. for a very quick turnaround. they provided a market overview in order to shed some light on our 2019 parameter rent? is the port commission will remember i think we didn't do parameter rent reset in 2020. we've been identifying whether or not we want to do it this year, so we had them look at kind of current market trends, and not only where the market is today, but what are the dynamics, which direction do we think it's going to go in the coming year, and then also, we asked them to review other commercial landlords in san francisco who are leasing or trying to lease today to identify what sorts of tools and tactics they are offering to tenants in order to get them to sign leases, and i'll talk a little bit about increased revenue context, but we're definitely -- that is an on going effort not only for our

administration but for our leasing division. from a market overview, office and industrial are highlighted on this slide? the key thing is the drop in average rental rates isn't quite as large as some people might have expected, but if you flip through and see even though there's only been a 7% or 8% drop in average rental rates, forecasting is that's going to get worse. we haven't seen the full brunt of the pandemic as of yet. industrial is interesting. it's actually holding okay. there seems to be spaces that are feeling. there's a little bit more demand that's industrial. of course with the on-line retail economy, and there is, there's some office tenants that are moving into the

industrial market as they're just trying to reduce the amount that they put forward for rent, so there's a little bit more demand for industrial space. next slide, please. maritime retail restaurants and parking, these aren't tracked on a -- closely on a broker basis, so you don't get those nice charts. these are more kind of assessments of the community, so just a couple of notes on the maritime review, which is still on going. interestingly, port of oakland profit loss has been a, you know, a relatively small, a 6% profit loss, and of other note, of course, we've been hit very hard on the cruise side, and oakland doesn't have that sort of -- that sort of a market. so we had a very large loss on cruise but generally are expecting some movement on the maritime side, but we're thinking that some of the what

we're going to talk about in a moment can be geared towards keep those maritime tenants. on the retail side, really difficult retail side. many of our retail market, union and embarcadero squares, are seeing high vacancies. very difficult retail market today. on the restaurant side, same thing. we have seen restaurants seeing unprecedentedly difficult times throughout the city. interestingly, mason properties have been successful in continuing to lease -- maven properties have been successful in continuing to lease, so that's one bright spot in the report. and on the parking side,

exactly what you would imagine. just an absolute flip from daily parking revenue be a very large part of parking operators' revenue, to now monthly parking is their main revenue stream, just a much better value than the daily parking. next slide, please. so on our leasing tactics, particularly in the parameter rent schedule that's adopted by the port commission each year, we not only set the rental rates on which staff can lease to any new tenant, so there are a number of new particular tacks that maven and their research brought forward as potential tactics we could adopt that would allow staff and the port to offer some incentives to new tenants as we're seeing a vacancy rate

that we haven't seen in a number of years. so one is relately simple. it would expand build out time to the extent that the tenant needs a time to do a buildout. we would allow an appropriate amount of time, given how long permitting and planning and construction can tend to take these days, just recognize that and make that a little bit longer. a second would be to offer a potential free month of rent to the extent that the tenant is signing on a multiple year lease. i think right now, it's one month per year, so we're discussing something longer and coming back with that. we're also discussing tiered rent. i think this is very common in leases that are being signed today. you would start at potentially a lower level beyond the current parameter and then go up over time.

and then, the fourth bullet kind of allows it to be applied to our [inaudible] and then extend the lease out so that we get them up to parameter by the end of the lease. the last item we wanted to mention is regard to our maritime tenants who are looking at potential lease renewals, we want to come back with a potential reduction with what we've affectionately called our rent tenants. they have berthing space, shutter leasing space, and office space. to the extent they have all

three of those and are a maritime tenant, we would offer them a reduction in a portion of that lease. we don't have a specific proposal there, but it's been something we've been talking with maritime group and bringing a consultant in as well to look at similarly situated ports after the bay area to see if there's this full office space is harder for tenants to pay and it's harder for them to be competitive with that office space as compared to a special tenant. next slide, please. just for your information, we're working, continuing to work with a consultant on five-year forecasts. we're also just asking them to do a market overview for different san francisco-based businesses that we can target as we get more vacancies. we're asking them look at a cup -- having them look at a couple of our spaces in detail.

