accommodatedbuilding for our tenants to live in and reside . we do also have some tenants who been concerned saying it's great vaccine is out and so many people are being vaccinated but of course the fact that there's still a concern that covid could be contracted by various workers coming in twoapartment buildings . additionally although it may not sound so intense of a reason there are with these seniors in particular having additional people, not just workers but someone come in and help them and our company who was going to do this work to empty out closets and create a large space for the work to be completed over a day or two in each unit and that would require more workers to come in toindividual units where a tenant may need help in doing

that clearing of their closets . we are in support of the increasingthreshold to 99,000. >> chair melgar: thank you so much .next speakerplease . >> caller: good afternoon, my nameis megan bierman . and i also am an owner and manager of some smallapartment buildings here in san francisco . i really appreciate everything the other speakers have said and very much appreciate you considering this extension of this deadline. because shelter in place is just proving to be extremely burdensome and stressful for tenants, we're having a tough time. we really are between the economic streams and job losses and theworries of health and safety . the less we candisrupt them the better off there going to be . so that's my concern.

it's just i don't want to disrupt the tenants to have this work completed which needs again on twoof my buildings . i did also send into the department association meeting a tenant lawyer panel and they also expressed that tenants who are coming to them, many of the complaints have to do with this exact issue where they are having difficulty having contractors come into their apartments and the noiseissues and it's just really tough being at home . all the time andtrying to carry on in a reasonable fashion . so thanks for looking at this and i to agree with the amendment proposals taking it up from 50,000 to 99,000 four figure in the mandatory work. if we have projectsthey have to

get done . be it electrical or sewer, what have you. it can easily run over 50,000 and there you will be with major heavy work so that would be a great help as well as for the apartment buildings and have been purchases since 2017. it would just be great if all the buildings were inline . thank you. >> chair melgar: next speaker please. >> caller: hello, my name is catherine snyder. my husband and i own a small apartment building in the richmond district and i'm speaking to ask you to extend the deadline for the fire alarm systems through their restrictions affecting my tenants.

i postponedprojects over the past year due to the shelter in place regulations .i do not want to add any more disruption to the lives of my tenants. they do not want strangers coming into their apartment at thistime to do extensive work . i have several law students movingthere would have to have their classes online at home and they can't go to campus to study either . the other tenants are working at home and they're not happy about having a major construction intheir home at this time but we don't like having strangers come in . please extend the deadline so we can be safe and sure when we finally areable to do these upgrades . i'd also like you if possible to increase that 50,000 to 99,000 when it comes to renovations and causing a trigger. that's my comments and i appreciate you listening to me

and my other landlords.thank you. >> chair melgar: thank you so much,next speaker please . >> caller: my name is keira rob and we have a 27 unit apartment building here in san francisco. we actually went ahead and completed this work last week and the reason why we had done is because the deadline was approaching and we were watching to see if they were going to extend this deadline was only a couple of months left. we were worried if we didn't have it done it would be difficult to do itcause the companies that would be able to do it would be booked . and we were also worried if we didn't meet the deadline thatwe would have trouble maintaining

our fire insurance policy . so we had done and it was very disruptive. we had nine workers in the building. two were workingin different units at a time . we did our best to follow the workers around to make sure that they were following correct, safe protocols. it was very hard for us to be able to keepan eye on all the workers all the time . we had kids that were doing school online that had to get off their computers because the workers were going in their rooms to work in the closet. we had tenants that were working from home and that was disruptive. he also had some elderly tenants so it was pretty tough. we've also had some vacancies this year.

and several of our markets great renters requested rent decreases which we agreed to sell our tenants have been hit as well. estimates we gotranged from 125,000 to 40,000 . so it's a big job and i think it would definitely make sense for this deadline to be extended. so anyways, ... >> chair melgar: thank you for your time. we have 10 listeners, i apologize for cutting you off but we are at two minutes for your time. if we can takethe next speaker, we have 2 left into . >> caller: my name is karen o'neill. [inaudible] thank you for

extending our need. most work has been delayed due to covid and in addition ... [inaudible] either us for outside contractors. it was a disruptive project in the best oftimes , tying it to the end of covid creates chaos for residents . the backlog caused by covid means the subcontractors we are working with our already telling us are booked 6 to 8 months that and in that light it would be near impossible to get all theresidential's taken care of within theone year has been discussed . please do the 2 your window for the upgrade . inaddition leased to the threshold 99,000 for the work to be triggered . as you know, both supplies and

labor peace exponentially over the last year and that is showing no signs of slowing down . we've received one year ago and in addition please do all deadlines with every other building in the city and bring them all to july 2023 four implicitly andto be able to enforce . thank you very much for your time. we appreciate that you're looking at this and let usknow if you have questions . >>. >> chair melgar: next speaker, this will be the last into. >> caller: this is anastasia, i'm a tenant and a member of the san francisco tenants union nine only one of all the commenters who's going to talk about what tenants think about the two-year extension. i question why sit it be justa

one-year extension ? i mean, this is my safety. i think if people get their permits or whatever to start the work, in a year and complete it by the end of the year, that's sufficient. we lost so many buildings to fires, we wouldn't want any of these homeowners, apartment owners to lose their buildings andpeople to lose their lives . i would consider a shorter time limit for that extension if possible. thank you. >> chair melgar: that concludes the public comment period. >> erica major: with that publiccomment is now closed .

supervisor peskin. >> supervisor peskin: thank you madam chair and thank you to deputy city attorney pearson who actedout as to the amendments i mentioned prior to public comment , the corresponding same amendment should be made in section 110 3.7.6.1 on page 4. so i'd like to move to do that in both aces on pages fourand five . that language has been circulated to all of the memberssince i last spoke . i also want to say a few things. number one, i have received during the pandemic quite a number of calls and emails from tenants and have been driving rich brown and ddi crazy over what you actually heard from

representatives of the property owning community. i've certainly heard a lot of itfrom tenants . as a matter of fact i haven't gotten complaints about compliance from property owners . i've gotten complaints from people who are sheltering in placehaving to deal with this during the pandemic and look , we are ... our emergencyorder and original lockdown is over a-year-old . no disrespect to the governor of the great state of california, but i don't think we're going to be out of the woods on june 15. rather than extending it one year and extending it another year, with all due respect to my friend anastasia, i think two years is right. it gives everybody a predictable, stable date that they have to supplyby . so i would like to move those

amendments and i really want t thank chief sponsor , supervisor stefani for this and her staff, andy mullan. i would like to formally move those amendments on pages four and five. >> chair melgar: madam clerk, can you please call the role on the motion to adopt these amendments. >> erica major: on the motion as stated bysupervisor peskin, supervisor peskin .[roll call vote] you have 30 aye's. >> chair melgar: thank you. >> supervisor peskin: i like to make a motion to continue this itemone as amended >> chair melgar: do we have to vote on that motion ? i didn't hear you madam clerk.

