>> he is a real leader that listens and knows how to bring people together. brought this department together like never before. i am so excited to be swearing in the next chief of the san francisco fire department, ladies and gentlemen, let's welcome, jeanine nicholson.

(applause). >> i grew up total tomboy, athlete. i loved a good crisis, a good challenge. i grew up across the street from the fire station. my dad used to take me there to vote. i never saw any female firefighters because there weren't any in the 1970s. i didn't know i could be a fire fighter. when i moved to san francisco in 1990, some things opened up. i saw women doing things they hadn't been doing when i was growing up. one thing was firefighting. a woman recruited me at the gay-pride parade in 1991. it was a perfect fit. i liked using my brain, body,

working as a team, figuring things out, troubleshooting and coming up with different ways to solve a problem. in terms of coming in after another female chief, i don't think anybody says that about men. you are coming in after another man, chief, what is that like. i understand why it is asked. it is unusual to have a woman in this position. i think san francisco is a trailblazer in that way in terms of showing the world what can happen and what other people who may not look like what you think the fire chief should look like how they can be successful. be asked me about being the first lbgq i have an understands because there are little queer kids that see me. i worked my way up. i came in january of 1994.

i built relationships over the years, and i spent 24 years in the field, as we call it. working out of firehouses. the fire department is a family. we live together, eat together, sleep in the same dorm together, go to crazy calls together, dangerous calls and we have to look out for one another. when i was burned in a fire years ago and i felt responsible, i felt awful. i didn't want to talk to any of my civilian friends. they couldn't understand what i was going through. the firefighters knew, they understood. they had been there. it is a different relationship. we have to rely on one another. in terms of me being the chief of the department, i am really trying to maintain an open relationship with all of our members in the field so myself and my deputy chiefs, one of the

priorities i had was for each of us to go around to different fire stations to make sure we hit all within the first three or four months to start a conversation. that hasn't been there for a while. part of the reason that i am getting along well with the field now is because i was there. i worked there. people know me and because i know what we need. i know what they need to be successful. >> i have known jeanine nicholson since we worked together at station 15. i have always held her in the highest regard. since she is the chief she has infused the department with optimism. she is easy to approach and is concerned with the firefighters and paramedics. i appreciate that she is concerned with the issues

relevant to the fire department today. >> there is a retired captain who started the cancer prevention foundation 10 years ago because he had cancer and he noticed fellow firefighters were getting cancer. he started looking into it. in 2012 i was diagnosed with breast canner, and some of my fellow firefighters noticed there are a lot of women in the san francisco fire department, premenopausal in their 40s getting breast cancer. it was a higher rate than the general population. we were working with workers comp to make it flow more easily for our members so they didn't have to worry about the paper work when they go through chemo. the turnout gear was covered with suit. it was a badge to have that all

over your coat and face and helmet. the dirtier you were the harder you worked. that is a cancer causeser. it -- casser. it is not -- cancer causer. there islassic everywhere. we had to reduce our exposure. we washed our gear more often, we didn't take gear where we were eating or sleeping. we started decontaminating ourselves at the fire scene after the fire was out. going back to the fire station and then taking a shower. i have taught, worked on the decontamination policy to be sure that gets through. it is not if or when. it is who is the next person. it is like a cancer sniper out there. who is going to get it next.

one of the things i love about the fire department. it is always a team effort. you are my family. i love the city and department and i love being of service. i vow to work hard -- to work hard to carry out the vision of the san francisco fire department and to move us forward in a positive way. if i were to give a little advice to women and queer kids, find people to support you. keep putting one foot in front of the other and keep trying. you never know what door is going to open next. you really don't. [cheers and

>> chair haney: this meeting will come to order. this is the july 14, 2021 budget and finance committee meeting. i am matt haney, chair of the budget and finance committee. i am joined by supervisors safai and mar, and our clerk is linda wong. madam clerk, do you have any announcements? >> clerk: if you'll allow me, mr. chair, through to the clerk, the minutes will reflect that members participated in this meeting through video conference to the same extent as physically presence. the board recognizes that city

services are essential and invite public participation in the following ways: watching on cable channels 46, 28, and 79 or by watching on sfgovtv. comments or opportunities to speak are available by phone call by calling 415-655-0001. again, that's 415-655-0001. the meeting i.d. is 146-161-0659. that's 146-161-0659. press pound, and pound again. when you're connected, you will be able to hear but in listening mode only.

alternatively, you may submit public comment in either of the following ways: e-mail budget clerk linda wong, linda.wong@sfg.org. written comments may be sent by u.s. postal service to city hall. that's 1 dr. carlton b. goodlett place, room 204, san francisco, california, 94102. items acted on today are expected to appear on the board of supervisors agenda of july 20 unless otherwise stated. finally, budget interpretations are available until 5:30, and chinese interpretation is available until 7:00 p.m. today. members of the public who need

interpretation services should call in early to determine if interpretation services are available. if you have technical difficulties, call 415-554-4164, and someone is standing by to help you with your issues. i will now ask the interpreters to provide interpretation of this statement in their respective languages. >> interpreter: thank you. [speaking spanish language]

>> interpreter: thank you very much. [speaking cantonese language]

>> interpreter: thank you. >> clerk: thank you to our interpreters, and one more note on public comment. each speaker will be allowed two minutes to speak for today's public comment on every item. that concludes our

announcements. back to you, mr. chair and madam clerk. >> chair haney: i think we were going to do one minute of public comment. >> clerk: yes, apologies mr. chair. each speaker will be allowed two minutes to speak unless otherwise stated. >> chair haney: great. can you please call item 1? >> clerk: yes. item 1 is a lease agreement with a.l.d. development corporation. resolution approving lease between a.l.d. development corporation and the city and county of san francisco for a term of 12 years with two one-year options to extend and a minimum annual guarantee of

3.1 million. >> chair haney: thank you, and welcome, miss bolek, from the airport. >> good morning, supervisors. [inaudible] a.l.d. development corporation doing business as airport dimension. staff conducted an r.f.p. process, and two proposals were received, with airport dimensions scoring as the highest responsive and responsible proposer. they plan to partner with local nonprofit la cocina to showcase their dishes and chefs. airport dimensions would pay 3.1 million in additional annual base rent. consistent with the airline lounges, rent is set at $1 per square foot rate and adjusted

annually. the b.l.a. has recommended approval, and i'm happy to answer any questions. >> chair haney: thank you, miss volek. is there any b.l.a. report on this? >> yes, chair haney. severin campbell from the budget and legislative analysts. this is lounge space in harvey milk terminal 1. the lease is for 12 years with minimum annual guaranteed rent sent by the base and charges set at $3.1 million in the first year. this provisions are shown in table three of our report. estimated revenue over the 12-year term is $37.2 million, and we recommend approval. >> chair haney: thank you. not seeing any questions or comments from my colleagues. are there any members of the

public who wish to speak on this item? >> clerk: yes. members of the public who wish to enter public comment now, please press star, three to enter the queue. for anyone else, please wait until the system indicates you have been unmuted. are there any callers on the line, please? yes, mr. mendoza, are there any callers in the queue for item number one? >> operator: we have three callers in the queue. >> clerk: thank you. please unmute the first caller. each speakers will have two minutes to speak. welcome, caller.

perhaps we could circle back to this caller, miss mendoza, and take the next. >> operator: i'm circling back to the first caller. >> clerk: thank you. >> we're waiting to speak to a different item. item 17.

