. >> chairman: make that noise go away these. let's try this again. good morning, welcome to the rules committee meeting for today, october 18th, 2021. i think that's [inaudible] is it? everybody put yourselves on mute. this is our third and hopefully last attempt at convening the meeting. that seems to be emanating from that blue dot right there.

you see that blue dot, brent. it's a 554 number and it's not on mute. >> okay. with that. chair peskin. i think we need to re-establish the bridge. >> chairman: go and re-establish the bridge. how long's that going to take, please? >> let's say 5 minutes. >> chairman: all right. we will gavel down at 10:09. >> thank you, chair peskin. >> chairman: thank you.

[ captioners transitioning ] [please stand by]

[please stand by]

. >> chairman: are we good? >> almost there, chair peskin. >> chairman: all right. thank you. [please stand by]

>> testing the bridge. >> okay. thank you for your patience, chair peskin. i think we're ready to go. >> chairman: excellent. >> okay. and, with that, [inaudible] >> chairman: good morning.

and welcome to the rules committee of the san francisco board of supervisors for today, monday, october 18th, 2021. i am the chair of the committee aaron peskin joined by vice chair rafael mandelman and con fi chan and our clerk victor young. mr. young, do you have any announcements? >> clerk: yes. the board recognizes that public access to city service is essential and invites public participation in the following way. public comment will be available on each item on this agenda. either on channel 26, 78, or 99 or sfgov is streaming the public call-in number across the screen. comments available during public comment period by

calling (415) 655-0001. the meeting id is 24810239510 then press pound and pound again. when connected, you will hear the meeting discussions, but you will be muted and in listening mode only. when your item of interest comes up, please press star three to be added to the speaker line. speak clearly and slowly and turn down your television or radio. alternatively, you may submit public comment in the following ways. e-mail the clerk victoryoung@sfgov.org. it will be included as part of the official fire. written comments sent by u.s. postal service to city hall 1 dr. carlton b. good let place room 244, san francisco, california, 94102.

chair peskin, i would like to allow our interpreters for today's meeting to make a brief statement at this time. we have our spanish and chinese interpreters. >> chairman: thank you, mr. young. could you please call the first item. >> clerk: i believe we'd like to let the interpreters make a brief statement of what i just announced. >> chairman: sure. go right ahead. >> translator: [speaking spanish]

thank you. >> translator: [speaking chinese]

thank you. >> clerk: mr. chair, should i read the first item at this time? >> chairman: yes, please. >> clerk: yes. item number one is an around amending the city code repealing employee sexual privacy requirements. voluntarily provide sexual orientation and gender identity information. direct city departments to request that the employees voluntarily provide anonymous

sexual orientation and gender identity and direct d.h.r. to develop systems for voluntary collection and confidential retention of sexual orientation and gender identity information. i believe there's a request this item be sent out as a committee report. >> chairman: that is correct. thank you, mr. clerk. colleagues, as you recall, we heard this and the secondary of the mayor put her name on it. supervisor mandelman made some amendments that were deemed to be substantive and, hence, it was continued to today's meeting. supervisor mandelman. >> supervisor mandelman: thank you, chair peskin. and thank you, colleagues, for hearing this again after it -- as the chair just indicated after this had been forwarded from this committee to the full board, the department of human resources identified an item that needs to be changed or set

of items that needs to be changed. the legislation that we previously forwarded provided for the anonymous collection of data about people working for the city or applying with the city, that would be inconsistent with the city's practice for other demographic so those are the changes that the board made on the 5th. and so i hope to say that we can take public comment and then, again, move it forward to the full board with a positive recommendation as a committee report. >> chairman: all right. why don't we open up item number one to the members of the public. is there any members of the public who want to comment on this item. >> clerk: yes. members of the public call (415) 655-0001. the meeting id is 24810239510. and press pound and pound

again. if you haven't already done so, please dial star three to line up to speak. the system prompt will indicate you have raised your hand. please wait until the system indicates you have been unmuted and you may begin your comment when we get to public comment. we have two members of the public in line to speak at this time. >> chairman: first speaker, please. go ahead, speaker. >> clerk: one moment. i'm just getting an update. the first speaker was not -- >> caller: i'm sorry. i was planning to speak on item number three. sorry for that. >> clerk: okay. thank you. you can raise your hand for

item number three when we get to that one. it's just been indicated that we no longer have speakers on this item. >> chairman: all right. public comment for item number one is closed. and supervisor mandelman, would you like to make a motion? >> supervisor mandelman: thank you, chair peskin. i would move that we forward this item to the full board with positive recommendation as a committee report. >> chairman: all right. on that motion, mr. clerk, a roll call please. >> clerk: yes. on that motion, [roll call] the motion passes without objection. >> chairman: next item, please. >> clerk: yes. item number two is an ordinance amending the municipal election code to reauthorize non-united

states citizens voting in the election for the board of education of the san francisco unified school district. >> chairman: supervisor chan. >> supervisor chan: thank you, chair peskin. this makes the non-united states residents voting permanent. i would like to thank supervisor melgar on the legislation before us today. this legislation, for me during my introduction at the full board for this legislation, i have mentioned that growing up as a new immigrant student and now a parent of a public school student, it is personal for me to reauthorize this ordinance and make immigrant parents voting a permanent program for san francisco families. after having this program run

as a pilot in november 2018 and 2020, it is time we make this a permanent program. today, we will hear from the community advocate and members of the immigrant parents voting collaborative. they have been a huge part of the campaign to pass proposition n and have been instrumental to eligible voters about the process and their rights. this is multi-ethnic, multi-linual citywide coalition. they will talk about their ordinance and their work as well as what we will need to realize the full potential and vision of this legislation including improved coordination between agencies and increase outreach and engagement resources. after we hear their presentation, i have an amendment to introduce that clarifies that non-citizen voters can vote in all school