we're also looking at our typical restaurant r.f.p.s that we've done in the past to make us ready in case we need to do an r.f.p. in the coming years or month as to whether we need to restructure that r.f.p. to make it more successful, and they're marketing a template for us to makeup a nice marketing and leasing flier. next slide, please. and the last item i wanted to mention that we're looking at that we're able to do at the staff level is examining whether or not we can provide more of an incentive to tenants who may be shrinking their footprint, to sublease that space, currently, we get every dollar that they sublease fore that's above their rental rate. we're currently looking at a

split to incentivize and then we would share the excess revenues in some wa up to 50/50. i think we would look at other splits. as well. i think that's the last step. i'd love to get your comments today. i'm sure there are so many. there's a lot of information, and for the items that we are seeking your approval for, we'd be doing back that in the next meeting or two, and then we'd come back before the summer with a presentation how the market is responding to our tools, how the tenants are

responding to it. that's my presentation. i appreciate everyone's input. >> thank you. now, let's open it up for public comment. for members of the public who are joining us on the phone, jennica will be our operator and will provide instructions now for anyone on the phone who would like to provide public comment. >> operator: thank you, president brandon. at this time, we will open the queue for anyone on the phone who would like to make public comment on item 11-b. please dial star, three if you wish to make public comment. the system will let you know when your line is open. others will wait on mute until their line is open. comments will be limited to three minutes per person.

the queue is now open. please dial star, three if you wish to make public comment. >> thank you. do we have any people on the phone? >> operator: yes, president brandon, we do have two callers on the line. >> [inaudible]. >> operator: okay. opening the line now. >> this is randall scott, fisherman's wharf community benefit district. i just want to thank the port for all their on going efforts to -- this is kind and supportive of the port tenants and driving as much, you know, economic activity as i can, you know, toward them so they can, you know, stay afloat at least in the fisherman's wharf area going should those tenants take advantage of those opportunities, so thank you very much for that investment because we do see it as an investment in the tenants and

the wharf itself. the community benefit district as a whole, although we did -- the portside did not renew, they had significant interest, and we'll be rolling out our afill@program for those businesses that want to go forward with our services, to include -- we'll be investing heavily in marketing to the wharf area and using aye conic wolf brand to hopefully pull in more investments in the wharf before 2025. thank you for working with the port, and we look forward to working with port staff and moving the wharf, you know, faster and better than it was before, so thank you. >> thank you for your comments. [inaudible] are there any other comments? >> operator: yes, we have one

more comment on the line. >> please open the line. >> operator: thank you. the line is open now. >> good afternoon, president brandon, vice president adams, commissioners. this is pete sidnick, managing bar at water bar and epic steak, two businesses on the waterfront, and i also want to express my gratitude and thanks to the port and the port staff for their concern over the economic recovery for tenants on the waterfront. i do want to point out a couple of different programs that i think really need to be taken a look at. one would be the percentage rent program, that would need to be extended over this year,

2021. we're going to face a really tough uphill battle in bringing economic recovery to san francisco and the waterfront as has really been proving out in the last few weeks with the investments that need to do outdoor dining just in february has proven to be really challenging. the second would be the payback schedule on deferred rent, i believe, really needs to have an extended payback period because you're looking at some times right now that cash is so scarce, to be able to payback a deferred obligation is going to be challenging, and just to stay current on rent obligations is going to be a

challenge, as well. the third one would be the shared spaces program, and again, very thankful for the lead that the port has taken, along with partnering with ccdc to get additional restaurant space and outdoor seating. i think this is a program that's absolutely critical that needs to stay in place. if we're really truly going to be partners, rather than landlords and tenants, these are the types of programs that in order to drive revenue are absolutely essential, and it's going to take a concerted effort on all parties in order to get us back to a position of sustained economic recovery. so thank you, and i appreciate