>> clerk: yes. please press star, three to lower your hand. we'll take your call at a later time. next speaker, please. >> item 13, as well. >> clerk: thank you. next caller, please. >> hello. is this about the 2550 irving project? >> clerk: no. we're on item number 1. please press star, three to lower your hand, and we'll take your comment when item number 17 is called. thank you. miss mendoza, are there any other callers in the queue for item number 1. again, this is approving a lease between a.l.d. corporation and the city. >> operator: there's no more callers in the queue.

>> chair haney: okay. i want to make a motion to move this item to the full board with a positive recommendation. madam clerk, roll call, please. >> clerk: yes. [roll call] >> clerk: there are three ayes. >> chair haney: this will go to the full board with a positive recommendation. madam clerk, will you please call item number 2? >> clerk: yes. resolution approving terminal two retail market and harvey milk terminal one specialty retail stores concession lease between m.r.g. and the city for a term of 12 years and a minimum annual guarantee of 2.3 million. members of the public who wish to enter public captain should

call 415-655-0001 -- public comment should call 415-655-0001, meeting i.d. 146-161-0659, press pound, and pound again: press star, three to enter the queue, and wait until the system has been unmuted to begin your comment. >> chair haney: thank you. miss volek. >> thank you. the retail market will feature local gifts and craft brands. the term is for 12 years and a minimum annual guarantee of 2.3 million for the first year of the lease. although [inaudible] is current suspended due to the impact of covid-19 on air travel, it will

be reinstated when travel is back to 80% of 2019 levels. this is a correction from what was stated in the b.l.a. report, which stated 2013 levels. the b.l.a. has recommended approval, and i'm happy to answer any questions. >> chair haney: great. thank you. we hear the b.l.a. report on this item? >> yes. chair haney, members of the committee, as miss volek noted, this is a new concession lease between m.r.g. in the airport. there are three locations in terminal two and harvey milk terminal one. we show the lease locations in our table six of our report.

minimum impact guaranteed is 33.2 million and we expect to receive minimum for the term of the lease. >> chair haney: thank you. i want to make a motion to move item 2 to the full board with a positive recommendation. roll call vote. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: thank you so much, miss volek. >> thank you.

>> chair haney: madam clerk, will you please call item 3. >> clerk: yes. item 3, ordinance approving health service system plans and contribution rates for calendar year 2022. members of the public who wish to enter public comment on this item should call 415-655-0001, meeting i.d. 146-161-0659. press pound and pound again. press star, three to lineup to speak. please wait until the system has been unmuted, and then you may begin your comments. >> chair haney: great. i believe we have supervisor chan to present this item. >> supervisor chan: yes. [inaudible] as the board supervisor representative to the health services board.

the ordinance before you, colleagues, today, is to approve the san francisco health service system health, vision, and dental rates for active and retired employees for the calendar year 21-22. the b.l.a. has issued a report to approve this item, but the heavy lifting goes to the health services director, abbie yen, and she and her team are here today to answer any questions that you may have, so i will let her take it from here. director yen? >> good morning, supervisors. i am pleased to present to you the total package for the health system.

we do have workers from our team here. we do, in summary, have a 1.28 aggregate increase in benefit costs for calendar year 2022, which is really excellent. the medical plans themselves were about 2.12%, which is well below industry benchmarks, and we have no significant plan design changes to report for this year. the ordinance before you does two things. one, it approved the plan and contribution rates for the calendar year, and it also sets the amount that the city contributes for the active employee and retiree health premiums. we look at the most populous counties in california, and we set the coverage for the health plans and employees. this year, it's $757.31.

the table on this slide really breaks down the component parts of the total package, and i will go through each of these in the next slides quickly because i know we're on the clock today. kaiser is a partner, a long-standing partner with us. they have two plans serving our active and early retirees as well as medicare plan for those that are 65 and those medicare eligible. so the active plan increased by almost 5%. it was 4.96. again, really an excellent rate, considering the trends this year, and it represents a premium revenue requirement. there's no design changes. the medicare plan does have a decrease, and this, for those who follow health trends with

k.p., the way they set their rates is a projection based on what the federal government will issue in october, and this year, we are expecting a rate decrease. the blue shield is on the next slide. we have access and trio. these are both h.m.o.s. trio is a little bit narrower program than the blue shield. we did a competitive bid, yes, in the middle of the pandemic, and we are changing the administrator of the p.p.o. plan who has been united health care plan for many years, and it will now be blue shield, and it comes with many services that will help this population of folks, the group of around 3,000 people that have selected

this plan and often have services that can be supported by these services. the next represents united health care plans. united has been our second plan that we offer to our retirees. it has a very small increase this year, and that was through a guarantee last year that we were able to secure a low rate increase. and also, they will be sticking around, if you will, to aid in taking care of some of the companions that are in the united health care medicare that are not medicare eligible. the only people that will be eligible are those that are companion to folks that are enrolled in the medicare plan. the next plan is the most significant plan that we have to offer is a new plan administered by healthnet, in

partnership with canopy care with partnerships with some of our very large health care organizations that you can see on the slide. i think the offering also offers a new and much asked for benefit that will include services at zuckerberg san francisco general hospital. it's my understanding from my predecessors in the department of public health that zuckerberg has not been an offering for city employees for about 20 years, and through a lot of work over the last several years, this service is now available. it's limited to obstetrical services and there's plans underway to expand that as capacity allows at zuckerberg. the plan slide is the plans that we offer, less significant

from a dollar point of view, but certainly, from the utilization point of view, medical care, dental care, and vision care. we have reviewed the budget analyst's report and have approved that and therefore request approval of this package. >> chair haney: great. thank you for the presentation and for your work. is there a b.l.a. report on this item? >> yes, chair haney, members of the committee, supervisor chan. the proposed ordinance approved a health service systems and rated for 2021-22. it was fairly stated the plans and rates, but on page 24, we show the cost to the city, and calendar year 2022 is

approximately 744 million or an increase of 9 million over the prior year rates, or 1.2%, and we recommend approval. available for any questions you may have. >> chair haney: colleagues, questions or comments? not seeing any. thank you, supervisor chan, for your leadership and work. i think part of the -- our lack of maybe questions or concerns is our trust in your leadership and representation in this process, so thank you for being here and for -- and for leading on our behalf in ensuring that these plans are the best for our city and our employees. with that, can we open this up to public comment, please? >> clerk: yes, mr. chair. d.t. is checking to see if there are any callers in the kwee. members of the public who wish