board related elections including recalls. before we start our presentation from the immigrant parents collaborative, i think my co-sponsor supervisor melgar is here to make some comments. >> chairman: supervisor melgar. >> supervisor melgar: thank you so much, supervisor peskin. i want to say thank you so much, supervisor chan, it has been a pleasure working with you and sharing the perspective that we share having been immigrant kids in the public school district and knowing what parents have to go through to be able to weigh in and have an active role in participating in their childrens' education. i don't think it is an overstatement to say that it is right now at most importance, more important than ever that we have the participation of immigrant parents whose kids

have been uniquely affected by the pandemic and how we need to make progress on the issues of equity and achievement disparities of immigrant kids and everyone else, english-language learners and the double whammy of having an english-language learner in the public school district and have the parents be participants in having selecting the full decision. i'm so grateful for you, supervisor chan, but also of the many advocates who have worked to make this a reality and now that we're making it permanent, i'm so grateful everyone's hung in there to make it. thank you so much, supervisor chan, and thank you, chair peskin. >> chairman: thank you, supervisor melgar. supervisor chans, i'll turn this over to you and you can go

to h.r.c. and sound the presenter list. >> supervisor chan: yes. thank you. before we start too, i want to make a note that the permanent election will not be submitting today. they have submitted a letter of support. and also our san francisco unified school district representative is here and available for questions. we can start with the immigrant kids voting collaborative parents. i'm going to let them introduce themselves, but i think we are going to start off with maria gandre. >> chairman: go ahead. >> hi, good morning board of supervisors. i am a promoter with the

economic agency and also the coalition for the non-citizen voting parents education. i just wanted to make sure, are we going to be able to share the presentation? >> clerk: we have one presentation that was provided to us called 'the importance of immigrant parents voting rights sf in the election,' is that the one you would like? >> yes, please. >> clerk: okay. give me one moment. sorry. wrong one. give me a moment. >> no problem.

>> clerk: okay. >> thank you so much. and with this presentation, we also want to highlight the importance of the immigrant parent voting rights in san francisco. i did -- personally, i did outreach in the community and we noticed that education and the importance of parents participating in this position that it's key and it's very important. please turn to the other part. who we are. we are the immigrant parent collaborative. there's different groups. coleman advocates, c.a.a., the african efficacy network. and we've been working really hard in order for us to educate

parents and the importance of their participation. the next one, please. what is a non-citizen voting immigrant parent voting? in november 2016, san francisco voters passed prop m which allowed non-citizens to vote in the election in 2016. 2019, 2020, and 2022. these are the requirements that we also share with the parents when we are educating them about prop m. the next one, please. >> i'm sorry, maria. i can take over from here. hi, everyone. my name is eva from chinese action. thank you, maria. as maria mentioned, in 2016,

they want parents to have a formal say in their childrens' educational experience. the passage of prop m has allowed non-citizens the right to vote in school board elections in 2018, '19, and up coming fall 2022. the parent collaborative has existed since 2018 funded by o.c.i. we work at the immigrant rights such as education issues. we submitted english proficient immigrant communities. we've reached out to 13, 703 in the city. via brochures in the students'

take-home packets. we often work closely with the department of elections, the school district as well and outreach and education. and we've trained pure educators on non-citizen voting including over 500 parent leaders who are not ambassadors on specialists. they've devoted countless hours in these efforts. we're proud to have maria among these community leaders. so our goal is to encourage parent community involvement but also through participation whether it's in parent groups, board meetings, involvement on school sites or other avenues parents are engaged in such as their childrens' education. so the other reason we are making immigrant parent voting today is because this charter is going to expire in 2022. it states that it can be up to the board of supervisors to determine thereafter the

ordinance of non-citizens to board and school elections. today's introduced ordinance would remove the sunset date in the charter amendment and make the qualifying noncitizen parents to vote in the school board elections and make this voting right permanent. now, i'll turn it over to my colleague marco. can you go to the next slide. >> good morning everyone. my name is marco gian, i am part of the imgranted parent voting collaborative. so why is this important? we need to make noncitizen voting in school board elections important because one third of children in sf schools have immigrant parents. if this is not made permanent, one third of the parents will not be able to vote. secondly, we have 13,000 english language learners in san francisco from different

language communities. this includes spanish, mandarin, vietnamese, and many other languages. we need to make sure parents can advocate for their children and make sure they are accommodated appropriately during the time where they're still learning the language. and, lastly, all families in the school district deserve a say in this their childrens' educational experience. social ability -- education is a big determine innocent of social mobility in making sure children have a nurturing and safe and educational experience in their communities is important to their parents and ensuring that right through the school board elections is critical. as you see on the right over there it says, family involvement in childrens' education is critical for students' success and lifelong achievements. the more likely they will become successful and in many

cases also give back to their community. next slide, please. previous one. immigrant parents contribute greatly to schools. they volunteer at school sites and events. they serve on school site councils. they host school board elections to discuss important issues surrounding the school. they share ideas for improving the school district's family communication plan which ensures that messages and updates about what's going on in the schools are sent in an appropriate way to ensure every parent is aware of what's going on and, lastly, they also educate fellow parents about their right to be involved in their children's education. they're very communicative with each other. so when something is going on,

they're very quick to share the knowledge and information with other immigrant parents. so they know that school board elections are coming up and they have a right to vote and that they have a right to say what's going on in their children's education. lastly, i want to leave you with this. it is critical to expand democracy at a time when states across the nation are trying to restrict voting rights and restrict access to the democratic process. san francisco encountered this by ensuring all immigrant parents regardless of immigration status can vote in school board elections and have a say in their children's education. thank you. i will now pass it over to my colleague. >> next slide, please. i work for mission for the city director of engagement and i'm also a member of the [inaudible]