you letting me speak. >> clerk: oh, you're on mute, president brandon. >> sorry. thank you, pete. jennica, are there any other callers on the line? >> operator: press brandon, there are no more callers on the line. >> thank you, jennica. with that, public comment is closed. commissioner [inaudible]? >> yes, thank you, rebecca, for that detailed presentation -- oh, somebody's phone. i think the world going forward is not going to be the same as the world before, so it's not getting back to normalcy. i think we have to reimagine how the port is going to be used by tenants in the few

tour, and that could be by different tenants or a different mix of tenants in the future. [inaudible] in sort of that strategy at a very high level, but that did create economic vibrancy by mayor ed lee, and etc., so now, we have a different set of challenges during the pandemic and also our social issues with the city that were even existing prepandemic, so i think there's got to be different thinks at city hall and other community leaders as to how we imagine this city is going to get back on its feet and how will space

like ours be used in that economic recovery. i think we have designed a very good toolkit, and that's exactly it. it's a toolkit, it's tactics, but it needs something to connect to to make it work, and i think we're still missing a piece that we can't do by ourselves, and i think we need to connect to the bigger picture of how it's going to be used. yes, it's possibly -- you know, our programs may not extend as much as they need to. we've had a number of, i guess, ups and downs and waves that have delayed things, so we may have rethink some of those parameters. and we don't know, except there's a little bit more hope this time, as we get through a period of vaccines and people -- and we're pretty good in the bay area in terms of

observing all the safety protocols, that maybe this thing will be, by the end of the year, in a much better place. we were at a 200,000, and now we're down to less than 50,000 a day, so we're making progress in that regard. but i do think that as our tenants, if they can only see right now the first couple of quarters ahead of them, it's still very tough. 2021 is going to be a very difficult year. but hopefully in 2022 and beyond, things could get back on a track. so what i would like to suggest is, in all your toolkits and tactics, and this refers to a lot of deferred part of the program, that we have designs and triggers, so that if things

do get better for them, better than we expect, that we can then step up a little bit of what they can do to help us because we do have so many needs at the port. you look at the capital planning budget, it's still a huge challenge for us to be able to do what we need to do to keep this port fiscally sustainable, and even our longer term issues with the seawall and sea-level rise etc. i hope that we can sort of figure out how to design triggers that sort of initiate the deferment. we have to figure out how to

recover as a port, as well, with all of our needs, so we need to figure out a longer-term design as well as help people get through this very short-term period paying. and the usually way of doing this is not going to work. it's going to take a lot of reimagination of how the space is used. could be used differently than it has been in the past, and so we have some exciting r.f.p.s, and people that are going to do some things in some of the bigger spaces. but as tenants, i think we need to rethink that, so i'm just asking to connect the dots with the overall strategic plans [inaudible] if we can't get the city back, and right now, the projection's not very positive. we have people leaving the city, and people working from home is going to change our way of life. we have to think about what's going to build this economic recovery, and i don't have the

answers. i'm just asking the questions, and we need to get down to how this actually gets down to the execution of policies, procedures, tools, and tactics. that's my reaction. i appreciate all of the efforts and the presentation; that we are trying to work in parallel with our tenants, but we are not the ultimate partner that can also just take the loss and write it off forever, so i hope we can take this and do something creative in the long-term. i will yield at this point. >> thank you. >> thank you, commissioner woo-ho. commissioner gilman? >> thank you, rebecca, for the report, and i echo many of

commissioner woo-ho's statement. she was right on point on so many things. i just have one question, and this is just more idle cure i don't sayity -- curiousity. when you spoke about the 161 tenants that owe back rent -- >> and it wasn't back rent, it was that they rent about $267 million per year, but the back rent is bigger. >> i'm sure it's not proportional, but that's about $47,000 per year per tenant, if you were to divide it in, but was this really small leases because this seemed like a really small amount to me. it struck me with a large group of people to represent such a small number. >> you've got it right. it's a lot of small tenants, and just to remember, this