to provide public comment, press star, three to enter the queue. for those already in the queue, please wait until the system indicates your line has been unmuted. miss mendoza, could you let us know if there are any callers in the queue for item number 3? >> operator: we have one caller. >> clerk: thank you. please unmute the caller. >> thank you. esteemed members of the budget and finance committee, my name is sandra barton. i wish to protest the authorization of the tenderloin development neighborhood corporation -- >> chair haney: to clarify, this is item 3. it sounds like you're calling in for a different item. if you'll please wait until that item is up. >> okay. thank you. >> chair haney: yes, thank you. >> clerk: yes. miss mendoza, are there any other callers in the queue for

item 3? >> operator: there's no other callers. >> clerk: thank you. >> chair haney: public comment is closed. not seeing any other colleagues wanting to make any -- have any questions or comments. i want to make a motion to move item 3 to the full board with a positive recommendation. madam clerk, a roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: thank you very much. this moved to the full board with a positive recommendation. madam clerk, will you please call item 4. >> clerk: yes. item 4, resolution authorizing the public utilities graemt to execute amendment number three to agreement number cs-247-r

for continued meter data management, billing and customer care support for the clean power s.f. program, increasing the agreement amount by 13.8 million for a total not to compete agreement of 32.6 million and to end the term of the agreement by three years, for a total agreement duration of nine years for a total term of november 1, 2015 through october 31, 2024. members of the public who wish to private public comment on this item should call 415-655-0001, meeting i.d. 146-161-0659. press pound twice, and then star, three to enter the queue to speak. a system prompt will indicate your line has been unmuted, and you may begin your comments. >> chair haney: thank you. we have julia alman for this

item. >> good afternoon. julia alman from the clean power utilities commission. [inaudible] which provides data and ad stiff services to the clean power s.f. program. clean power s.f. is san francisco's community choice agregation program which provides claeber energy supply to over 380,000 businesses and residents in san francisco. through this agreement, clean power energy solutions provides a number of technical services to clean power s.f., including maintaining a customer information database, processing customer billability through services with pg&e. these services are highly technical and involve processing hundreds of thousands of data points per day. the contract scope also includes operating clean power

s.f. support center and now as a mature program, clean power s.f. has taken over customer service duties, and starting this month will be supported by five city positions. this transition of service will reduce contract costs by approximately 2.7 million over the remainder of the agreement, and cal pine energy solutions will continue to provide services that are consistent with this data and billing operations. finally t would increase clean power s.f. outreach capabilities for those customers who prefer a paperless option. the board has previously approved one three-year extension, so the item before you today is the second and final extension of this

agreement which would run through october 2024. thank you, and with that, i'm happy to take any questions. >> chair haney: great. thank you, miss alman. is there a b.l.a. report on this item? >> yes, chair haney, members of the committee, as miss allman noted, this is the third extension of an existing agreement between sfpuc and cal pine for existing power management services through clean power s.f. the amount of the contract would increate by 13.9 million and the term would extend by three years until october of 2024. on page 19 of our report, we show the basis of the increase in the agreement amount, and we recommend approval. >> chair haney: great. not seeing any questions or comments from colleagues. can we open this up to public comment, please. >> clerk: yes, mr. chair. d.t. is checking to see if there are any public callers in

the queue. members of the public who wish to provide public comment, press star, three to enter the queue. for those already in the queue, please wait until your line has been unmuted. miss mendoza, could you please let us know if there are any callers wishing to speak to item 4. >> operator: there are no callers in the queue. >> clerk: thank you. >> chair haney: public comment is closed. i want to make a motion to move this to the full board with a positive recommendation. roll call vote, please. >> clerk: yes, on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. [inaudible] thank you so much, miss allman. madam clerk, will you please call item 5? >> clerk: yes. item 5 is a resolution retroactively authorizing the

police department to accept and expend a grant in the amount of 61,437 from the california governor's office of emergency services for the paul coverdel forensic science improvement program to procure ammunition for forensic testing and controlled substance handheld raman spectrometers for the krilg laboratory for the project period entering january 1, 2021 and ending on december 31, 2021. members of the public wishing to provide public comment on this item, press star, three to enter the queue and if you're already lined up to speak, please wait until the system indicates you have been

unmuted. >> chair haney: yes. this item was originally scheduled to be heard next week, so i would make a motion to continue this item to the july 21 budget and finance committee meeting. madam clerk, roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. this item is continued until next week. madam clerk, will you please

call the next item? >> clerk: yes. [agenda item read]

. >> clerk: members of the public who wish to provide public comment on these items should call 415-655-0001, meeting i.d.

146-161-0659. press pound twice, and if you have not already done so, press star, three to lineup to speak. if you have already lined up to speak, please wait until the system indicated you have been unmuted before you begin to speak. mr. chair? >> chair haney: great. we have brian chu from mohcd to present on this item. >> good afternoon, chair haney and supervisors, i am here to present a short presentation on this item. i don't see the share button to share my slides -- oh, there it is. i'm going to see if i can do it. all right. okay. can you see my screen now? >> chair haney: yeah. >> all right. so i'll just very quickly take you through it. as you know, each year, we

receive formula allocation from h.u.d. for these four federal programs. i'm here today to just go through the program, which will be used for funds in the upcoming 21-22 years. for the community development block grant program, we were fortunate we did not receive any significant decrease. you can see that our usage of those funds will be $11 million for housing development. another 481,000 for our capital program, which improves community facilities. we have approximately $5 million for the mohcd community development program grantees. we also provide a little over $3 million to the office of economic and workforce development for their economic and workforce development program, and then, we have a little under $5 million for

program deliverly for the mohcd program. the emergency grants services program is another lighted by the h.s.h. -- is utilized by the h.s.h. department that goes to the department of homelessness and supportive housing. the home program is used by our department to construct new housing. the cdbg housing program is for rehab. the home funds are for new construction, and you can see it's just under 4.6 million for housing development, and the last program is our hopwa housing program, housing program for persons with aids. we get just under 13 million. it's used for a variety of purposes. a large portion is to cover the

on going operating costs of our residential care facilities for people with chronic h.i.v. another portion is used for long-term rental subsidy, and then, a final portion helped to create units set aside for people living with h.i.v. we do have a retroactive memory row just because our program begins on july 1 and we're coming to you today. we delayed our process so we could focus on the general fund in the month of june, which is when we usually go forward with this. on the cdbg side, which is the side that provides most of the community grants, i think we've already communicated with your offices a couple of months ago when we went through our general budget process, and you have the complete list of grantees in your attachment there. the procurement that we went

through this last period will be good for at least a two-year period, so it's very likely when we come to you for next year, it will just be a roll over for the mohcd grants for that period. i know that was quick, but i just wanted to give you a high-level overview of our funds. we respectfully request approval of our funds. we will submit an action plan to h.u.d. in the next few weeks, and that will allow us to formally receive the funding from h.u.d. happy to answer any questions that you might have about any of these h.u.d. funding sources or uses. >> chair haney: great. thank you, mr. chu. is there a b.l.a. report on this item? >> chair haney, we do not have a report on this item. >> chair haney: great. colleagues, is there any

questions or comments on this set of spending plans? not seeing any. madam clerk, is there public comment on this item? >> clerk: yes, mr. chair. members of the public who wish to provide comment on this item, please press star, three to be added to the queue. for those already on hold, please wait until the system indicates you have been unmuted. miss mendoza, could you tell us know if there are any members of the public who wish to comment on items 6 through 9? >> yes. is this regarding the tenderloin community development corporation? >> chair haney: no. it is later in this meeting. >> thank you. i apologize. >> clerk: miss mendoza, are there any other callers in the queue? >> operator: there's no more callers in the queue. >> clerk: thank you.