and what i wanted to be able to talk about was the importance of now actually doing the work to get the message out to families and a possibility of voting in the school board elections. back in 2016, in proposition m was initially voted in, it was unequivocally stated that immigrant families have a right to make decisions on behalf of their children's education. also, we will be requiring additional funds to make sure that [inaudible] especially back in 2016, when the elections took place, there were other things happening nationally that sort of contributed to fear which made it harder for families to take full advantage of that law, and now that we're sort of moving

out of that fear and certainly locally, we are prepared to work with grass roots members and all that we work with to ensure that people can start to register and vote in school board elections as members intended. we know that it's going to take some time and effort to overcome some of the things that were initially there when that was first amended. so that's why we really want to continue to use our culturally relevant outreach strategy and we have connections with grass roots organizations and grass roots parent groups all over the city. and we're going to continue to work with sfusd and the department of elections and we're going to see collaboration to get maximum

reach possible and make sure that families in san francisco are able to take full advantage of this really valuable right that [inaudible] part of what makes san francisco great is we are extending the rights [inaudible] so we really encourage you to make noncitizen voting permanent. and, once that's the case, help us to get most people participating [inaudible] thank you. and i'll take any questions if there are any questions. >> chairman: there are no questions. are there any questions for the san francisco unified school district from members? i think we have no questions --

or at least i'll speak on my own behalf as a 2016 supporter of prop n and its earlier unsuccessful incarnations which i think were prop f. i have no questions and am happy to make this permanent, but are there any questions from members or supervisor melgar? if not, we can go to public -- supervisor mandelman. >> supervisor mandelman: i would just like to be added aas a co-sponsor. >> chairman: i actually see i'm not listed as a co-sponsor. two new co-sponsors, mr. clerk. why don't we open up item two to public comment. >> supervisor chan: sorry. chair peskin, would you like me to read out loud the amendments before we go to public comment? >> chairman: yes, please. >> supervisor chan: thank you.

so like i mentioned earlier, we have some amendments to this legislation to clarify that this also permits noncitizen voters to vote in school board recalls including the recently submitted ones that are here likely to qualify. my team has circulated copies of the amended legislation to you this morning, but i will read them into the record now as i see your support for this amendment today. adding the following language in the title and specifying that non-united states citizens may vote in recall elections regarding members of the board of education. on page four, line one, adding, or recall elections regarding. on the same page, line four, updating the section number from "two" to 'three'.

and line 10, same page, adding one. and line 11, and 12 adding two of this ordinance. these constitute supplements to the amendment, so we will have to bring this legislation back next week for a vote, but i ask the committee to move these amendments today. thank you. >> chairman: thank you. and, we will take those after public comment. and, with that, why don't we go to public comment on item number two, mr. clerk. >> clerk: yes. members of the public who wish to comment on this item, call (415) 655-0001. the meeting id is 24810239510 then press pound and pound again. if you haven't already done so, please dial star three to line up to speak. the system prompt will indicate you have raised your hand. please wait until the system indicates you have been unmuted

and you may begin your comment when we get to -- and you may begin your comment. i would like to allow for our interpreters to make this same announcement as we have -- they're here for this item. >> chairman: okay. >> translator: [speaking spanish] thank you. >> translator: [speaking chinese]

thank you, mr. clerk. >> clerk: thank you. we currently have approximately five people in line to speak at the moment. can we have the first caller? >> caller: hi. good morning supervisors. i work for the mission economic development agency who has been involved in this particular issue for a decade now. i myself have in our team of

six have been working on this for six years and i'm very happy and pleased to hear that all of you are onboard with making this permanent. integrating our immigrants is really lifelong work. and so i really want to take the opportunity to highlight the collaborative in their work that has been over a decade building and constituent based to prepare immigrant voters. the last outreach that we did for the election, we reached 13,000 people citywide and distributed over 55,000 materials citywide. so i think this collaborative has played a crucial role in the democracy of san francisco and our outreach covers a lot more than just voting and encourages people whose status makes them vulnerable to participate and encourages them to participate in any way they

can according to their families. so, really, we have been focused on gaining the trust of our constituents and i'm happy that we can -- that san francisco can continue to be a role model for the rest of the country around this and being a city and what that means. i think ultimately, i want to encourage you, the supervisors to continue to help us make -- beyond making this permanent to explore better and safer voting systems for parents and continue to fund this work that's so important that like i said, it's life long work and it needs to be funded so that we can continue to work on that trust. >> clerk: your time has elapsed. we don't mean to interrupt, but we are allocating two minutes of speaker time per speaker. can we have the next caller,

please. >> caller: good morning rules committee. this is gabriel medina. first, i want to thank chinese affirmative action for their leadership for this collaborative. i really appreciate the capacity they have given to make sure that we protect this important civil right and expand civil rights for immigrants in san francisco. i want to thank, of course, every member of the board of supervisors that supported this in all three carnations. some of which are still serving here. thank you, we had almost unanimous support when this caught on the ballot in 2016 thanks to supervisor mar's sponsorship to place this on the ballot. i had the privilege to manage this campaign in 2016 for prop n and the wisdom at the time from our predecessors was to

put a sunset on this measure to both protect the safety of our parents who are voting. also, to protect our systems and make sure our systems were secure. we had a past situation that stifled the progress of this. we're asking you to sustain this work. we can make a better system now that we're out of the woods to make sure we get full participation of our families. thank you. please, support this measure. and please help make our schools better by sustaining immigrant parent voting. >> clerk: thank you. can we have the next caller, please. >> caller: good morning

members of the committee. i'm part of the immigrant voting collaborative. we have two community members that will provide testimonies in cantonese and would need english interpretation. thank you. >> caller: [speaking cantonese].