>> erica major: youare good madam chair . on the motion as stated by supervisor peskinto continue the item as amended, supervisor peskin .[roll call vote] you have 3 aye's. >> chair melgar: the motion passes. madam clerk, would youplease call item number two . >> erica major: item 2 is a move to amend the housing code and affirm appropriatefinding. members of the public whowish to provide public comment on item number two should call th item on the screen . extra 18 . the meeting id is 187 724 4053 . then press pound, pound. if you have not done so, please dial star 3 to lineup to speak

for item number two. lookclosely for the seven system prop .when we get to public comment list and listen for the system to indicate tha you have been on muted and you maybe get thank you madam . thank you supervisor peskin for introducing this item. we are joined by john murray from the department of building inspection and also chief housing inspector. supervisor peskin, would you share your remarks ? >> supervisor peskin: this as the legislative digest is straightforwardand simple, this is legislation that would prohibit the removal of existing community kitchens in group housing but would allow replacement or remodeling of existing community kitchens within those facilities . i want to thank thebuilding inspection can committee for

their support ofthis legislation and as you said mister murray is able to answer any questions . i wantto thank my chief of staff who did all the heavy lifting . >> chair melgar: thank you supervisor and thank you . mister murray, would you please speak up. >> john murray: to be honest with you supervisor peskin coveredeverything i was going to say . we are amending this section of the code for the removal of humidity kitchens in group housing and it would permit such kitchens to be replaced or renovated currently in the housing code. there's a minimum size for kitchens but there's not any requirement that they actually be kept in place so this was just a bit of a loophole in the housing code. withthat , i am happy to answer

any questions and as mentioned before i am joined by chief archie housing inspector. >> chair melgar: thank you mister murray and i understand she's not presenting, just available for ourcomments and questions so thank you for that . colleagues, do we have any questions or comments for the ddi staff? with that then let's go to public comment. madam clerk please. >> erica major: thank you madam chair. we have dph checking on the callers. if you'd like to speak for item number two rest star 3 to be added to the speaker line. for those already in q continue to wait and we have 1 color. we have 4 listeners with one speaker. ifyou could unmute the speaker please .

>> caller: anastasia again from san franciscotenants union . i support supervisor peskin's ordinance to prohibit the removal ofcommunity kitchens from group housing facilities . people are living in tiny room . they have barely enough food, heat, water and maybe a microwave in the room so these kitchens are really important especially when you're looking at the new design at 468 turkey street and 470 farrow street. the planning department last week, even the commissioner sue diamond was calling for those communitykitchens so they are really important . thank you supervisorpeskin . >> chair melgar: thank you for

your comments. dd has confirmedthat was the last caller into . >>chair melgar: you madam . public comment on thisitem is closed . i want to again thank supervisor peskin for his legislation, it's super important as somebody who thought a lot of work on tenants rights for preserving affordable housing so thank you somuch supervisor for always watching out for that supervisor preston, do you have any comments ? >> supervisor stefani: >> supervisor preston: no comment. >> chair melgar: do we have a motionto pass this with unanimous decision ? >> supervisor preston: so move . >> chair melgar:let's callable please . [roll call vote]

>> erica major: you have 3 aye's. >> chair melgar:the motion passes unanimously . would you pleasecall item number three ? >> erica major: -threeis an ordinance amending line 1 651 duncan street as a landmark consistent with standards and affirm appropriate findings. members of the public who wish to provide public, item number on the screen, thatanything . meeting id is 187 724 4053. then press pound, pound. listen closely for the system prompt after you dial so you can addyourself to the speaker line . >> chair melgar: we are now joined by the sponsor, improviser mandelman. thank you for introducingthis item . would you please share your

remarks? >> supervisor mandelman: iq chair melgar. thank you chair melgar and happy invisibility day to all. this is an ordinance to designate a longtime hold of the slider: secure one duncan street san francisco historic landmark and i want to begin my thinking supervisor peskin for your cosponsorship. phyllis passed away over a year ago in april were giants of the early lgbtq rights movement. they were the first same-sex couple legally wed in san francisco. the home they live together and worthless the end of her life,

651 duncan is a 751 square-foot college times with stunning views of the city inside of community gatherings, private parties where lesbians could gather really to dance and be themselves and worthless and countless other activists and historical figuresover half a century organizers and community leaders .home is a site of historic value san francisco and the lgbtq movement across the world and it should be recognized and preserved. in february the historic preservation commission recommended moving forward to make 651 duncan first landmark associated with the history of the lesbian community in san francisco today lesbian disability and lesbian visibility week i can think of no better time than to take this long overdue step. while it's been my honor to sponsor this designation is community led effort from the

beginning i want to thank the preservation advocates been leading the effort including the lgbtq historical society, friends of the lyon-martin house and a group organized by shane watson who cowrote the lgbtq historic context statement as well as as heritage, the national trust for historicpreservation the preservation foundation . property owners who understand and engage in constructive dialogue to explore a variety of ways that sites can play a role in honoring phyllis legacy for future generations. i also want to thank pilar love ali from the planning department and jacob from my office for alltheir work on this project . and withthat , i believe we have pilar here to present the committee's recommendations after which we will hear from shane watson and terry of the

lgbtq historical society and meredith jones, property owner to briefly speak to this landmark he as well so if it's all right with you madam chair i'd like to invite pilar lavalle to come speak. >> chair melgar: since we do have a number of speakers i will ask the clerk please keep time. we will have five minutes for miss pilar lavalle and three minutes forthe rest of the center . thank you so much . welcome. >> pilar lavalle: good afternoon commissioners, pilar lavalle, planning department staff. hold on while i pull up some slides. sorry, we will wait forthat to

load . i apologize because supervisor mandelman has covered some of my remarks so hopefullythere's not too much. that afternoon . pilar lavalle, planning department staff. before you is the ordinance recommending approval of landmark designation of the lyon-martin house, home of the pioneering lesbian home . on 2020 supervisor mandelman introduced designation in the land use committee and fall voted unanimously torecommend and approve this resolution which became effective and october 2020 . it was then transmitted to planning for review and recommendation by the historic preservation commission. in the hpc's review commission determined that the house was significant as a home of the

pioneering lesbian rights activists, they were the first same-sex couple to be married twice in san francisco, once in 2004 and once in 2008 and over the course of 65 years togethe , they worked individually and together to be a cofounders, board members or chairs of many local date and national lesbian rights organizations and institutions. a period of significance for the property was identified in 1965 to 2020 which represents the period in whichthey owned and occupied and worked from the property .the house is also significant towards it designation with the development of the first lesbian rights organization in the united states which also had a nationallyknown newsletter called the latter . del martin served as the first president of the organization as and was nationalpresident and a longtime editor of the latter . phyllis lyon was secretary and also a longtime editorof the