>> chair haney: great. public comment is closed. supervisor mar? >> supervisor mar: thanks, chair haney. i just had a quick question, and thank you, mr. chu, for your presentation. you showed money for housing in the budget. i'm just wondering, is that money already budgeted for certain projects and what -- for this particular pot of affordable housing dollars, what is sort of the focus or the priority? >> right, so these -- it was already 11.4 million for cdbg, and it's scattered through a variety of programs. i'm happy to work with our director of housing development, and we're happy to get back to you how these funds are allocated for housing development.

we shift these around to figure out how these are all allocated, but we're happy to get back to you with how these funds are allocated through the particular projects. >> supervisor mar: great. thank you for that. >> chair haney: thank you to supervisor mar. all right. i want to make a motion to move items 6 to 9 to the full board with a positive recommendation. madam clerk, roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. these will go to the full board with a positive recommendation. madam clerk, will you please call items 10 and 11 together. >> clerk: yes. item 10, resolution approving and authorizing the execution of a loan agreement with ambassador ritz four percent, lp, in an aggregate total

amount not to compete 44 million for a minimum term of 55 years for a portion of the loan amount and maximum terms of 15 years, 28 years, and 40 years for other portions of the loan amount based on the requirements of the funding sources to finance the acquisition and rehabilitation of an existing 100% affordable multifamily rental housing project for low-income households, known as ambassador ritz 4%, consisting of 187 rental units in two buildings located at 55 mason street and 216 eddy street, and adopting findings. item 11 is resolution authorizing the execution and delivery of a multifamily

housing revenue note in one or more series in an aggregate principal amount not to exceed 56 million for the purpose of providing financing for the acquisition and rehabilitation of a 187 unit multifamily rental housing project located at 55 mason street and 216 eddy street, providing the terms and conditions of the loan. members of the public who wish to provide public comment should press star, three to lineup to speak, and those already lined up to speak, please wait until the system indicated you have been unmuted before beginning to speak. >> chair haney: thank you. i believe there's someone here

to speak. >> there's two existing buildings. one at 55 mason street, the ambassador hotel, and the other at 216 eddy street, the ritz hotel, these are 187 units, all s.r.o. units. hndc will be executing a hybrid tax credit project. these two requests specifically pertain to the 4% component of the project, which is comprised of all the units at the ritz and 98 of 134 units at the ambassador. at also mentioned, the project is going to be receiving a pretty significant rehabilitation, including seismic strengthening of the building, upgrades to kitchens and baths and other resident related quality of life measure in addition to taking care of very key and essential life

safety. no residents will be displaced, but temporary off-site relocations to facilitate housing for the residents. we're going to be consolidating a bunch of old debt on the project for about 36.1 million of old debt. the second component of that is we're going to be providing a new senior financing loan, our preservation and seismic safety loan project when it converts

to permanent financing in early 2024. [inaudible] to close by the end of next month, and then, construction will wrap up by the end of 2023, at which point, we'll convert and execute on the [inaudible] portion of the loan. i respectfully request that you approve both items 10 and 11, and i'm happy to answer any questions that you have about this ambassador ritz project, as well as i'm joined by the project sponsors, tenderloin neighborhood development project, who can answer questions, too. >> chair haney: great. thank you for your work. i'm obviously familiar with these buildings and appreciate the work that's being done. is there a b.l.a. report on this item? >> yes, chair haney. we reported specifically on item 10, the loan agreement.

so this resolution approved the amended and restated loan agreement between mohcd and the ambassador ritz for acquisition and rehabilitation of a portion of the ambassador hotel and the ritz hotel for 187 s.r.o. units. the loan amount is up to $44.5 million. we show a table on page 24 that shows the loan components of 43.3 million and then the difference to 44.5 million is a buffer for the preservation and seismic safety loan. total project costed are about 110 million, and sources and uses in the table are on page 26. and then in terms of the fiscal feasibility, we did review the 20 year cash projections for

this project. the net [inaudible] debt service ratio of 1.1, and we recommend approval, and i'm available if you have questions. >> chair haney: great. thank you. colleagues, are there any questions or comments on these items? okay. can we open this to public comment, please. >> clerk: yes, mr. chair. d.t. is checking to see if there are any public callers in the queue. members of the public wishing to comment on these items, press star, three to enter the queue and for those already lined up to speak, please wait until the system indicated you -- indicates you have been unmuted before you begin your comments. miss mendoza, could you let us know if there are any callers in the queue. >> operator: there are no callers in the queue. >> clerk: thank you. >> chair haney: thank you for your support of these projects. i want to make a motion to move

items 10 and 11 to the full board with a positive recommendation. roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. thank you. so that [inaudible] with a positive recommendation. madam clerk, can you please call item 12? >> clerk: yes. item 12, ordinance amending ordinance 49-17 as amended by ordinance 209-17 to change the timeline for the payments of a 2.7 million gift and 9.75 million from the project for of the project at 950-974 market street to the 180 jones street affordable housing fund, amending the administrative code recording use of the 180

jones street affordable housing fund. members of the public wishing to provide public comment should press star, three to lineup to speak. those already lined up to speak, please wait until the system indicates your line has been unmuted before beginning to speak. >> chair haney: thank you, and we have someone here to present on this item. >> good morning, chair haney and supervisors. i'm here to present on item 12, which would amend previous ordinances 49-17 and 209-17 related to 950 to 974 market

street, also known as the project. the purpose of the ordinance amendment for you is to change the timeline of the payments for a $2.7 million gift and 9.7 million from the project sponsor and two, to amend the administrative code on account of challenges presented to the covid-19 pandemic, the completion of the 19 -- of the 950-974 market street project has been delayed, and the project sponsor has requested to further amendment the payment timeline to facilitate completion of the project and associated financing of the jones affordable housing -- 180 jones street affordable housing

project. depending on an allocation of tax exempt bonds from the california debt limit allocation committee and tax credits from the california tax credit allocation committee. 180 jones street is a 70-unit affordable new construction project located on the corner of jones and hyde street. 50% will serve low-income adults and the remaining will serve adults earning 25% to 40% of the area median income. project sponsor plans to return to the board in early 2022. i'm also joined today by -- with my colleague, amy chen, and project sponsors of both the market street project and

the 180 jones project. we're very happy to answer any questions the committee may have, and thank you very much. >> chair haney: thank you, miss len, for the presentation and the work. i've had the opportunity to learn a bit about this situation. i think it is -- maricopas sense and it is fair. it's my understanding -- makes sense and it is fair. it's my understanding that when the city will use these funds and receive it is still -- gives us time before we actually require the funds and can use them. is that correct? >> correct. >> chair haney: all right. with that, not seeing questions or comments from colleagues. is there a b.l.a. report on