>> translator: hello members of the rules committee. actually, i'm here to support this reauthorization of eligible noncitizens voting in school board elections. i have three children and right now starting at sfusd. at the very beginning, i had no idea for noncitizen parents can vote in san francisco school board elections. and i remember that in 2015, when proposition n was introduced and they did a lot of outreach and we received a lot of information and

resources and data and then we get to realize how important the immigrant parents in san francisco school district elections. and then i joined the immigrant parents collaborative and started to do a lot of outreach and educate the fellow parents and also educate them for noncitizen parents in school board elections voting as well. and in this whole process, i feel so encouraged and that i increased my confidence as well and i also, my community had no idea what this is and i also do

a lot of outreach to let them know how important for a noncitizen person to vote in the school board elections. and then i think that really to calculate a noncitizen parent that they should have their -- and they can serve as leaders in their community. and it's also very good for our children's education especially when our parents can get involved in our children's edge education and i hope you make this noncitizen voting permanent. and it also can help this country making it better for our immigrant parents for the future as well.

thank you. >> clerk: i believe there was another. please proceed. go ahead. >> caller: hello. [speaking foreign language]

. >> translator: hello members of the rules committee. i have three kids who are in sfusd. i think it's very important for noncitizens as well as citizens to vote in school board elections as parents. i think no matter it is for noncitizen parents or citizen parents, they are all very caring that our -- of our children's education. and only the parents will know the best for our children. they know it the most. and i really hope that the board, san francisco board can vote to support the continuance of noncitizen voting in the school board elections because it can help to improve our

children's education. and i really think that parents' voices are really important. we should value that. and you also should give them the opportunity to voice themselves and their voices need to be heard. we know as parents, we can participate in our children's education and participate in school board elections in many ways. and we can attend in the midterms and do a lot of other kind of outreach stuff to receive a lot of information as well. and then we think that we should value the children's education and we should attach more importance on our kids'

education as well and we hold that and urge the board to support this ordinance amendment to make the noncitizen voting permanent. [please stand by]

>> san francisco unified school district under the state of california. this matter has to be run by the state of california. more to have standards. the balance can understand the process. it is not about talking, not about canvassing in a manner.

people don't understand the issue. they want to get rid of those on the board of the san francisco unified school district. we must remember that the parents are needing to have the children, but they shouldn't be participating in politics that creates divideness. i am making this statement to those to hear to understand that many of our immigrant children are not going to school. i want to know what do the parents of the immigrant children have in mind to stop this? more immigrant children if they don't attend school for a year they fall back five years. i know this because i have been

in the field of education for a long time. >> thank you. your time is up. next caller, please. >> caller: good morning. i am the community advocates. [indiscernable] i work with immigrant parents in san francisco. i have seen they are invested in their children's education and engaged with the school district. around one in three children at sf public schools have immigrant parents. these kids deserve to have interests in the school board elections regardless of parents immigration status. they have unique needs. voting is important to express interest in a way to directly impact school policies. we had a workshop in august.

we had over 100 immigrant parents logged into the zoom on friday evening to express concerns and ask questions to ensure children's safety. it is clear they are already deeply engaged in the district and deserve to have a say in the school board election. it is crucial for the board of supervisors to continue protecting the rights of immigrant families by making immigrant parent voting permanent. now we know the noncitizen voting is set to expire in december 2022. immigrant parents family interest will not expire. vote yes. thank you. >> next caller, please. >> caller: good morning. i am maria.

i am mother with a kid in the san francisco unified district. i understand the importance of supporting this measure. i am active in my kids' schools. i volunteer and i am interested in continuing to have this kind of participation and having my voice being heard. i also understand the importance of noncitizen immigrants participating in the critical decisions for the success of children. we parents need to be involved for our kids and families. if we want to see families achieving maximum capacity we should be invited to these type of decisions especially for the board of education. thank you and have a great day. >> thank you. i believe our next caller will be the last caller unless we get

additional speakers. next caller, please. >> caller: i work. [indiscernable] i really appreciate the supervisors on the board now to support this measure especially when. [indiscernable] with the parents involved in the school system the children do better. i think it is so important now especially after the pandemic when most of the especially immigrant children were left out. they don't have the right equipment to attend. i think that this is like the

parents know that that is important for the children's success. all of my interest is to win in terms of reflected, i believe,. [indiscernable] san francisco a different measure like this. really i want to thank all of the participants in this campaign. thank you. >> thank you. does that conclude public comment, mr. clerk? >> that was our last item on this item. >> thank you for your testimony and support for the permanence

of proposition n. supervisor chan has some substantive amendment she introduced. any comments from committee members? if not we can take a roll call on the amendment and then a roll call on continuing this item one week as amended. >> on the motion to amend the matter. supervisor chan. >> aye. >> supervisor mandelman. >> aye. >> chair peskin. >> aye. >> on the motion to recommend the matter as amended. supervisor chan. >> -- my apologies to recommend as amended and continue for one week. >> continue the item as amended one week and we would decide

whether to recommend it which we will obviously do at the next meeting. amended one week. >> continue for one week. supervisor chan. >> aye. >> supervisor mandelman. >> aye. >> chair peskin. >> aye. >> the motion passes without objection. matter will be continued. >> next item, please. ordinance amending the administrative code to revise the local business enterprise and non discrimination in contracting ordinance. >> supervisors walton, safai, melgar and ronen. we have supervisor melgar who who wants to offer some