latter . during the early years of the organization when secrecy was important, was paramount actually, they used their home to host parties and fundraising events for the daughters of elitists. the boards resolution to initiate landmark designation for the lyon-martin house was designated for two parcels, because those were the properties owned by phyllis lyon and martin. the boards designation was heard by the historic preservation committee commissioned in 2021. the historic preservation commission finding the lyon-martin house significantly historical voted 6 to 1 to recommend approval of landmark designation of the property 51 duncan street only excluding 649duncan street from the

recommendation as shown shaded in the slide . in their deliberations commissioners noted parcels in the house appeared to be the propertymost representative of margin and lyon's significance . on a somewhat related aside, the lyon-martin health services which was named in honor of phyllis lyon and doris martin and was founded to provide lesbians access to nonjudgmental affordable healthcare has been added to the cities legacy bracket registry so just to put that information out there so that's mypresentation . thank you and on to your questions . >> thank you miss lavalle and we will now hear from shane watson of the lyon-martin hous and committee sponsor for the landmark and . >> can you hear me?my hearing

was going to go first,is that okay ? >> chair melgar: sure. >> are you ready? >>. [inaudible] >> i am here, can you hear me? >> chair melgar: welcome. >> my name is jerry beswick and i'm director of the lgbtq historical society and i'd like to thank supervisor trent for hisleadership advocating for the land marking of the lyon-martin house and inviting me to testify today . founded in 1985 , the historical society maintains one of the largest archives of lgbt q historical midget museums and is one of the few museums dedicated to that history so we're proud to hold extensions of civil rights fired pioneers in our

collection. they are among our most frequently sourced and will continue to yield works for many years to come. we cannot overstate the cultural and historic significance of thehouse where lyon and martin made their home . it will forever remain internationally recognized heroes for their leadership in the lgbtq rights, women's rights and other civil rights issues and for 65 years their work was centered atthis house . this journey to a land marking proposal reported by all the major stakeholders has not always been easy i'm please we were able to reach a resolution that sparks significance and honors their family as the new property owners who wish to build their new home on the adjoining property . today is as l mentioned lesbian visibility today and i wish to

thank my colleagues shane watson and greta miller for their leadership and our partners in this effort. also the san francisco heritage and the national trust for historicpreservation . with assistance from supervisor mandelman staff we were able to work with the new owners to achieve a land marking solution we hope will preservethe home for future generations . we were delighted to work with the property owner and her archetype on the land marking and grateful for their commitment to continue working with us on efforts to preserve the house and commemorate its internationally significant district. thank you madam chairman . >> chair melgar: thank you mister beswick. mister watson are you availabl to present ? >> i'm ready. good afternoon, thank you chair melgar, supervisor peskin and

preston and supervisor mandelman. it's an honor to testify on their behalf today, especially lesbian visibility today. my name is shane watson representing the lyon-martin housewhich includes 227 people from around the world who have signed on in support of this land marking . the lyon-martin landmark would be the first landmark in the western united states to recognize and affirm the significance of simply put, lesbian love. yes, this house was the headquarters of intense activism for all people under the queer rainbow but it was also chris's house in the morning but also the truly extraordinary thing for me is this really proud and out lesbian couple was able to legally purchase these two lots

in1965 with no trouble . it's such a simple thing but in honestly consequential when you think about how 651 duncan was arefuge for so many people . especially offering a safe haven or alternative to the bars in the 1950s and 60s and so many of our lgbtq landmarks are gay bars and gay bars are important to our movement as well but the pre-1965 gay bar experience is a sad and dark story where 651 duncan is about love and progress which we could all usemore of right now. let's start focusing on more of that and thank you to everyone . have a good day. >> chair melgar: thankyou very much miss watson . we will lastly hear from meredith jones mcewan, the

current property owner and her architect. >> i am meredith jones mckinnon, the current property owner and i think my architect is here to answer questions and i don't need to take my full three minutes. i'll just say we didn't know about phyllis and del martin when we bought the house and we had a lot of opportunity to learn about them through kerry andthe friends of the house and about their remarkable lives . we hope that this will be an opportunity for many more people to learn about the important work they did and we dosupport the land marking of 651 duncan . that's it. >> chair melgar: thank you so much. well, are there any further remarks or comments from supervisor mandelman or any of my committeecolleagues ?

okay. supervisor peskin, were you going tosay something ? >> supervisor peskin: did you saypreston or peskin ?i knew them both and adored them. i went to the house many times. thank you to everyoneinvolved in landmarking it, supervisor mandelman . it's awesome . >> chair melgar: thank you supervisor. i haveto say this makes me very happy . if there's no further comments or questions let's take public comment. >> erica major: bt is checking tosee the status of callers into . press dark read to be added to speak for those already on hold please continue to wait until the system indicates you have been on muted to begin your comments .

dt has confirmedthere are seven listeners with three in q and if you could unmute the first caller . >> caller: good afternoon supervisors and thank you to supervisor mandelman for his leadership . my name is christina morris and i'm joining you as a member of the historic preservation and our campaign to elevate places around the country where women made history . we are supportive of the designation of the lyon-martin house as a local landmark to recognize the life and work of ellis lyon and del martin and their home as a site of women's history and lesbian activism, civil rights lgbtq rights and while lyon and martens activism as for ben accolades, the house that facilitated their lifetime work means largely unrecognized and unprotected and lyon

observed she and martin would never have been able to achieve the organizing baby hadthey not purchased that home . sadly, sites of women's history and lgbtq history are woefully underrepresented in official designations across the country and this is a disparity that should be confronted and corrected so i willyes . >> chair melgar: next speaker please. >> caller: hello, this is anastasia, adh resident and i thank supervisor mandelman for achieving thislandmark status for the lyon-martin house . this has so much importance and significance to the movement and i'm so grateful that the property owners are in support of the status being landmarked, even though the ashes of the

two women are scattered on the adjacent lot. anyhow, thank you so much. goodbye. >> chair melgar: thank you, next speaker. >> caller: good afternoon supervisors, this is woody from san francisco heritage, heritage mission is to preserve san francisco's unique architecture and cultural identity and we strongly support this landmark designation of 651 duncan. it is a potential civil-rights monument for its association with the couple. landmark designation is an important step in recognizing and preserving that potential