excludes the tenants who've applied for forgiveness. they've neither paid rent nor come forward and said please forgive my rent going back to march. you're right. it's a relatively small number. >> okay. so i guess i'm -- i guess i'm -- i guess there's no reason why we couldn't do this from a legal perspective. i think when we collect data points from a tenant, that should feed into our decision making as a commissioner. i want to use the most limited

definition for a small business. i would think the city has a more narrow definition, but i'm trying to identify the city's mom-and-pop small businesses. if they're a majority, minority owned or p.o.c. led or owned business organizations, i think these demographics are important when we're looking at the overall portfolio. i wouldn't want to see us end up, in 2024, when the economy is coming back or we're in more full recovery, seeing that the tenants who are able to weather this downturn in the economy and the pandemic were only our larger tenants, our tenants who had more equity partners, or our tenants who did not

represent the fabric of san francisco from an equity perspective. so i think these things are important when we're looking at these policies to make sure they're fair and equitable because there are individuals who run businesses who might be brilliant at running their businesses or doing whatever they're doing to be a tenant of the port and the office, it could be a defined interest, who may not have the sophistication. it is still sometimes, for some folks tricky, burdensome, hard for folks to contract with a city or governmental entity. so for me, moving forward, i would, whether we're in negotiations on, you know, shrinking space, reducing lease payments, if we're coming up with more deferral programs, i'd like to understand who's taking advantage of those programs so we have a snapshot

of who those folks are. there's a difference between a coffee stand on the pier and, with all due respect, boudin's. so i'm just hoping we can collect that data moving forward. i think you've given so much thought to this. we're a leader. the airport took our lead on our sort of deferral program, so i really appreciate everything that the staff is doing for us and our tenants to help weather the storm, but i think this information is important. >> thank you, commissioner. we have been thinking about how to collect data, and we have sort of our typical annual process that we go through, and we're looking to analyze and

add additional data to that. we're working with the city attorney to figure out how to ask the question the right way to get the information that we need. >> thank you so much. and then, particularly on the small business front, because so much more is becoming available to small businesses, under 20 employees with sort of net profit and gross receipts, i just think we can help facilitate them, seeking in the right direction, what they're looking for. >> thank you. >> thank you. vice president adams? >> right now, i have no questions. rebecca gave a comprehensive report. i'm going to be following up with her and ask a lot of questions. that was deep. that was just so thorough. i've never heard a report like

that. thank you. >> please do. i welcome -- we're all getting so much information, and i want you guys to have what you need, so please reach out to executive director forbes and me. thanks. >> thank you, rebecca. [please stand by]

>> clerk: at this time we'll open up the queue for anyone to make comment on item 12a. dial star, 3, if you wish to make public comment. the system will let you know when your line is open. others will wait on mute until their line is open.

comments will be limited to three minutes per person. the queue is now open. dial star 3 to make public comment. >> thank you. we have any callers on the line? >> clerk: president brandon, at this time there's no one on the phone for public comment. >> thank you. seeing no callers on the phone, public comment is closed. >> and thank you for your presentation and they're so informative and how you present them, i could sit here all day and listen to them. so thank you so much, it's like you're a radio announcer. i have no questions. the one thing that i wanted to track with you, that we should track at the state level is a couple things. one is sb5 is moving through. that's going to be a state-wide housing bond. they're looking at between $8 billion and $10 billion, excuse

me. so i think that since we the resiliency was kicked in the last cycle due to the school bond, we should talk to the bay area delegation about. i believe that senator wiener is in discussions with the pro tem on the size of that bond so i wanted to call that to your attention and say that whatever ways that us on the commission, you know, at the state level or others can be of assistance, feel free to reach out, many of us in a variety of other roles are in contacted with them. you're tracking the right things and hopefully there will be a package in d.c. when we move forward that will be in alignment with president biden's goals, particularly around climate change and sea level rise to get needed funds to us. and whatever we can keep doing also to remind the public that unlike the airport and the m.t.a., we have not received care or stimulus dollars.