this item? >> chair haney, we do not have any report on this item. >> chair haney: is there any public comment on this item? >> clerk: yes, mr. chair, d.t. is checking to see if there are any callers in the queue. members of the public wishing to provide public comment on item number 12 pregnancy star, three to enter the queue. those already lined up to speak, please wait until the system indicates you have been unmuted before beginning your comments. >> operator: there are no callers in the queue. >> clerk: thank you. >> chair haney: great. thank you. public comment is closed. i want to thank miss len and also the project sponsors who [inaudible] i'm looking forward

to all of this getting done and thank everyone for their work on this. with that, i want to make a motion to move this to the full board with a positive recommendation. roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. thank you so much. this will go to the full board with a positive recommendation. madam clerk, will you please call item 13? >> clerk: yes. item 13, resolution approving for the purposes of internal revenue code of 1986, section 147-f, as amended, the issuance of obligations pursuant to a plan of finance by the california statewide communities development authority in an aggregate

principal amount not to exceed 450 million for the purpose of financing and/or refinancing the acquisition, construction, equipping, improvement, renovation, rehabilitation, and/or remodelling of senior living and related facilities by front porch communities and services. members of the public wishing to provide public comment, dial star, three to lineup to speak. for those already lined up to speak, please wait until the system indicates your line has been unmuted before beginning your comments. >> chair haney: great.

i think there's someone here to present the item. >> thank you, chair haney. [inaudible]. >> clerk: mr. chair, i believe the screen is frozen. okay. now we can hear you, i believe. mr. trevetti? >> can you hear me now? >> clerk: yes. thank you. >> i'm sorry. one moment, please. >> clerk: perhaps you can

turnoff your camera? i do see mr. john woodhart -- >> i apologize. [inaudible] just one moment. all right. i apologize. i was -- there we go. all right. i apologize [inaudible] the city and county is not

obligated for payment on the

bond [inaudible] . >> chair haney: thank you, mr. trevetti. i think we heard most of that, although some of it, we heard it twice. colleagues, is there a b.l.a. report on this item? >> chair haney, we do not have a report on this item. >> chair haney: is there a representative from supervisor stefani's office who wants to speak any further on this? >> thank you, chair haney,

thank you, members of the committee. supervisor stefani is a cosponsor. this is andy mullen, her chief of staff. i know that presentation was hard to understand, so i'm happy to answer any questions you may have, and i know you have a long agenda. thanks. >> chair haney: thank you, andy. i don't see any questions or comments from -- from colleagues. can we open this up to public comment, please. >> clerk: yes, mr. chair. d.t. is checking to see if there are any callers in the queue. members of the public who wish to provide public comment, press star, three to enter the queue. for those already lined up to speak, please wait until the system indicates you have been unmuted. miss mendoza, could you let us know if there are any callers

in the queue? >> chair haney: thank you, and mr. trevetti, i don't know if that was something with your technology or with us, but if not, hopefully, you can fix whatever is wrong with your system, and we can get it better next time. with that, i want to make a motion to move item 13 to the full board with a positive recommendation. can we have a roll call vote, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. item 13 is moved forward with a positive recommendation. madam clerk, can you please

call item 14? >> clerk: yes. item 14, a resolution retroactively authorizing the department of public health to accept and expend a grant increase in the amount of 1.6 million for a total amount of 2.6 million from the health resources and services administration for participation in a program entitled ending the h.i.v. epidemic, a plan for america, ryan white h.i.v. aids program parts a and b, for the period of march 1, 2020 to february 28, 2022. members of the public who have not already done so, press star, three to lineup to speak. for those already lined up to speak, please wait until the system indicates your line has been unmuted before beginning to speak.

>> chair haney: thank you, and we have dean goodwin here to speak. >> thank you. chair haney and supervisors, dean goodwin with the department of public health. today, we are here for an accept and expend request that we have received for ryan white part a ending the h.i.v. epidemic grant funding. we received a five year award for our e.h.e. grant beginning march 1, 2020. we came before this committee last year for the accept and expend at that level. this year, we received a grant for 667,000 and an increase which requires another

approval. h.i.v. health services is utilizing this h.i.v. funding to enrich our existing san francisco h.i.v. system of care to support and create innovative programs that focus on serving h.i.v. african americans, people experiencing homelessness, trans persons, with a focus on women trans people of color. these people face more challenges in obtaining care. the goal of the program is to work effectively with the target populations to address these health care disparities. thank you for your time. i'm happy to answer any questions you might have.

>> chair haney: thank you for that, mr. goodwin. i appreciate your work. is there a b.l.a. report on this item? >> chair haney, we do not have a b.l.a. report on this item. >> chair haney: thank you. can we open this up for public comment, please. >> clerk: yes. d.t. is checking to see if there are any callers in the queue. members of the public wishing to provide public comment, press star, three to enter the queue and for those already lined up to speak, please wait until the system indicates you have been unmuted. miss mendoza, could you please indicate if there are any callers in the queue for item 14. >> operator: there are no callers in the queue. [inaudible]. >> clerk: yes. on the motion -- [roll call]

>> clerk: there are three ayes. >> chair haney: okay. this'll go to the full board with a positive recommendation. thank you so much, mr. goodwin. appreciate it. madam clerk, can you please call item 15? >> yes. ordinance amending the park code to allow the recreation and park department to continue setting nonresident adult admission fees for the japanese tea garden, the coit tower elevator, the conserveatory of flowers, and the san francisco botanical garden by flexible pricing, and affirming the planning department's determination under the ceqa act. members of the public wishing to provide public comment, press star, three to be able to speak. for those who have already lined up to speak, please wait until the system indicates you

have been unmuted to begin your comments. >> chair haney: miss ketcham, thank you for being here. the floor is yours. >> i do have a presentation. i don't know if it's possible for me to put it up or i can do it without it. i'm not enabled to -- thank you very much. okay. teams has changed. okay. there we go. thank you. good morning, still, supervisors. i am presenting on the flexible

admissions prices on our gardens and coit tower. some of you may remember, in 2019, we first presented this flexible pricing concept, which i'll go into in more detail. the board added the following requirements. they asked us to provide a report how it was used, which we provided in spring of this year, and they provided a sunset clause in 2020 for it to continue, and that's why we're presenting it. what was the provision? the provision applied to our four major locations. it allowed adjustments to nonresident adult rates only of increased of up to 50% and decreases of up to 25%. it does not apply to san francisco residents, and it does not apply to nonresidents, seniors, or youth.