and like supervisor melgar, this action makes me personall very happy so thanks again . >> chair melgar:thank you, next speaker please . 's. >> there are no more colors in thequeue . >> chair melgar: thank you, that makes thepublic comment on this item close . do we have a motion to pass this out ofcommittee with a positive recommendation ? >> so moved. >> chair melgar: will you please call the ball. >> erica major: on the motion as stated by supervisor preston, supervisor peskin. [roll call vote] you have 3 aye's. >> chair melgar:the motion

passes .madam clerk, will you please call item 4. >> chair melgar: due to the initial shelter in place ordinance , policies that promote workingfrom home and safety measures put in place to promote a return to in person business . members of the public who wish to provide public comment on item number four should call the item on the screen , that's 415-655-0001. . the meeting id is 187 724 4053 then press pound, pound. please dial star 3 to line up to speak. listen closely and you'll hear a prompt indicating you have raisedyour hand . please listen for a system prompt indicating you have been

on muted tobegin your comment . >> chair melgar: before we go into this hearing i need to note that supervisor peskin has asked to be excused for the remainder of the meeting and supervisor safai will be substituting for him. where now joined by supervisor safai, can i have amotion to excuse supervisor peskin ?>> supervisor safai: so moved. >> chair melgar:madam clerk, can you call the roll on that motion ? [roll call vote] >> erica major: you have 3

aye's. >> chair melgar: that motion passes and goodbye supervisor peskin, thank you. provides safai, will you please proceed with your opening comments on this item and you will call the presenter. i want to note tonight's last item because there are many presenters i will ask madam clerk to please track the time for the presenters for five minutes for eachpresentation . i'll come. >> supervisor safai: chair melgar. i think we have five official presenters and then if we could go through each of the presentations and ask questions at the end of the presentation, not the entire five but at the end of each one if that's okay with the chair. colleagues, for listening today

and participating, global pandemic has had a significant impact on our local economy. in particular our tourist industry, nightlife downtown office work environment and so we wanted to have a conversation today and we called for this hearing to talk about the status of our commercial vacancies. are they rolling, are they leveling off in 2020? the question for us as legislators is what are we doing here in san francisco? how the facility for how his san francisco when to reopen it and particularly its downtown core? is it the health guidelines that are prohibiting these from sending employees back? is it the current health orders themselves? or isit a shift in the work environment ? as covid-19 shifted our office

and work culture completely and how we are going to do busines ? this is an important question or the land use committee. as a former vice chair we authorized one of the largest land use authorizations and i know chair melgar also a former president of the planning commission dealt the central soma plan. millions of square feet of office space were entitled during the process and is it time to have a look at that? is it something we would go back to? i know, do we still need that office space? do we need to be thinking about something slightlydifferent though although it was years in the making , this has had a dramatic impact as we all know on the way we are approaching

reopening . so since the start of the pandemic office has followed a number of articles that have been written, talked to employers and employees. we had a previous hearing from our economistsand others to talk about the state of the recovery . then back in the early part of april already, most recently they said maybe a third of bay area residents and those who are looking at communing less often into the office and what does that meanfor us here in san francisco ? is it time to getcreated? is it time to really look at that . this is to provide guidance that we need to properly potentially legislate ways to reactivate our commercial real estate and local downtown economy. do everything we can to get into pre-pandemic levels and what are wedoing in the meantime ? we invited the department of

public works and calls talking about the amount of construction going on and is that going to be an impediment to opening things backup? we've gotten calls from small business owners want to know when the office environment is going to be similar to the way it was were beginning to start the look the way it was so we can plan to reopen our businesses so we have several city departments and business leaders and commercial office managers to provide us with insight today on how we should potentially move over and i look also to you colleagues for your experience and the work you've done. with a number of tech companies allowingtheir staff regularly , potentially either forever or partially, what does thatmean for our small business economy ? to produce the demand for their goods and services.

in addition as we infuse money into our city's recovery should we be preparing to adapt for a different type of work and what will our economy look like if companies are allowingpartial, remote or permanent remote work in the months and years to come .we're hearing transit companies allowing their employees to work three days in office in threedays remotely . all that will then begin to shape our conversation . and then as i said, the central soma plan in some areas as to the way theydevelop . two decades ago the city of los angeles to get a conversation about adaptive reuse in their downtown core where they converted manyunused office buildings into houses . i'm not saying we need to go that route right now but i just think that it's worthwhile to begin a conversation and to look at where we are todayand where we might be heading going into the future . so you know, i had a small

conversation with supervisor haney in his district but i also look you chair melgar for your time on the planning commission as chair of this committee to see if it's worthwhile to begin a conversation. so we will be calling five presenters to review the economic impact of our vacant office buildings. my first presenter will be the acting health officer, doctor susan phillips. i know we nominated her, i don't know if it's permanent yet but soon to be permanent health officer for the department of public health . our city's chief economist ted begin and we will hear from our small business commissioner regina from the san francisco chamber of commerce and from the building and managers association , and their team. office of economic and workforce development will be

there to update us on how cities have been working on these issues and provide more context they will also aid in assisting reactivation and the department ofpublic works , planning department and department of emergency management will be here if we have anyquestions . if we could begin chair i like to start with the head of the department or are acting health officer doctor susan phillips and what we need and what path we need to be taking a week and get back to 100 percent reopening of our office buildings and if there are things we should bethinking about as legislators after phillips . >> dr. susanphillips: thank you so much for the opportunity to joinyou today . i don't have a presentation . i want to be brief and give a general framing for the use of offices and other space for

employees ofpublic and private entities across the city . first and foremost, the factor that is going to enable offices to come back is vaccination and san francisco has done a very good job of working collaboratively with the communities and our academic partners and many others to increase activation ahead of the proportion of our vaccine the statelevel or national level . currently we have 67 percent of adults 16 or older who are activated with at least one shot, 43 percent fully vaccinated it is that vaccination status that needs to increase. that will enable people to be able to be inproximity together without all the controls we had . our current status is that in san francisco we enable offices to be open at 25 percent capacity.

we're anticipating that as we move to yellow tear which we are awaiting to see if we qualify with our lowercase numbers that we've seen lately we will be able to go to 50 percent capacity ultimately as vaccination goes up that level of percent capacitywill go away . we will still likely be left with the need for spacing, for distancing. currently six feet between people who are working in an office. that may also change depending on cdc recommendations, california department of public health recommendations and again based on vaccination status but from what we understand as the way the virus transmits for people who are unvaccinated really is, we do need to make six feet and keep masking in place. but with those parameters it is possible to ramp up in person work and be able to do that. the state recommendation does

say to encourage telework as much as possible but again, that consideration is in place right now is the state of the city and council are ramping up our vaccination so that's the overall piece i want to get context of in the current pandemic and how the health considerations playinto returning to in person work . >> supervisor safai: our jump in because you said a bunch of stuff that melded together but thank you for all your tremendous work. are you still acting or did they finalize you or are you permanent? >> dr. susan phillips: i believe the item is coming back to you as a fold board nextweek . >>supervisor safai: we look forward to voting on that . when we moved to yellow, do you anticipate is going to 50 percent capacity, allowing up to 50 percent capacity and then

youmentioned spacing .and vaccination and so on. can you talk alittle bit more about that because if we are at 50 percent capacity , but people are fully vaccinated in the office environment you still need that station and do you still need mask wearing because those are some of the questions that we get no businesses obviously will look to our guidance in the city and youdidn't mention anything about ventilation standards . we passed our healthy building ordinance but can you talk about ventilation as well? i know that's something we are potentially going to vote on tomorrow and then there's also conversations about other things that could be done to make office environments feel safer for workers to return . if you could speak a little bit about that.