i think that is important and we know that the public doesn't understand why we're not doing better financially. an excellent report. thank you. >> thank you. we'll track sb-5. >> thank you. commissioner? >> you're on mute, commissioner. >> all right, i was going on and on. thank you for this excellent report. very thorough and complete and as we have started to ask for this report i guess over the years, and with the commissioner brandon and vice president adams, and also making trips to washington, i know that this has taken a higher priority and we have gotten more visibility and i echo the comments for the

delivery was also excellent. all of the reports today have been amazingly great from the staff. i appreciate that. and i think that the fact that you all stepped in and you made speaker pelosi aware that we were not getting our share of the cars act is excellent. because actually we are less resourceful. and so it's great to make sure that we're part of the infrastructure, such an important part of the infrastructure, not just for the city but for the west coast, for the country, that the portion be considered in any of the bills allocating the important strategic funds. and so i compliment and hats off to you to keep fighting the battle. this is probably one of the more encouraging reports today in terms of what you are doing. and the fact that, you know, we have some hope here to be able to sort of look for some funding

that will enable us as well as hopefully to sustain the port and as much as possible to also help our partners and tenants as well. so i'm going to encouraged by the progress. i think that this was handed off to you and you have stepped into big shoes and done it well for us. thank you. >> thank you. >> thank you, vice president adams. >> a great report. we've got to go to work and i appreciate you doing what you've got to do. we have to take advantage of this opportunity. a few thoughts. it's good to know that we have an adult in the white house now. and we have a president that is 78 years old and he knows that he's got maybe four years and he's probably going to be one term so he's got to get stuff done. so we have to push our agenda.

we've got to be engaged and we need to be on fire. i'll just give you an example. look at what happened down in texas. he didn't play any games and he went down there and gave them some money to help the people down in texas. he's an adult. and he was supporting. so that shows you what that president cares. i'm really concerned about the cruise industry because this is hitting us very hard, even with the port, and seattle, and alaska and san diego. a lot of the senators don't want to give money to the cruise ships because they don't pay any taxes. and post of them are registered and they have taken a lot of cruiseses in the bahamas or other places. so i had several heads of cruise ships call me and say, hey, can we get some support but they don't pay. so i don't know how we do that but we definitely need our cruise industry, especially when we're talking about a recovery here in san francisco of 2025.

this is long overdue that we have not gone out and tried to get some of this money. and we have supports. so we need as many resources as we can. and he basically said that he'll do what he will do and he's stuck on the $15 an hour, and i think we're doing it here in san francisco. so you can count me in to do any lobbying and make calls. i have a good relationship with the speaker reardon and of course speaker pelosi.

and vice president harris. we know them, that family. i know the senator very well. and let's push our agenda forward. >> thank you, board. thank you so much for a wonderful detailed, competent report. something for us to actually look forward to. and it's so wonderful that you are bringing to life all of these various federal and state bills in formation and as my fellow commissioners have said we are here and here at the local, state, and federal level, however you need it, to bring money to the port and our

tenants. so thank you so much for this presentation. >> thank you. >> president brandon, may i ask one thing of the board. probably the most politically savvy person is not here today, commissioner burton, who was the chair of the party and everybody knows john burton. so let's give commissioner burton and maybe president brandon to put him to work. so let's use john burton and thank him to open up some doors and make calls that maybe the rest of us can't make. thank you. >> thank you. >> thank you, board. >> thank you, commissioners. >> call item next please. >> clerk: item 13 is new business. >> i am coming back in no less than six months on piers38 and 40 to review the diversity and equity and inclusion program. any other new business?