amendment. i will start with any opening comments by committee members then go to president walton and supervisor melgar. then we will go to our city administrator who has been working on this. are there any members of the committee to make opening comments? seeing nobody jumping into that. president walton. >> thank you, chair peskin, and to my colleagues on the rules committee. thanks for having us this morning. as supervisor peskin stated we do have before you a substituted ordinance comprehensively amend chapter 14b local business enterprise and non discrimination in contracting ordinance cosponsored by the mayor, our office, supervisors safai melgar and ronen. we have input to improve the

city examines and these changes are necessary for quite some time. specifically the ordinance would do the following. our city administrator will touch on this. it is going to increase the certification size thresholds and authorize automatic increase to thresholds every five years based on the consumer price index. change the l.b.e. certification size threshold in the prior three to five years. authorize limiting to be recalculated by the controller every five years based on the index and minimum competitive amount. change l.b.e. certification size calculation from average three years to prior five years. provide businesses located in the project area to have a better tup -- opportunity for

successful bids. accountability by increasing penty for fail use to use the l.b.e. contractor from 10% to 25% of the subcontractor and overall make it better for small businesses to conduct business successfully in san francisco and hold accountable to support small business business in the city. i am excited to bring these before you. they are long overdue. a lot of conversations with small business communities throughout the city, a lot of time has gone into this, a lot of effort. look forward to moving these changes forward to provide a better opportunity for our l.b.e. community. thank you, supervisor peskin. >> thank you, supervisor melgar. >> thank you so much, chair peskin and president walton for your remarks. i want to start by thanking mayor breed and her staff for

the tremendous amount of work that went into updating 14b and also one of the most competent people in the city our city administrator along with jennifer johnson. i also want to thank lamar at asian inc. doug parish. nick colina. miguel for their work on this. it has been a long road. this is a really good piece of legislation that is going to help a lot of folks. i do think there are some outstanding issues that need some study. that should be moved forward as well. i just want to point out that in looking at the way that we contract out in the city, we have to realize that during the

pandemic we saw where the cracks are in our system. for communities of color, every contract, every dollar the city puts out through a minority business contractor or woman-owned contractor has a multiplier effect in the community. communities that have been traditionally left out of the economic development opportunities in our city. i am so glad that we are moving forward with these crucial issues like increasing the threshold. there are issues that i think we still need to work on, particularly knowing where we are in terms of the department. i do -- i have been working with supervisor chan to propose some amendments to require reporting

by the departments of bidders and the contractors who are awarded the bids. along with also thinking about increasing the penalties for folks who, you know, list subcontractors on the bid but then don't use them. that has repercussions for folks as well. i will leave my remarks until after the public comment. i look forward to hearing the presentation from the city administrator. thank you. >> thank you, supervisor melgar. with that, city administrator chu. >> thank you very much, chair peskin, to the members of the committee, supervisor mental man and chan. thank you for hearing this today. i i want to thank supervisor

melgar and president walton for sponsoring this and partnership as we have gone through it. of course, i want to thank supervisor safai, ronen and the mayor's office for sponsorship of this legislation. today i will go over providing an overview of the package before you today. this is a package that predated my time for years, actually. we have heard a lot from the lbg advisory committee, talked to the coalition of economic equity and members of the small business community and i want to note this is a package also supported by the small business commission prior to coming to this committee. i wanted to make sure we shared an overview with you what is changing. jennifer johnson will put up the

presentation. it will be a few quick slides to share the key elements that are changing. >> just as a quick introduction. the 14b program is local business enterprise l.b.e. it was put into place after prop 209 passed that took away minority and women owned business program. what the l.b.e. program provides is bid preference for certified local businesses. as many of you know contract monitoring division is within the city administrator's office headed by the administrator. the ordinance was last amended

by the board of supervisors in 2015 and made a number of changes including increases to threshold but not for all categories. i will get into that in a little bit. in terms of some of the major changes i will get into more detail today with you on. a few things. one, i think as president walton presented it increases threshold for certification for l.b.e. firms. our program is currently categorized to three categories. thresholds for micro businesses, small businesses and category called sba small businesses. second changes is minimum competitive and threshold amounts. ensures greater accountable for prime contractors. a number of programs would help

increase and build capacity to l.b.e. to participate in city contracting into the future. just quickly to note. here are the changes to the certification threshold that we are proposing. you will see the columns showing different categories of certification and groups and the current level for the thresholds. there is a grouping for micro businesses, small businesses and threshold for sba/l.b.e. category. what we have done is taken the different level that existing pride to this amendment and increased by the consumer price index. i will note the professional services contracts or categories did not see a threshold increase in 2015. in fact has not had an increase

in thresholds since 1998. we propose all categories increase. other elements related to certification thresholds proposed in the package include a few things as president walton mentioned. instead of three year average for annual gross receipts we propose five. we understand that provides more comprehensive picture of what businesses experience in terms of their business. it does include automatic cpi increase every five years based on cpi. we would work closely to an loop that and adjust accordingly. the other piece is that we did create nine sub categories within the professional services line. those categories are for legal services, accounting, a and e and related services.