in addition, there are a variety of free admissions to all, including, the gardens, in the last year have joined not just the san francisco for all admissions but the gardens for all that provides four free admissions to anyone with an e.b.t. transfer card meeting the standards. so whether you live in the city or not, if you are low-income, you're able to come into these gardens. just a reminder. the botanical garden is open to everyone for free, and the gardens have a variety of free days and times. for coit tower, the gardens and murals remain open for all. on the japanese tea garden, we had a $2 increase, only applicable in march and october. at the conservea tory of flowers, $2 increase fridays through sundays. please note that facility was

closed for nine months due to covid, and at coit tower, we have not been able to implement it. it was intended to be implemented starting in the spring summer of 2020. coit was closed for covid, and it was closed continuously until literally a few weeks ago. now that we're back open, the gardens and murals are free to the public. at the $10 to $12 rate for nonresident adults, we are significantly bigger value compared to other countries -- other cities and similar types of activities. thank you. i'm happy to answer any questions, and we respectively request that this ordinance be approved. >> chair haney: thank you. is there a b.l.a. report on

this item? >> chair haney, we do not have a report on this item. >> chair haney: colleagues, any questions or comments? any public comment on this item? >> clerk: yes, mr. chair. d.t. is checking to see if there are any callers in the queue. members of the public who wish to provide public comment on this item, please press star, three to enter the queue. for those already on the line, please wait until the system has indicated your line has been unmuted. miss mendoza, could you please let us know if there are any callers who wish to comment on item 15? >> good morning. my name is del maxwell, and i'm chair of the san francisco botanical garden society board of directors and a 21-year volunteer at the botanical garden. i'm here to speak in support of the flexible pricing. our gardens are special places,

much loved by visitors as has been shown by record attendance during the pandemic. even though the pandemic decimated our nonresident visitation, resident visitation has accounted for a combined 500,000 additional revenue since 2019. admission remains free to san francisco residents at the botanical gardens and discounted for the other three locations. initial worries about flexible pricing have not been borne out. we have not had documented visitor complaints about the fee in flexible pricing. compared to other botanical gardens around the country, our fees are relatively low.

i hope that the nonresident admission fees and the flexible pricing programs will be continued, and i thank you for your consideration. >> clerk: thank you for your comments. next speaker, please. >> hi. this is lisa cerwin, and i also wanted to support the nonresident fees continuing at the garden. i would only add to what del said, that our gardens are incredibly special places that require upkeep and care and maintenance, and these fees are an important contribution to the garden. there have been no complaints. there's been no decreased visitation, and we are still well below the rest of the country. san francisco deserves and wants a beautiful botanical garden, and i hope that you

will consider voting in support of this motion. thank you. >> clerk: thank you for your comments. next speaker, please. >> hi. hi. this is mary ellen hannibal, and i've been a long time member of the san francisco botanical garden, and i would like to add my voice in support of the flexible pricing. the botanical garden received record setting attendance during covid. our botanical garden is a unique garden among all botanical gardens in the entire country, and we are able to grow plants that aren't able to grow elsewhere because of our unique climate here in san francisco. so we have plants in our garden that are threatened and

endangered in the wild, and they're very important as communicators, as ambassadors of biodiversity, loss, and climate change to the public at large in a way that we can really see and feel how much we love biodiversity and the need to protect it. gardens need to be cared for, and they can't just be cared for on their own. the motto of the garden is everybody's garden. it's among the most democratic institutions in our city. thank you. >> clerk: thank you for your comments. next speaker, please. >> hi, can you hear me? >> clerk: yes, we can hear you. >> okay.

thank you. my name is diana strolly. i'm here for another item, but i care about this item, and i want to say i remember when all of these items were free for everybody, including the zoo. you go in with a family of four, it gets a bit pricey [inaudible] i'm sorry. i just think it's pricey for a lot of people, and i think it would be great if we dropped prices to be free for everybody and found funding from other items. thank you. >> clerk: thank you for your comments. next caller, please. >> i think that everyone should

be able to wander to and from these parks, and i think that this environment should be open to everybody without a fee? it doesn't mean that i don't think there should be services, and i think there are some in these parks already? and maybe these parks can subsidize this specific need, but i do think that having it be more open and more free is open to the park. >> clerk: thank you for your comments, sir. miss mendoza, are there any other callers in the queue? >> operator: there's no more callers in the queue. >> clerk: thank you. >> chair haney: public comment is closed. i want to make a motion to move this item to the full board with a positive recommendation.

can i have a roll call vote. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: this'll go to the full board with a positive recommendation. thank you so much, miss ketchum. miss clerk, will you call item 16? >> clerk: yes. item 16, ordinance waiving certain first year permit, license, and basis registration fees for businesses that commence engaging in business within the city from november 1, 2021 through october 31, 2022, have estimated first year san francisco gross receipts of 2 million or less and have a registered business location that is for storefront commercial use and not formula retail uses and refunding any waived fees paid to the city. members of the public wishing to provide public comment, dial

star, three to lineup to speak. for those already lined up to speak, please wait until the system indicates you have been unmuted before you begin to speak. >> chair haney: thank you. supervisor ronen? >> supervisor ronen: hi. i am pleased to present legislation that will make it free to start a new small business in san francisco. i want to thank supervisors safai and haney for your sponsorship of this measure. for immigrants, women, people of color, and working class san franciscans, small businesses are often an alternative to minimum wage jobs and can be a unique path to building wealth for their families and their communities. however, we all know that this past year has been brutal on them. while most small businesses managed to stay afloat, there are many that did not make it.

unfortunately during the pandemic, neighborhoods across this city were seeing a proliferation of empty storefronts. the budget and legislative analyst's report indicated that almost 20% of shops were behind on rent to the tune of hundreds of millions of dollars, far beyond what the city could backfill. we need a package of solutions that include assistance with lease renegotiation, activating the storefront vacancy tax and speeding up the process. all of those are in the works and will encourage new entrepreneurs to take that step of removing the empty storefront.

i'm introducing amendments today that clarify and strengthen enforcements. i will describe the program, including those amendments. first year free will be available to new small businesses and as amended to new locations for existing small businesses for the period ending november 1, 2021 through october 31, 2022. small businesses are those businesses with estimated gross annual receipts of $2 million. formula retail will not eligible. an enrolled business will receive a welcome package with instructions on how to charge will not and permit fees.

the business will then provide applications for licensing and registration fees. the controller has estimated the cost to the city to backfill permitting department's revenue between million and 17 million in fiscal years 21 and 22. in return for that investment, we will see increased tax revenue, new job opportunities, and multiplying effect of

revitalizing commercial corridors. the legislation includes a report to board on april 15 that will give us time to consider this impact during next year's budget negotiations. my chief of staff, amy finehart, who i also thank so much for being the chief

architect from our service on this legislation, she presented this to the small business commission on monday and received unanimous and enthusiastic support from the commission. we've also worked very closely with the treasurer and tax collector's office, the office of small business, the office of workforce development and the controller's office. special, special, thanks to the following individuals who are here today to answer any questions from the committee. [names read] >> supervisor ronen: -- so that we could consider this item in the budget. i want to thank everyone who

has been working hard to make this a possibility, and i can promise you this was not easy legislation to get to this point today, so diligent work is very, very much appreciated. i know for every one of you, saving small businesses is a top priority. san franciscans are trying to keep their beloved small businesses alive. we value your contributions, we recognize the obstacles before you, and we are here as a city to make it easier for you. colleagues, before we begin with your questions or comments, i'd like to make a motion to accept the amendments as provided to you today. the city attorney has informed me that they are substantive, so they will have to return to