>> any other new business? if not, commissioner gilman, a motion to adjourn. >> yes, president brandon. but before i make the motion to adjourn i hope that we can adjourn our meeting today in memory of lawrence getti, the first poet laureate of san francisco who came here in 1951, and in 1953 opened up with two other owners city light bookstore. he's been an icon of san francisco and at the ripe age of 101, he passed monday evening. he was particularly to the neighborhood that i love and call home on the northeast side of the waterfront north beach. and folks are gathering socially distanced and wearing masks and leaving memorabilia at the city light bookstore. so i hope that we could close in his memory. survived by his daughter and

son, lorenzo, so i hope that we could do that. >> is that a motion? >> a motion to adjourn in his memory. >> second. >> can we have a roll caught vote. >> clerk: [roll call vote] >> great, the meeting is adjourned at 5:24 p.m. >> thank you. >> have a wonderful evening. >> coping with covid-19.

today's special guest. >> i am chris manners, you are watching coping with covid-19. my guest is the director of economic and work force development here to talk about the programs the city has in place during this crisis to help small businesses and vulnerable and disconnected residents. welcome to the show. >> thank you for having me. it is a pleasure to be here, chris. >> start by talking about gift to sf. it provides many of the resources we are talking about. could you tell us a little bit about the focus of gift to us. then we will talk about specific programs. >> i very much appreciate the question. for anyone who is watching right now, so much of the work that has been accomplished to serve most vulnerable is because of very generous donations to the give to sf covid-19 response and

recovery fund. over $28 million has been fund raised to support areas as important as housing stabilization for vulnerable communities, food security programs which has been a big issue not only in san francisco but up and down california and of course across the nation. very much thinking about workers and family members who may not have been access to state and federal programs the same way that others who are impacted have and do. that was to make sure families and workers were supported with relief. small business community to make sure they have access to loan was and grants. we are excited how diverse we have been able to do this. we have been able to roll these out to ensure that our communities are supported by our city together with all of us with city funds and

philanthropic dollars to help realize them on behalf of the community's needs. >> that is great. now, many of our small businesses don't have large payrolls. they are unable to qualify for the federal ppp loans. does the city have active programs available for small businesses to help with ongoing expenses such as rent while they are still closed? >> certainly. one of the programs we launched in partnership and because of the ability of the give to sf loan fund presented us with was for loans and grants to do that. we knew in the beginning that it was not easy for smaller businesses not connected or those who were to get an answer around relief provided through ppp. we have seen success of the program. we knew it was important at the time to also have the san

francisco hardship mcwas emergency loan program be launched and designed to support businesses who needed resources the most. we have committed $15.5 million in ongoing covid-19 small business financial relief. we have awarded grants and loans to over 400 small businesses thus far. we wanted to make sure that we were equitable about that approach always guidings work through racial equity lens. one of the most important pieces is ensuring every district would be represented and also more equitable work and places where we were doing that work would be supported through these efforts. in the first phase $1 million to 128 small businesses and 29 different neighborhoods with up to $10,000 in funds to support those who were experiencing loss. we set aside a minimum of $2 million for low and moderate

income owners to ensure they were supported with relief efforts. neighborhood goes like lower filmore, bayview, castro and excelsior. long-term businesses have given to the city and we want to give bamto them as well. then because we were looking for additional funding sources, we took dollars that we had with existing partners already with our partners to do small business work and help convert to support women entrepreneurs around san francisco and very specific neighborhoods for mini grants to serve immediate needs. every little dollar helped. >> one of the programs that just become available. right to recover. >> i am glad you are asking about right to recover. we know that it is extremely

valuable right now as we look to incentivize community members disproportionately impacted by covid-19 by economic hardship, spaces to work in because they need to provide for families, having access to the economic relief or wages that you count on to protect yourself, stabilize your families, support your families and children or parents or extended family. that is a huge disincentive if you believe you may not have access to quarantine to do what we want you to do. if you are sick to get tested. if you test positive to quarantine and stay home. so that you can get better and not infect anyone else. that comes at a cost. you are not going to work, not making wages. for so many low income workers that is not acceptable.

this is to provide relief based on the individual to give minimum wage for that period of time. when they walked into the testing site they knew if i test positive is there a program to help me, we could say yes? that was important to mayor breed, extremely important to supervisor ronen and they worked together to make $2 million available to support these individuals. together with the department of public health we have a holistic system to fill the gaps that may exist to encourage people to get tested to do the right thing. wear a mask, social distancing, not going places when they are sick and doing our part to make sure they were incentivized. >> not having sick pay with the virus would be really stressful.