computer systems, management and scientific and technical services scientific research and development advertising related services and other professional scientific and technical services. these wore worked on through the l.b.e. advisory committee and shared with us and we grewed with. the threshold would be upon passage immediately effective for this threshold for the other elements of what is proposed operative july 1, 2020 so they can promulgate rules necessary for the programs. next page. second major element of change has to do with setting and increasing minimum competitive threshold amounts. currently for chapter 21 the

minimum amount which the competitive process has to occur is $129,000. we propose to increase that to $200,000. chapter six or construction type projects amount the currently $706,000. we propose to increase to $1 million. why is this important for l.b.e. community? if you have an amount or contract or work that is underneath these minimum threshold amounts, they can set aside or create micro or small business set asides. local l.b.e. set asides for additional opportunities to participate without rigorous r.f.p. process which tends to be time consuming and very, very difficult for very, very small type businesses. >> next element that this

package includes is some changes that will increase prime accountability for youtilization of subcontractors. prompt payment is big with subcontracting entities. for large companies with a lot of working capital it may not be a big deal to submit receipts for reimbursements from the city months or a year later. for small businesses the difference reimbursed within a month or ends of the yes could be catastrophic or challenging for cash flow. one of the elements is requiring prime contractor to submit invoices within 30-days. that is getting reimbursement from the city back to the subcontractor. second element is penalty for failure to use subcontractor going from 10% up to 25% penalty

of the subcontract amount. currently when ever prime contractors choose to or want to substitute l.b.e.s they have to subcontract through cnb for approval. some of the reasons the local work may have changed or other issues need addressed. third element requires that documentation occurs at the evaluation point in time if a prime intentionally fails to use the you contractor. this is the final slide. it is one page it has quite a lot embedded in it. part of the legislation creates flex build for contract monitoring division to create a number of pilot programs that help improve local business participation and city

contracting. one, a program for micro l.b.e. trucking businesses. understanding the chain of which different services are required. we find for trucking l.b.e.s they are at the end of the chain and by that time prime contractors have already fulfilled the subcontracting requirements. the opportunity is more scarce for micro trucking l.b.e.s. this creates opportunity for cmb to evaluate the test cases to create set asides for this particular area. 2. it creates pilot program for the mentor offering 1% discount not to exceed $300,000 to encourage larger organizations to support growth of smaller l.b.e.s. third, as president walton mentioned, it does create a

neighborhood l.b.e. program offering 0.5% to 1.5% discount depending whether the l.b.e. is headquartered in the neighborhood of where the project is occurring. this gives an opportunity for local businesses to succeed and compete for business within the neighborhood. the other element is also extending bonding assistance for local businesses. it creates opportunity for cnb to provide the goals for micro small and sba level. currently they are at the l.b.e. level no matter the micro smaller or categories. this allows for establishing that if there are eligible or l.b.e.s to fulfill that requirement. i believe that concludes the

presentation i have for you to provide overview of changes here. of course, i am available for questions alongside garrett taylor, city attorney, director of cnb and jennifer johnson on my team. thank you very much. >> thank you, city administrator. would you like to hear from ms. johnson, ms. taylor? would any of the four of you like to add anything to the city administrator? >> thank you, supervisor peskin. real quick. i am going to leave after public comment. supervisor safai ecan come on so we don't disrupt rules of quorum. heads up.

>> okay. >> why don't we go to public comment. supervisor mandelman. >> thank you, chair peskin. this is one of those days when i am grateful we have city administrator carmen chu having worked through what i know is a long process. of course, the folks in small local business community looking for relief for a while and have been delayed through covid in getting this and have engaged with us and with you. president walton, thank you and supervisor melgar for all of your work on this. you did the heavy lifting. i got updates along the way from city staff apbe folks in the impactedded communities.

we have gotten close. thankings everybody. i would like to be added as cosponsor. >> supervisor melgar. >> thank you, chair peskin. i do have some amendments to propose to the committee and have been working in collaboration with supervisor chan and with the city administrator, who i will again thank profusely for her leadership and competent in all of this. i am so grateful we have her. i would like to propose first a clerical amendment to correct a typo on page 38 line 8. replace mmp with mpp. which stands for pilot mentor menprogram.

the rest have to do with reporting. section 14b to read as follows: page 30 line 16. section 14b. the city administrator and contract monitoring division. the following language under section 3. the controller contract awarding contractors and bidders. the city administration deemsness. under subsection 14. page 30, line 19. maintain data on the l.b.e. status of all bidders. on page 33 line 5, lines 13-17.

to read for all categories of l.b.e.s including level of participation by all bidders. then report, shall make sure to break out level of participation as mbe and wbe. then on page 34. lines 13 and 14. subsection 3 on the l.b.e. participation among all bidders including not limited to reports of participation of bidders certified as mbe and wbe. i have circulated amendments among all committee members, mayor's office and cosponsors. thank you so much, chair peskin. >> thank you, supervisor melgar.

we can duplicate the file and amend the version that will remain in committee depending on the will of this committee. i suspect that will happen. supervisor chan. >> thank you, chair peskin. i am wondering if there are things through all the things that happened and i am happy to make those motions we will be making the motion to make the clerical amendment to the original -- to the file as it current lie exists. then the motion to duplicate. that would have corrected clerical amendments on both. we will make the motion to move forward to the full board with recommendation and one to the call of the chair.

i want to clarify those motions i will be making. whenever in order that you prefer, chair peskin. >> understood. >> thank you, supervisor melgar for hard work and leadership and add more chu to make this happen. >> thank you. why don't we open up for public comment. mr. clerk. >> members of the public who wish to comment on this item call 415-655-0001. meeting id24810239510. pound, pound. star 3 to speak. system will indicate you have raise your hands. raise until you are unmuted to comment. we currently have 18 members of the public in line for public

comment. >> first speaker, please. >> caller: supervisors i want to pay attention to what i am saying. first and foremost, if it starts with the contract monitoring commission we have no commission. the commission should be there to see to the policymaking. we have the city administrator and we have the mayor who can meet with all developers to do whatever they want to. why are you raising something in the neighborhood? you don't know anything that happened with sfpuc? why are you living out npe as nonprofited enterprise? there are so many flaws in this

amendment it trails the cooks. the main one is jones. what the hell is he doing with the project monitoring division. going back to the time that the san francisco housing authority put him on the shit list. the city administrator has to pay attention to dwayne jones. if she doesn't pay attention to dwayne jones he will be audited. the fbi will visit her shortly. that is washing her. please do not have you entangled in dwayne jones and jailbird who happens to be the president of the board of supervisors. thank you very much. >> next caller, please.