committee next week, and thank you for your questions. >> chair haney: great. supervisor ronen, first, i want to move to accept the amendments. if we can have a roll call vote on that, please. >> clerk: yes. on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. the amendments are accepted. i just first want to thank you, supervisor ronen, and your staff, and everyone who works on this. it's huge importance as we reopen our city and the need to support small businesses and fill vacant storefronts. the and small businesses, as

you said, are overwhelmingly owned and started by immigrants and people [inaudible] for me and for this committee or the committee that you're a part of, and we want to thank mayor breed and her budget team for prioritizing this and understanding the value and importance of it, and i'm happy that this will move forward, and we will be able to provide this really forward thinking visionary approach to supporting new small businesses in our city, and that we appreciate you and thank you for your leadership, supervisor ronen. supervisor mar? >> supervisor mar: thank you, chair haney, and i want to thank supervisor ronen and your chief of staff, amy finehart,

and everybody working on this proposal to provide support for small businesses and the recovery, and i think this really is just tremendously needed and important, and it kind of follows on our other work that we've been doing. like, last night, we spent a lot of time discussing and eventually acting to make this shared spaces program permanent. i've been really encouraged by some new small businesses opening up in my district in the midst of the pandemic and even this year, and also, there's a number of businesses that have been operating in our outer sunset farmers market weekly that are now looking into opening up a storefront in our neighborhood, but in my conversations with all of these folks, they do talk about the great challenges that -- financial challenges that they're looking at in starting

a small business, including the -- the high fees that they have to pay, so this is really important, i think, in helping to support these folks that are willing to make that commitment and opening new businesses in our commercial corners and cities, and actually, i would love to be added as a cosponsor to this. >> chair haney: thank you, supervisor mar. supervisor safai? >> supervisor safai: yes, just want to echo the colleagues of -- the comments of colleagues this morning. supervisor ronen, i think we have an entire package of things that we're doing, shared spaces, programs that the mayor set up, at the suggestion of you and others funds to help small businesses survive. i like that you narrowed this to a real universe of

businesses that are mom-and-pop, small businesses, gross receipts under $2 million, nonformula retail, people that are really trying to make it in this world, and i think we've heard how difficult people feel it is to own a business in san francisco or start a business in san francisco. just really want to appreciate your staff and the small business community that you have named, many of whom are commissioners, that provide tremendous insight and voice to that small business world, so really appreciate that. i'm happy to be a cosponsor and really look forward to seeing this implemented. >> chair haney: thank you, supervisor safai. is there any public comment on this item? >> clerk: yes.

d.t. is checking to see if there are any callers on this item. members of the public wishing to provide public comment, press star, three to enter the queue to lineup to speak. if you have already lined up to speak, please wait until the system indicates you have been unmuted. miss mendoza, are there any callers in the queue for item 16? >> operator: there are no callers in the queue. >> chair haney: public comment is closed. supervisor ronen, any further comments? >> supervisor ronen: no, just thank you to all of you for your tremendous support for this legislation. >> chair haney: okay. madam clerk, do we need to

continue this? >> clerk: yes, mr. chair, i believe since the amendments were substantive, we need to continue this to next week. >> chair haney: okay. i make a motion to continue the item to next week. >> clerk: on that motion -- [roll call] >> clerk: there are three ayes. >> chair haney: great. this item is continued to next week, and we'll see you later, supervisor ronen. all right. here we are. madam clerk, can you please call item 17? >> clerk: yes. item 17, a resolution approving and authorizing the director of the mayor's office of housing and community development with 2550 irving associates, l.p., to execute loan documents relating to a loan to provide financing for the acquisition of real property located at

2550 irving street and predevelopment activities for a 100% affordable multifamily rental building, in an aggregate amount not to exceed 14.2 million, proofing the form of the loan agreement and ancillary documents, ratifying and approving any action taken in connection with the property, granting general authority to city officials to take actions necessary to implement this resolution as defined here in, and finding that the loan is consistent with the general plan and the priority policies of planning code section 101.1. members of the public wishing to provide public comment should call 415-655-0001, meeting i.d. 146-161-0659, then press pound twice. to lineup to speak, press star, three, and wait until the system indicates you have been

unmuted before beginning to speak. mr. chair? >> chair haney: thank you. we have jacob [inaudible] from mohcd to present on this item. >> good afternoon, chair haney and supervisors. my name is jacob noonan with the mayor's office of housing and community development. this is an item to approve a $14,277,516 loan for site acquisition and predevelopment funding for a new 100% affordable housing unit at 2550 irving street in district 4. the funding would be from proposition a which authorized $600 million in general funding

for housing in sections of the city that have experienced limited housing investment -- [inaudible] >> chair haney: excuse me. somebody needs to mute. excuse me. i don't know who was -- >> that was miss blitzer. >> chair haney: okay. miss blitzer, you need to mute. >> okay. i'll just back up to say that $30 million of that financing of proposition a was reserved for districts of the city that have experienced limited housing investment and high rates of relocation.

tndc submitted a proposal for 2550 irving. tndc was the only responding organization, and the request was one of two requests that tndc submitted. the other request was the other acquisition for senior housing at 4200 geary in district one. the 2550 irving funding request meets the goals of proposition a and nofa, both of which aims to address san francisco's low-income and affordable housing and creating new housing opportunities for those in greatest need. the 2550 irving site achieves the geographic equity goal of

proposition a and mohcd nofa and would provide housing for low-income households. the citywide loan committee reviewed and unanimously approved the loan request on april 2 of 2021. tndc has been actively working in the community to create a building concept based on city affordable housing goals and policies, and the project has been underwritten to best meet the requirements of state funding utilizing the zoning and density allowances that are available at the site to optimize the number and the size of the units to achieve a family housing project that is competitive for state funding and is viable over the long-term. as conceptualized, 2550 irving would be a building serving 95

families. 27% of the units would be reserves for families previously experiencing homelessness and they would be filled using the neighborhood preference. in addition, affirmative marketing would be used throughout district 4 to ensure qualifying households in the district are aware of the new housing opportunity and able to sign up for the wait list. now, the resolution before the board today again is a request for just for the funding necessary for tndc to acquire the 2550 irving property and to complete all predevelopment activities including all continuing work in the community toward the final project. joining me today are amy chan, also with the mayor's office of housing and community development and we're happy and available to answer the questions that the committee may have. >> chair haney: thank you. before we do that, i want to turn it over to supervisor mar. >> supervisor mar: thanks,

chair haney. actually, if i could hold off on my remarks and comments until the b.l.a. presentation. i believe they're going to present on this item. >> chair haney: great. of course. can we hear the b.l.a. report on this item, please. >> yes. chair haney, members of the committee, the proposed resolution approves a loan between the mayor's office of housing and 2550 irving, a subsidiary of the tenderloin development corporation. the loan amount would be for 14.3 million. page 39 of our report shows the sources and uses of the proposed loan. we found this loan to be consistent with mohcd policy, and we recommend approval. -- oh, actually, i do want to admit, we do have a recommendation to recommend the