>> it is important for undocumented. we know the lat inx is more than 50% of the positive cases and may not have access to sick leave or financial hardship to do the right thing and to quarantine with financial relief. >> as we start another new releaf program. african-american small business revolving loan fund. how will that fund work? >> well, i am very, very proud. this fund. i do have to give a shout out to our invest in neighborhoods team who worked day and night with the african-american chamber of commerce and main street launch to support the zero percent interest loan up to 50 thousand

dollars. we have been striving to be specific and target communities of color and african-american small business entrepreneur community. it is so much more difficult for this community to access resources and it was important to do something in this moment that is reflective of a movement we know has been emotion for such a long time. for us to do something real, provide financial relief for the community in this way and for them specifically. we are very proud to get this up and running. we look forward to applications being live so people from the african-american and black business communities to get relief. flexible terms. forgiveness up to $50,000 for those loans which can make a huge difference fought only for relief when you think about rent for a small business but also in terms of long-term recovery and

being smart about the moment. there are businesses with the ability to be open, even a little bit. it is a stress on them. there are others that don't have the ability to do this at all. where is their relief? they wait for us to do our collective part to ensure we can re-open. these dollars, very specifically for the black entrepreneur community are important for long-term viability success. that is good for them, the diversity of the city we hold dear and we need to be proud of. >> do we have active programs for disconnected or underserved communities? >> absolutely. as i was mentioning just simply about the right to recover program. when people go to the mission hub at 701 alabama within the mission district to serve the community, they are providing food security, access to resources.

what they have done is extraordinary in terms of partnering with the city with relief efforts to help pay and maintain food distribution for families. thing are important like the latin x to do so many dishes with one item masa. access to rise, cereals, milk, butter, fresh foods and vegetables. that is across the city in the entirety in those areas of need. to ensure those programs are made available for our most vulnerable communities. seniors or families who desperately need that help. >> finally, is there a website specifically designed to provide access and information about these resources? >> one of the easiest things to do, people have a general

question and to want don't have access to the internet call 3-1-1. reach out. we have been working closely to ensure the members and staff have the information they need to get what you need. as you call in. most specifically for workers, employers, nonprofits to go to our website oewd.org and click on covid-19 which is a large button on the site. you will find a full list of information specifically designed for you as employer, as worker and nonprofit so that you know where to go for resources. also, our phone number 554-6134 for the small business hot line. the incredible staff are administering those lines. if they don't answer they will get back to you so you can talk to a real person in multiple languages. also e-mail sfosbasfgov.org.

again, visit the website oewd.org and you can find that. in terms of workforce (415)701-4817. someone will get back to you if they don't pick up immediately to answer your questions if you are a worker. then to donate. give to sf.org. all of that information is to find to the website if you need resources or you need an understanding how we are phasing re-opening or updated information, please visit us. we will get back to you. we look forward to serving you and the community to get through this very, very challenging time. >> that is great information. thank you so much for coming on

the show. i really appreciate the time you have given us today. >> it is a pleasure, chris. thank you for helping get information out to our communities. people are aware your government is hard at work on your behalf to get you what you need during a dynamic and challenging time. >> that is it for this episode. we will be back with more information shortly. this is coping with covid-19. i am chris manners, thanks for watching on sfgovtv. >> hi. my name is carmen chiu, san francisco's elected assessor.