>> caller: hello. i am christopher roach, i am a architect and local business owner. i am speaking in support for this amendment chapter 14b. i thank melgar and chu for helping us get this to this point. as owner of mararchitecture and design firm in the mission. i am aware of the increased pressures we face as a result of much higher cost of living increases with no corresponding increase over 23 years. the cost of running professional service firm has risen in the

past decade. skyrocketing represents to increases in transportation, healthcare and insurance and overhead and expenses. it is hard for fees to keep pace with these rising costs. gross revenues don't reflect the true financial precariousness of smaller firms trying to gain traction. our firm is located in the mission district from conception. we have had opportunity to provide services to help build the affordable housing in san francisco. we haven't been able to do that since 2019 due to the outdated revenue limits. we would like to stay in the mission, provide services to

support local economy and have the opportunity to build more affordable housing in our own neighborhood. we implore you to move this to the full board of supervisors for a vote. thank you for your time and attention. >> thank you. next caller, please. >> caller: good morning. i am michael gregory. owner of heavyweight trucking third generation black man of bayviews hunters point. a company that decided to hire previously incarcerated male and female from the community. for the last two years my community and my company of bayview district 10 has been heavily involved with other sf

l.b.e.s and the changes of this legislation that i am asking you to please support. something that has been overlooked. by the trucking is involved in a contract all i ever hear is we don't need local trucking. we have met our requirement. this allows gcs or subcontractors to hire truckers that is 40 to 50 miles out of our area to under bid us by 30 to $50. it is very frustrating to watch these multi-million dollar contracts come in this community and locals not walk away with it. the money we are here, the money we are here to put in -- the money we are putting back into this community not taking it out of the community. last i ask when the trucking

pilot program is being formed that i have a seat at the table. thank you. >> next caller, please. >> caller: good morning. thank you for the opportunity to voice my support for much needed amendments to chapter 14b. i am rosie letter. we focus on affordable house and community facilities. we graduated from the l.b.e. program last year. we are now competing against larger national and international firms staffed with full-time marketing departments with substantial resources. we know the cost of living in san francisco has grown over the last 20 years. with the proposed amendment a 25 person local firm can ones again

be competitive against the larger practices. these are corrections to realign with the current time and honor original intent for a competitive marketplace. i ask you to support the programs to protect small businesses, technical expertise, wider base of firms to bid on city work and keep taxpayer dollars. i hope you acwilling the need and you are -- acknowledge the need and urgency for these changes by supporting the 24b amendment. thank you. >> next caller, please. >> caller: hi, i am dr. matthew, president of the african-american chamber of commerce and owner of small business professional services

firm in the city. i support amendments to 14b. it provides fairness. the l.b.e. program is about equity, fairness in the city of economic opportunity. it is about providing to small businesses to survivor a change. this change in the. [indiscernable] for 20 plus years with no adjustment for inflation. climate conditions. the time is now to deliver from drowning for good. the l.b.e.s available in the city. they are less likely. more likely it will cost more. the only big businesses are like

future contracting opportunities. it was not adjusted. you would have succeeded in creating a fair business climate in one of the business progressive cities in the world. please consider the adjustments for chapter 14b for the most significant in the l.b.e. program as the lifeblood for small business in the city of san francisco. thank you. >> next caller, please. >> thank you. the rules committee and city administrator. i am randy collins, structural engineer and owner f.t.e.

engineering from 19 years ago. no increase in 23 years. two years ago our office was cramped. we needed more space to grow. we looked at oakland 50% rent. revenue set 30% standard standings $4.5 million per year for engineering firm like mine. we chose to find at 38 mason signing six year lease hat $13,000 per month, four times previous rent. three months after moving in, quarantine het. office empty a year. revenue is down 30%. we are struggling to make a profit for health insurance and things we can't cut in half. we lost l.b.e. status in january. we lost three projects. there are several more on the

horizon. we need this more. a few years ago the committee was discussing finding firms of 10% of participation for a city contract. we were having a hard time there is not enough qualified firms. comments was made to lower the goals not raise revenue to reduce instead of helping. in december i was networks for cloud hall at city college. it will requires fees up to $1 million. the l.b.e. goal as 50%. the listing of structural engineers i saw only one other firm carable of taking on that project and meeting scheduled with research staff in case someone got sick.

>> thank you. >> we are limiting speaker time to two minutes. i apologize for cutting anybody off. next speaker, please. >> good morning. thank you for hearing this amendment. i am wayne perry. i am a l.b.e. advisory committee member but i am also a small business in san francisco and have been here over 35 years. i am a big supporter of changes to the amendment. it will be good for san francisco and good for local business. thank you very much.

>> caller: good morning. i am james may berry. i am a bayview resident and small micro business owner. i have been in business for 12 years now. i would like to thank all of you for considering and voting yes to move forward the 14b. it is good for san francisco. it is good for micro businesses in small communities that barely get a chance at opportunities like this. the city is a melting pot with a whole heap of big boys coming in to grab up contracts and not listing us. it is a problem. we have an opportunity to be productive in the city. the 14b amendment would help grassroots businesses like my own and my colleagues who spoke

before me as a voice of the micro l.b.e. committee. we definitely thank all of the supervisors, city and county of san francisco and definitely administrator carmen chu. i have been a administrator for the city. it is something to do. we would say thank you from the micro l.b.e. committee and bayview hunters point which i am part of. we hope you guys can implement the new changes written into the narrative of the 14b amendment as soon as possible it would mean a lot to poor people and small people and micro people. thank you. >> next caller, please.