>> dr. susan phillips: there's several important points that you raise there. ventilation is an important factor in making sure indoor environments are as safe as possible and i want to contrast ventilation with our services and cleaning early on in the pandemic were space focused and we understand and objects that have a virus on them are not a big route for transmitting . there should be less emphasis on cleaning every hour. it should just be routine cleaning and the cdc recommends that as well but yes, maximizing ventilation, exchange of air ideally through fresh air outside is really ideal. your second point that you made is also really important around how it's different for vaccinated people and vaccinated staff. i think there's increasing work going into how an employer would be able to know and get vaccination status from their employee and your correct that

a fully vaccinated staff would not necessarily have to have the same requirements from a transmission standpoint for virus transmission. however there are as of yet not such differentiations either at the national level from the cdc or from the california department of public health and because we have such an interconnected region we would ideally want to follow state guidance around this because so many people live and work in different counties in the area and certainly to have a regional approach. but i think there will be additional authority and guidance coming from the state level or from the regional level about how to proceed with that as people are all vaccinated. rightnow we are still in a phase in san francisco where we

are doing well . we had a good portion of our population that's not fully vaccinated yet so i think it's good to anticipate what that would look like right now the most likely will have more spaceswhere some people are vaccinated and others are not . so we are trying to find out from the cdc and the california department of public health what is the best practice, there are a lot of things that have to happen for you can make decisions including knowing which of your staff are not vaccinated and right now one of our main focuses is trying to ensure that as many people who live and work in san francisco can get vaccinated as possible and that's going to be our path back into more in person work and in person engagements with each other . >> supervisor safai: we don't have guidance as to say if everyone was vaccinated on this

floor and voluntarily showing they are vaccinated for their position or depending onwhen they receive their vaccination .right now we don't have any difference differentiation and guidance in terms of spacing and mask wearing and other things. >> dr. susan phillips: not in terms of the workplace. one of the first places that has come out our in large events, outdoor events, and the state has said in those situations there can be actions that are vaccinated, vaccination only sections where masking must occur but spacing doesn'thave to occur . dissipating in that guidance will extend into other settings in the workplace. >> supervisor safai: so we can anticipate an environment where people have masks and spacing is no longer an issue. >> dr. susan phillips: that is potentially what we will see that we haven't seen guidance yet but that is what would make

logical sense based on what they've already released. >> supervisor safai: okay and i have one last question and if my colleagues have any other questions. the governor made the announcement about reopening june 15 in terms of a larger reopening date, how does that play into the overall conversation about the workplace? >> dr. susan phillips: i think what that's dependent on again is continuing our trajectory of vaccinating people cause again, it really depends on how well protected we are. people are against this virus. rather than any particular date but if we're able to keep on this trajectory we believe we will have the vast majority of people in san francisco vaccinated by that time . so we can move forward with thinking about what would it look like to have a workplace

and again, we are anticipating more of this guidance will come in about what we can do people who arevaccinated in terms of how close they can be . do we need to continue wearing masks indoors, all that guidance is forthcoming so we can anticipate we will be seeing more guidance will be days in which people can be closer proximity together in workplaces or otherwise . wejust don't have all that in hand currently . >> supervisor safai: i guess i have one last question. i know they anticipate doing away with the pierce system in terms of the color system is that something that would happen , is it something we are thinking might happen before june 15 or right around that time and then at that point we would , everything would change depending on vaccination level statewide . >> i think for the state i think that they are anticipating and signaling to us at the local health department level that it will

be on june 15 but we are preparing to do as much as we can before that date, understanding after that date we will want to retain all those pieces of the health order that are absolutely necessary depending on where we are with ourvaccination status . >> supervisor safai: what level of vaccination do we, are we on thecurrent trajectory ? where do we anticipate we will be june 15 ? >> dr. susan phillips: the current trajectory says we should beabout 80 percent by that date . >> supervisor safai: fully vaccinated? >> dr. susan phillips: fully vaccinated. the challenge is going to be are we going to continue to get doses at the levelat which we need ? we would like to be putting close to 20,000 doses into people's arms per day and the

second piece of that which is equally as important and more challenging to figure out is will people continue to want to get vaccinated? will we see the same level of vaccine confidence in people and will we be able to implement new strategies to make sure we are making vaccines accessible and acceptable to all our communitiesbecause that is the only way we will be able to move forward as a city and as the region .>> supervisor safai: colleagues,do you have any more questions before we go on to the next presenter ? we're going to do questions in between so please ask your questionsto the presenters as each one dishes presenting . great. well, thank you doctor phillip . maybe you can hang around just a little bit in case anything comes backup but i appreciate everything you're doing . >> dr. susan phillips:thank you

very much. >> supervisor safai: thank you for keeping us updated and safe . okay, our next presenter is our city economist mister soma mister ted egan. >> ted egan: i have a presentationand i'm going to share my screen now . coming through. i'm going to be talking about the current stateof the city office market . what are the key indicators around they can see and read, particularly in the areas of downtown that supervisor safai mentioned but before i talk about that state i want to talk about historical perspective to help people think about changes

in the office market and this is a chart showing 30 years of data on the office print in san francisco and the office vacancy rate. i should say building on the previous discussion with doctor phillips, when i'm talking aboutoffice vacancy it for the amount of space that's least . i'm not talking about how many people are working at the offices because of the public health controls. but there are going to be changes in san francisco's office market and after the pandemic, after the public health or as the public health restrictions are lifted that are going to be featured in the city's economy in the medium-term andthat's where i want to focus my remarks in this presentation . for this chart i really just want to make a couple of things clear. this is showing the relationship between office vacancies and recession areas