when i meet with seniors in the community, they're thinking about the future. some want to down size or move to a new neighborhood that's closer to family, but they also worry that making such a change will increase their property taxes. that's why i want to share with you a property tax saving program called proposition 60. so how does this work? prop 60 was passed in 1986 to allow seniors who are 55 years and older to keep their prop 13 value, even when they move into a new home. under prop 13 law, property growth is limited to 2% growth a year. but when ownership changes the law requires that we reassess the value to new market value. compared to your existing home, which was benefited from the -- which has benefited from the prop 13 growth limit on taxable value, the new limit on the replacement home would likely be higher.

that's where prop 60 comes in. prop 60 recognizes that seniors on fixed income may not be able to afford higher taxes so it allows them to carryover their existing prop 13 value to their new home which means seniors can continue to pay their prop 13 tax values as if they had never moved. remember, the prop 60 is a one time tax benefit, and the property value must be equal to or below around your replacement home. if you plan to purchase your new home before selling your existing home, please make sure that your new home is at the same price or cheaper than your existing home. this means that if your existing home is worth $1 million in market value, your new home must be $1 million or below. if you're looking to purchase and sell within a year, were

you nur home must not be at a value that is worth more than 105% of your exist egging home. which means if you sell your old home for $1 million, and you buy a home within one year, your new home should not be worth more than $1.15 million. if you sell your existing home at $1 million and buy a replacement between year one and two, it should be no more than $1.1 million. know that your ability to participate in this program expires after two years. you will not be able to receive prop 60 tax benefits if you cannot make the purchase within two years. so benefit from this tax savings program, you have to apply. just download the prop 60 form from our website and submit it

to our office. for more, visit our website, sfassessor.org, >> by the time the last show came, i was like whoa, whoa, whoa. i came in kicking and screaming and left out dancing. [♪♪♪] >> hello, friends. i'm the deputy superintendent of instruction at san francisco unified school district, but you can call me miss vickie. what you see over the next hour has been created and planned by

our san francisco teachers for our students. >> our premise came about for san francisco families that didn't have access to technology, and that's primarily children preschool to second grade. >> when we started doing this distance learning, everything was geared for third grade and up, and we work with the little once, and it's like how were they still processing the information? how were they supposed to keep learning? >> i thought about reaching the student who didn't have internet, who didn't have computers, and i wanted them to be able to see me on the t.v. and at least get some connection with my kids that way. >> thank you, friends. see you next time.

>> hi, friend. >> today's tuesday, april 28, 2020. it's me, teacher sharon, and i'm back again. >> i got an e-mail saying that i had an opportunity to be on a show. i'm, like, what? >> i actually got an e-mail from the early education department, saying they were saying of doing a t.v. show, and i was selected to be one of the people on it, if i was interested. i was scared, nervous. i don't like public speaking and all the above. but it worked out. >> talk into a camera, waiting for a response, pretending that oh, yeah, i hear you, it's so very weird. i'm used to having a classroom with 17 students sitting in

front of me, where they're all moving around and having to have them, like, oh, sit down, oh, can you hear them? let's listen. >> hi guys. >> i kind of have stage flight when i'm on t.v. because i'm normally quiet? >> she's never quiet. >> no, i'm not quiet. >> my sister was, like, i saw you on t.v. my teacher was, i saw you on youtube. it was exciting, how the community started watching. >> it was a lot of fun. it also pushed me outside of my comfort zone, having to make my own visuals and lesson plans so quickly that ended up being a

lot of fun. >> i want to end today with a thank you. thank you for spending time with us. it was a great pleasure, and see you all in the fall. >> i'm so happy to see you today. today is the last day of the school year, yea! >> it really helped me in my teaching. i'm excited to go back teaching my kids, yeah. >> we received a lot of amazing feedback from kiddos, who have seen their own personal teacher on television. >> when we would watch as a family, my younger son, kai, especially during the filipino episodes, like, wow, like, i'm proud to be a filipino. >> being able to connect with someone they know on television has been really, really powerful for them. and as a mom, i can tell you

that's so important. the social confidence development of our early learners. [♪♪♪]