whereas clause to take that it's the city's intent to enter into a purchase and sale agreement in which the city will take ownership of the land at 2550 irving and enter into a ground lease with the nonprofit sponsor operator. we recommend approval of the proposed resolution as amended. >> chair haney: great. thank you. supervisor mar? >> supervisor mar: thank you, chair haney. and actually, thank you, miss campbell and mr. noonan, for your presentations, and thanks to mohcd and tndc for bringing this project forward. colleagues, i just wanted to present some brief remarks, and then i also did have some questions for mohcd and the b.l.a. what we often see is a citywide

need for more housing, and i'd like to include my district in this conversation. the sunset has been a beacon for working and middle class families, a place to attend a good school, start a small business, and enjoy the open parks and spaces -- small spaces. but in fiscal year 19-20, there were 4,430 applications for affordable housing for my constituents, over 3,000 in the 94122 zip code, where 2550 irving is located. only 30 applicants were placed in affordable housing, and because we have underinvested

in affordable housing, they all moved out of the sunset. it's quite literally like winning the lottery. this is a case for all of our city's affordable housing developments, and we need the courage to do better for our communities. last year, we conducted a community needs assessment as part of sunset forward, our neighborhood community planning process, which aims to stabilize low and moderate income families and seniors in the sunset. we learned that 64% of residents think that housing in the sunset is unaffordable, and 40% their think few -- think their future housing needs will not be met. district 4 has the lowest cumulative housing balance in the housing balance report due to extreme loss of protected status units. in the last decade, we've lost 461 units of rent controlled housing. for many who remain, rents are too high, homes are too overcrowded, and conditions

remain unsafe. 2550 irving is a way to restore the balance by increasing opportunities for families with children and others currently unable to afford market rate housing. it embodies our priorities of stabilizing and prioritizing families, and it's important that the project is successful, not just for the future residents or future neighbors who will live there, but for our neighborhood, as well. as the sunset's second 100% affordable housing project, after shirley chisolm village, it's important that we get the details right as it will shape the future of affordable housing for seniors and families that we also need to build here on the west side and that i'm very committed to championing. this is why i've been clear and

consistent with tndc and mohcd that they commit a robust community process, seeking community input into the project design and proposal before the application is submitted to the planning department for formal review. this proactive neighborhood youst reach is especially important for 2550 irving because the city approval process will be streamlined through s.b. 35. i thank tndc and mohcd for bringing this project forward, and i also want to thank the many community members in the sunset and throughout our city who have already shared your perspectives on this community project through community meetings, letters, postcards, petitions, and more, and i know we'll be hearing from many of you through public comment today. i just have a few questions, and i'll try to keep it brief

because colleagues, i know you'll probably have questions or remarks, and i know we'll have a lot of public comment today. so my first questions are around the public financing of the project, and frankly, the high per-unit cost. the b.l.a. analysis highlights that the projected cost per unit is $960,000, which is significantly higher than the $784,000 average total cost per unit of other mohcd projects, so to mohcd, can you provide an explanation for this significantly higher cost and a rationale for approving this project? >> thank you, supervisor mar. amy chan from mohcd, and i can take this question. the costs outlined in the b.l.a. report are estimated costs. there are many factors that

affect the total development costs, including the development and design cost of a building, tax credit pricing, and construction cost, so please note that these are just estimated costs, and as you get into the process of the development timeline, those costs will be more accurate. so these estimated costs, i think the b.l.a. report has noted that it's higher than an average mohcd project. some projects do not have ak which significance -- acquisition costs, and then finally, 2550 irving will be the site of a family housing

project, and the total development costs will be higher than a project for just single adults because of the larger -- the greater amount of bedrooms for the two bedrooms and the three-bedroom units that are more expensive to build for families. so with that, those are the reasons why you're seeing those costs. >> supervisor mar: thank you, miss chan. and does mohcd have standards for how high over the average per-unit cost that you would determine to be reasonable, since this one seems to be significantly higher? i understand they're family sized units, so that's one reason, and acquisition costs for the site is higher, but do you have a standard for what might be deemed too high to be really reasonable for a

development? >> well, mohcd would only move forward with a project that is feasible, that we would deem to be feasible, and i think that is under consideration in an evaluation of a site in our nofa process. we need to know that the site would be competitive for other sources of financing, so we kwont move forward if we didn't didn't -- wouldn't move forward if we didn't think the project was feasible. essentially, we would not move forward with the site if we didn't think it was feasible. >> supervisor mar: thank you. and just one -- another follow up question on -- to that point. you -- your assessment is that the financing plan is feasible for this project and that it has a good chance of qualifying

for the bulk of the funding, which is from the low-income tax credits because it's in a high resource area and other factors, but do you believe the high cost per unit and the land acquisition cost might also impact the eligibility for the competitiveness of this project for this low-income tax credit dollars, which is the bulk of the financing? >> so supervisor, as you mentioned, you know, the state financing is extremely competitive, and we have had projects in our pipeline that have had some difficulty securing funding, but as you've noted with the irving site, it is a site in a high opportunity area, and we're proposing a family project, so it would be very competitive for state financing for that reason, and there are -- you know, the state financing regulations have been in flux, but we believe that the project would be well positioned to secure state financing, and we would work very closely with the tndc to make sure that is the case.

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>> we are advocating to make sure there is funding for affordable housing across the state and not leaving projects in cities like the bayarea behind because costs are different than other parts of the state . >> chair: i had a question about that cost, like it's about $9 million and it has been mentioned both in the long evaluation and also the analysis that i acquisition costs for affordable housing development given the size of the lots so can you explain the high cost and again, how that relates to the developments of this project. >> i think just jump in as your closer to this than i am but the acquisition cost when you calculate its estimated. acquisition cost per unit is

estimated in unit, based on our underwriting assumptions. that would be comparable with other projects of similar size but jacob, couldyou add more to that ? >> that is correct. when you look across the portfolio in general you're factoring in projects that don't have an acquisition cost. when you look at sites where we had an acquisition cost included with construction costsfor the project , this project is a parity with other projects in terms of per square foot of lot area and unit and otherfactors . >> supervisor mar: i have a question more for the bla because you look at the appraisal that was done and

could you provide your analysis of that. >> this is mick minard from the budget analyst office. we did review appraisals and transactions such as these and we did see any kind of outline issues here in this appraisal. there are acquisition price and the loan here is consistent with the appraisal that we reviewed andthat is of course our positive recommendation . >> supervisor mar: i also have questions around environmental contamination on site and the response plan . this is one important issue and april 25, 1950irving , maybe just to say for the record

there be dsc has confirmed there is toxic contamination on the site specifically pge found in a paper on site as well as in the surrounding neighborhoods likely due to higher use of the dry cleaner and the credit union and dtc both have voluntary cleanup agreements. under the terms of this agreement pt sc will address on-site contamination and fleet credit union will address on-site contamination originating from the 2550 irving site under the oversight of pds c and also as a result of the environmental testing for the 2550 irving site, pte has been detected at the parking lot across the street and it's likely associated with a former drycleaner