are the gray areas and generally what happens is employment goes down and businesses produce this amount of space and office vacancy rate rises and in orderto maintain income from properties , property managerswill reduce the rent . it's almost always you will see this inverse relationship when vacancy spikes, rents fall afterwards . after the recession you saw big rent collection and the boom of the late 90s there was a smaller collection of rents and during the late recession, this chart goes to the end of 2020. it's beginning to show the spike in vacancy we areseeing now . some drops in rent but i think that the implication of that is the drop in rent is to come and we will speakmore about that in

a moment . one of the things that different course about this recession compared to the three previous ones is this one is not related to office tenants shedding employment. the office industries have generally not lost very many jobs in san francisco and some are currently employing more people than they were before the pandemic started but what we are seeing is many businesses reconsidering the role of office work in their strategies for getting work done and we're seeing businesses are now expanding the amount of work from home, and took over after it was safe to come back to these offices along with colleagues incontrol of his . we looked at the statements of the largest taxpayers in san francisco and only about halfof

them , 12 out of 25 they either have done nothing publicly are basically saying employees could expect to go back to the office the way they were before. seven of them are allowing at least some employees to work from home permanently and another five announcing and role of work from home along with the requirement that two days a week. that is a major shift in at least how the large businesses currently downtown or in downtown before the pandemic areviewing the role of downtown office in their plans going forward . that is, these decisions and these plans are already showing up in the measures of the office markets that i will share in a moment. i want to share what we know so far about rent at least through february in the north financial

district and in soma which in office market lingo west of the financial district. these are the five major office some market districts and their showing fairly modest rents in the order of two or three percent from the prerecession peak. this is data from moody's analytics . but moody's is not accepting things to be that high. this is what moody's is stating they're expecting april 20, 2021, only about 1 and a half percent decline in thefourth quarter of last year . however, there was a drop of 15 percent in office rent and another 1.8 percent in 2022. so given we are seeing businesses rethink their need for office space after the pandemic, we're seeing this spike. what moody's is saying is

forecasting for 2021 the decline in rent that we virtually always see as part of the office market adjustment and recession. >> chair melgar: mister egan, your time has allotted. >> ted egan: i will briefly ... >> supervisor safai: kenny just do his slides? >> chair melgar: it's okay, of course. we just do want to keep an order here at the hearing . five minutes, thank you. >> ted egan: this is data provided on the amount of square footage of office space that is on the sublease market. the sublease market is when businesses potentially that half lease basedecide they no longer needed and put it back

on the market . currently there's about 8.4 million square feet of office space available in sanfrancisco on the sublease market, more than there was@theendofthe.com movement . at the current levels of vacancy that are driving the expected drop in rent that the citywas talking about that i referred to on the previous slide . jl l is also showing the current drop in rent of $12 a square foot, generally more volatile than the direct space that's on the normal office market but jl l is showing by the end of theyear a similar drop of about $10 per square foot . there are some bright spots for san francisco. at least along the lines of the vacancy and expected drop in rent is leading to increases in

people looking for office spac . i apologize for the quality of the graphic but this is data from a company called dbs that tracks the number of office broker tours in different cities and their showing san francisco has had the strongest downturn in terms of viewing office space of any of the major cities they track. and that really now san francisco is back to where it was in 2019 beforethe pandemic . another bright spot or at least a sign of an adjustment taking place, this is data from a few days ago from cbr e showing a big spike in 2021 and the number of potential tenants. that's the green on this chart.

the ratio of the amount of space available to the amount of spacecustomers are looking for is the orange line . when that number starts going down aroundtwo , that's where the normal rate is issued so the number is elevated . it is starting to move in the direction towards every and that is a sign normal market aggression. let me conclude and i'll be happy to take any. it's clear from the cbpr report that many businesses are rethinking their work from home policy and in some cases that's leading them to reduce the amount of office space . it seems this is happening more in san francisco than in other cities. it will probably lead to a higher office vacancy rate in fewer employees returning after the pandemic and it could also lead to a slower economic recovery for the city because much of the economic activity

in the city's downtown and indirectly connected to offices. i do think however it's unlikely this will be a permanent change and the office vacancies will stay elevated forever based on the past experience, offers rents go lower in order to secure new tenants. this adjustment is not always fast.it took several years after the.com boom but it is likely to occur . some of the signs we're seeing in rising tenant interests are partof that . the result of this maybe san francisco becoming affordable for office tenants that might have been priced out of the city in the past . the other thing i think is favorable to san francisco is there strong macroeconomic factors . low interest rates, and increasingly optimistic economic support for the us economy, stable environment or venture capital funding and

other early-stage financing for the type of companies that have to additionally then located in san francisco. stop there and take now. >> supervisor safai: one thing i want to conclude and make clear on the conclusion. it sounds like even though vacancies might be on increase. rex might be coming down because of showing demand for people that might have previously been placed out of the market we might then recover quicker and vacancies might go away quicker with just the lower rent for a different type of tenant or not a different type but a different price range of tenant that might have been out so we might not be in for a long economic recovery or harder one. is that what i got from your presentation ? >> ted egan: i think that's an

important part, yes. the following office rent will help recoveries because it wil lead to those vacancies going down . someone will be in those offices going outto lunch, shopping in downtown . those buildings will be able to support and the downtown economy will recover faster. having said that, i'm not saying this adjustment and the vacancy will happen quickly. it's too soon to forecast that. vacancyrates are quite high and there's never been as much public space on the market but at least we're seeing the wheels turn . [please stand by]

know what to do and what it's going to look like for their workers. folks are trying to navigate whether or not the telework works for their business, just their business assumptions, it may or may not.

for some types of businesses it may work more easily than others. i think people are just kind of trying to -- you know, so the thing is to not break a lease but make available to someone else while they're trying to figure that out. to me, it opens up a bunch of other questions. to make conclusions about whether or not we need any of the stuff, would seem to be premature. we don't know how space is going to be used and we don't know how businesses will sort of see how all of this will affect their bottom line and how the work force will react. there's too many questions in the air for me, i think. >> i agree with a lot of what you just said supervisor. i certainly don't see any evidence for example for some of the notions that the tech industry is moving out of the

bay area. or we're going to see the end of san francisco, the fact that we're seeing more companies with hybrid offices recently and less permanent work from home suggests that they still see value in at least the san francisco labor or market and working together in san francisco. however, if for example companies in general went from just four days a week in the office, let's say before the pandemic to just three days a week after the pandemic, that is still like a 25% reduction in the amount of office space being used on a given day. companies are eventually not going to just leave that vacant. they're going to shed that space and reconsolidate in ways that will allow them to reduce that footprint. i think what we're going to see

is essentially less use of office space by companies that still value being in san francisco and aren't going anywhere. and so that's why i think i share your optimism about the long-term future for the city. but i wouldn't minimize the kind of medium term challenges of working through the vacancies. as for the question of central soma, you know, that plan was developed with certain ideas in mind about what rents would be. the only rents that have gone down more than office is housing rents. you can't push on two strings if

you know what i'm saying. it's not -- until the economy recovers, we can't treat it like something we can make happen by changing it. so i would suggest we need to wait and see more about the kinds of how businesses are reacting to reopening and get the pandemic behind us. we need to sort of separate people's psychology about am i safe working in the office from the other sort of benefits of working from home and then we can have a clearer sense of what the recovery market looks like. >> were you done with the question chair? so what i got from your slide about the 25 largest companies, taxpayers, i find it very, very telling, 28% out of that group

said they have already made the decision they're ready to remain permanent. and one of the things we know about the industries and businesses is that they can change. i was talking with someone over the weekend who said their employer has told people -- employees that anyone who wants to work out of state, go ahead, you can work wherever you want to work from for tax benefits, blah, blah, blah, but as soon as they make the decisions, they can make the decisions and reverse the decisions. and i'm sure it's not every employee, i'm sure it's a certain level of management and certain type of industry. but what it does say to me is that there's definitely going to be a permanent culture shift in many of the businesses. that's fine because as chair melgar said, it is going to be then more about sub-leasing and

right sizing the amount of footprint you need for the office space. i too am of the belief because of some of our unique benefits, our environment will still be super attractive -- that's why i like what you put down in your summary about how as rent comes down, there will be tenants that might have been priced out of the city in the past may be able to fill the void. and i believe that certainly will happen. i don't think we have hit rock bottom in anyway in terms of demand. but it says something about where we are in the interim, in the transition period. as you said, the amount of sublease is in a significant low. can you talk more about the sublease market for a moment just to underscore that point for us? >> well, as i understand the

market, leases hit the market, supply hits the market in one of two ways. either a lease ends and the tenant decides not to renew or there's new construction or sublease method. someone is permitted to the estate and decide we don't need as much space, let's find another tenant to take on the space. i think the sublease market is important as kind of a more shock absorber in the market. it's not -- the other types of vacancies kind of occur on a regular basis but when you have news or rapid economic changes, it tends to be the sublease market that steals them first.

and it's reason the sublease market in terms of rent tends to be more volatile because businesses are reacting and they just want the space off their books. so when you see a large spike in the sublease space, it is concerning because that's a bunch of tenants who had decided they wanted to grow that much or thought they would need that much space and now deciding they don't. at least that's one interpretation that seems to be what people are saying about it now. there's -- many firms were foolish about how much space they needed and now it's less so. i think that's as much an indicator as it is a driver of the rent changes we expect to see. >> are you talking about the separation between the direct rents and sublease asking rents,

that difference in price? i don't see anything on here in terms of demand on your chart. i just see the difference between the two, the direct price and sublease price. >> yeah, i just wanted to show that the sublease market tends to be more volatile. and the rents currently are lower in the sublease market than the standard. >> and they're significantly, the distance between the lease and sublease is significantly -- looks like one of the widest spreads in the last 30 years. >> that's right. >> that probably, the sublease number will probably keep going down until they hit demand. right now there's not enough demand hitting that price right now. >> that's right. that's probably -- we'll be where the new tenants we're talking about will go. it will be when the sublease

rents drop to that level that it is sufficient to the transaction to move forward. yeah. >> got it. this was really helpful. any other questions? >> i'm here on the roster. let me just jump in with that. >> i didn't see the roster. good, i'm glad you're here. >> so, thank you for the presentation, just one question as we were going through this. obviously we've had for years struggles for nonprofit organizations being able to afford office space and a lot of them displaced to the east bay. i'm just curious whether for the data points you are tracker, the rents, are you also tracking

that by sector and in a way that would actually isolate nonprofits, either in terms of the data you looked at so far or going forward, i would love to keep an eye on that. >> it's definitely something we're looking at going forward. we don't have any -- all of the data we have about demand in the market is third party data from the office tracking industry. we'll look for the data from the federal government. i'm definitely interested in looking at that through 2021 and which industries may not have been growing fast are start together grow again in san francisco. particularly nonprofits. >> thank you. >> okay, great. thank you.

really appreciate that. thank you supervisor preston, i think that was an important point. i think definitely those who have been pushed out, not even just priced out, but those pushed out are an important part of the conversation. that's particularly nonprofit providers. i would say lastly, i know there was a tremendous amount of time, effort and energy put into the central plan. i appreciate you highlighting that a lot of the plan was based on certain rents and rent levels and we're far below that. it might be worthwhile to have a conversation with the major developers that put those proposals forward to see where they are and as you stated, nothing has dropped farther than commercial rents than residential rents but those seem

to have stabilized over the last couple of months and seem to be rising again. so it would be worthwhile to potentially have that conversation and even in the larger context of how much affordable, we have a new tool to create more affordable housing. i bet we didn't have it before, a financing tool in prop i. and so it might be worthwhile to talk to those folks about the plan and see if there's any room. but that's a discussion for another day. thank you so much for your presentation today. next up we have from our small business commission. regina? >> thank you. and good afternoon chair melgar and supervisor preston and thank you supervisor safai for the opportunity to present. i do have a presentation.

>> great. >> i have been asked to provide information for clients served during covid related to zip codes is the best way we can sort our data for the demographic section of the city that this hearing is taking a look at. so to date we have serviced 7,150 businesses. there are six different zip codes.

we have serviced 1024 clients in that particular area, about 15% of total clients served. i have some detailed data by each zip code but because of time, i'll just quickly go through some of them. so except for -- and maybe i will go back, except for 94104 and 94105, the predominate number of businesses that reached out to seek our assistance was in the food-related business sector. and a good portion of it was dealing with financial assistance and of course we track by were they looking for

reopening guidance, financial assistance, general guidance, real estate assistance, lease assistance, information about the commercial eviction moratorium, work force guidance, things of that sort. so you'll get the power point and you can take a look at the data in greater detail. so the important thing that i want to highlight in 94104 and 94105, the top business sector seeking assistance from our office was in the professional scientific and technical services sector and by this code, which is legal services, accounting services and we track kind of specified, these are highlights of types of businesses that contacted our office. engineering services, landscape services, consulting and photography and so these are

small firms that are occupying office spa the 94104 and 94105 zip codes. the majority are not seeing rent relief that did contact our office. that's not to say that's the majority but those who contacted our office. so, again, them having to

consider closing or the consideration of down sizing their office space and have employees rotate coming into the office just because i think as what ted has described is that those rents are not coming down. and so with having to pay the full rent, employees can't be there, our small firms have left the ability to pay the full rent amount. we are hearing from small firms who have been priced out of downtown prior to -- priced out of downtown prior to -- i'm going to -- prior to covid, are

interested in moving back into the downtown area and again, the rents have not dropped enough. but also because as ted has described, a fair amount of sublease space available, they are small firms, so they don't have the capability of being able to sublease the spaces that are available for subleasing. so i think as you begin to explore this and to your question supervisor preston, about nonprofits, these are businesses that are interested and could have the ability to help fill the vacant office spaces, bring back business. because they don't do it in such large chunks are not getting maybe quite the attention they get with the larger businesses.

>> excuse me, your five minute timer has elapsed. >> i'm done and i'm happy to take questions. >> great, thank you. one of the things i wanted to see if you can expand on and i appreciate you talking about many of the businesses that can't access the sublease market yet are interested in returning to the downtown. some of the things i wanted to hear about, you show the zip codes, but there are a number of businesses that rely on or

looking forward to foot traffic and people returning to the downtown core. can you talk about that. >> at this point, i think as we're beginning to hear and i think there's been a couple of articles, do we have the work force -- not so much the office space businesses, but let's say our food-based businesses. those normally serving lunch to the office workers and that we're going to need to sort of

keep track of the ability to hire. so as business comes back, these businesses were having a hard time hiring people prepandemic and so, again, we don't know exactly how many of our service sector employees are still here.

>> that's an important aspect. >> one last component is monitoring out our businesses' ability to get the ppp and other financial relief programs and funding and the timing of them receiving that in relationship to the timing of when they need to pay the back rent. making sure we're kind of staying abreast but as that ends and expires, the timing of that and funding coming from the relief program. i think it will be another -- >> right.

we just approved another package in the budget committee to help with low interest loans but we have also asked that the funds be monitored strictly to see if the demand is there for loans because what i have heard and i know a lot of my colleagues have heard the same thing, there's more demand for grants than loans. a lot of small businesses, particularly the ones you are referring to in the service industry, lunch, restaurant have taken on a lot of debt already and don't want to take on more debt or don't have the ability to take on more debt. can you talk about that for a second? i know we have recovery packages and we just approved some money that the budget committee that will help with low interest loans. in terms of to help businesses in the form of grants, what's

the size of the money and i'm sure there's significant demand for that. >> i'm sure there will be significant demand and i think -- what the city is providing is -- will be a benefit to businesses, the percentage of businesses that we'll be able to serve is still going to be relatively small. i think what i think is more of the focus is the federal relief program. as -- for example, the restaurant relief program at the federal level, the application just opened today. so for all of our restaurants who are able to apply for that relief program, you know, it's still going to be a while before they see that funding, right? to get through the application process. so i think, you know, more for these large amounts of debt

relief, it is the federal packages and the timing of the federal grant programs coming in. they have the ability to serve a larger number of our businesses at a higher dollar amount. >> great. are there other targeted industries impacted aside from restaurants? >> there's save our stages in addition to the package relief that the city has provided for live entertainment venues. >> are limited restaurants included? >> i believe they do.

>> okay. that will be something for us to follow up with you on. a lot of the downtown businesses are not full registered restaurants. they're limited restaurants under our zoning and planning, but i'm just curious under the federal restaurant relief program if they also qualify. any questions colleagues? >> i do. i have some questions. it's nice to see you. thank you for being here. my question was about childcare and schools. so much of the work force is women and women overwhelmingly have that burden in terms of childcare. and you know, we have lots of parents in the work force. i'm wondering about timing of reopening since our schools are for the little ones now open

just a couple days a week for most. and there have been a loss of slots around the city and we already were under what we needed. how do you see this playing out? what are we doing to support small businesses who were already having a hard time hiring as you said to bring back workers and attract new workers they would need. and the timing of it. i know we're getting lots of federal relief for childcare as well, which is great. it's the first time being treated as the infrastructure it is. but the timing, i'm wondering if it can support us. it all sort of is an eco system. >> thank you supervisor melgar. i do think it is something for both of our office and oawd and all of the departments that

intersect with childcare should be working together to take a look and monitor. will we have enough childcare and spread out throughout the city? i think that's something as a sector that supports not only business owners, it supports employees and business owners as well and their ability to be able to get back to business as well. that's something that we can take -- needs to be taken a look at. i don't have a definitive answer for you. but it is an important intersection to the success of

us getting back to full operation. >> thank you. >> great question. thank you. supervisor preston, do you have any questions? no? okay. thank you. that's absolutely right on. okay. thank you, really appreciate that. we'll follow up with you regarding the restaurant relief program just to get clarity if it helps cafes and limited restaurants, but thank you for your hard work during this time and obviously we need to keep working together to make sure our small businesses are supported and we'll look forward to how things go forward in the downtown. okay. our next presenter is from the san francisco chamber of

commerce. >> great. nice to see everybody. can't wait to see you all in person. hopefully soon. this has been a great presentation from everybody. i think what you're start together see, there are bits and pieces of data here coming in. we are adjusting and moving as this city has many times over and over. it is a great reset for the city and another opportunity of turnover, whether it is residential, commercial, nonprofit turn over. many things are non traditional and i think our recovery will be non traditional unlike any other type of city. i will start with a couple of high level things. i think big picture long-term, it's a little premature to pull the trigger on something massive. there are many factors that haven't played out yet. there are short term and medium term things that can play out.

i wouldn't make a full recommendation until we see certain things happening. i want to share a couple of slides and wrap up in five minutes if i can. let's see if i can do this. okay. so chamber of commerce, one slide i wanted to enter in here.

our membership. the chamber of commerce is sometimes misunderstood that we represent only big businesses. 80% are big businesses. you see in the pink session, we have a large nonprofit membership. the data dashboard was launched during covid. you start to see here compared to new york, we are still significantly down. 51% of small businesses have shuttered, whether that is temporary or permanent it is unknown but we are start together see movement which is great. this slide shows seated dining and that is good. i think if i may, the economic recovery task force called out the need for shared streets and spaces. this has been a god send for many businesses and restaurants in san francisco. we're starting to see this come back. speaking of confidence, we are

looking at consumer spending and that confidence start together climb back up. we obviously want to see the downtown vibrant, i think it's important to point out though that there are 25.8 million tourists that come to san francisco per year. that is gigantic and partly why we see what we feel the downtown being empty and so when we get the tourism back, all of the big hotels are downtown and museums are downtown. the neighborhoods are doing very well. for me that's great to see places back in business.

we need to create the downtown, something that all of us want to go on the weekend. we need to have reason to do that. whether it is theater, arts, music, etc cetera. all of the pieces need to go. i would like to put emphasis on the arts and culture of san francisco. this is what makes us different and this is why people come and stay. whatever we can do and i have appreciated all your work supervisors in working on getting the arts back. finding business relief for them and opportunities for grants. but we need to get the stages back open and get them playing