>> caller: good morning, committee chair his kin and supervisors. i am darrell lynn davis president oftive vase communication a local was for 25 years. i set on the l.b.e. advisory committee and lead subcommittee for professional services. i have been working with the committee for three years to study and recommend changes to the legislation. we have held dozens of meetings with small accident community to look at all of the amendments. we have reached consensus around the majority of amendments before you today. we support to most significant changes, increase in economic threshold, automatic 5%

increases, increase for prime contractors from 10 to 25% for listing and dumping an l.b.e. we have waited 20 years for increase in economic threshold. i have been working on this for more than 15 years. we had an opportunity in which 2015 when legislation was amended. we were cut out at the last comment because some prefer are to keep the program small with fewer l.b.e.s. we just want a level playing field. we opposed proof of location instead of paying represent. the business can render the service to the landlord. one of the things l.b.e.s do is pave the cost of doing business in san francisco and rent is one. it is kick in the game. i want to thank supervisor

walton, safai, melgar and ronen and mayor breed for support to protect small businesses. i move many forward. >> thank you. next caller, please. >> caller: i am the c.e.o. of hosely corporation. it is an l.b.e. general engineering contractor based in the bayview. i would like to thank the rules committee for taking time to review chapter 14b ordinance legislation. i have been involved with the l.b.e. community for several years. as a community we have come together to improve 14b with the goal of helping all l.b.e. businesses. the legislation that are key to the businesses are the

adjustments from micro, small, and sbe are women overdue. adding automatic threshold adjustments limnaths coming back. extending the average. gross receipts three to five years depicts small business growth. higher penalties fail to meet requirements of 14b. it is necessary. implementation of mentor program would improve the ability to effect effectively for city contracts. this legislation has strong support. support the growth of l.b.e. told by voting yes to support this legislation. thank you for listening.

>> next caller, please. >> hello. i am calling in today to express my support for the amendment to 14b. i am vivian wire. i work with the architects. i want to chang melgar and chu to getting this addressed. i do want to support these changes that need to occur, amendments need to happen because the costs of doing accident in san francisco has increased tremendously while the l.b.e. threshold has not. th is eliminating a lot of businesses that should be doing business in this plan is not to do business. it is affecting small businesses during covid-19 and struggling

to be able to get out of difficult financial situations. the three year average income qualification is too short. a% can be turned down after a good year, five years is more appropriate. this will set income qualification. precluding need for additional adjustments by the board in the future. i look forward to your support. >> next caller, please. >> i am marcus. center director at. [indiscernable] we totally support these amendments to the 14b ordinance. we have operated contractors program in bayview for the last 15 years. women and minority,

african-american construction businesses have been excluded not able to fully participate in this economy. i am talking about the micro l.b.e.s. i want that. the micro l.b.e.s are the bottom feeders. these are the folks at the bottom end or the bottom of the food chain. we support this legislation because it is very inclusive. those micro l.b.e.s have had a seat at the table. i know this because it is a conversation that happened in the office of the bayview on evans street. i want to thank the city administrator, mayor's office and our tremendous supervisor is a beacon in hunter's point, president walton.

thank you all and please be safe. >> thank you. next caller. >> caller: chair peskin and members of the rules committee and board of supervisors, ovula associates consulting engineers. i have had the pleasure of working in the city for 20 years. we are l.b.e. sba graduated from small business program a year ago i want to thank you for continued support for local businesses. this ordinance is critical to continued success. we are dying on the vine. these rules before you will allow us to compete with the multinational firms that are passing us over because we are not a small l.b.e. any more.

instead of increasing l.b.e.s we see reduction in l.b.e. participation level with different r.f.p.s. we need your help. our firm works to keep the city of san francisco employees employed. we are dying on the vine. it was five to six contracts in the last year alone. please support this ordinance with the modifications. they are imperative for the success of the small business program. please pass these for the future. thank you for your support. >> next caller, please. >> good morning. i am the principal for the.

[indiscernable] we are sba l.b.e. certified. graduated from the micro l.b.e. late last year and similar to mr. abbey and his experiences we have been -- we find out the opportunities are limited on our end. the thresholds have not been adjusted over 20 years. i am calling to support the changes to the l.b.e. chapter and i hope you will support it and we need to support small businesses, continue to provide opportunities to bring equity into the industry. there is an overwhelming under representation from all fronts on the industry here. i think this amendment will continue to create opportunity. also continue to keep dollars in san francisco.

thank you. >> thank you. next caller, please. >> hi, i am the program development officer with agent inc provide small business consulting services in san francisco. we also operate the nbc a business center and support small businesses in northern california. we are excited to speak on this item. thank you to the supervisors who have offered the item and engaged with the community and small business clients to assess changes for this moving forward to support the work we have done for the last 20 years getting us this far. there is still work to do. we look forward to working with all of you to provide a voice for small business for access

with economic opportunities and business with local government and to create transparency around what those needs look like, particularly in managing relationship between crimes and small businesses so we see those partnerships carry through the contracting process. [please stand by]

>> caller: good afternoon. i've been in business for 28 years in san francisco as an architect and have provided over 35 years. i wanted to say to city administrator carmen chiu, the city administrator task force has evolved. one of the registers we had made was a neighborhood

preference program which was included in the memos that we sent to the taskforce and now it has become a reality in the l.b.e. recommendation. but i need to know is that what we need? and that hasn't been done. if you look at the report that i'll be sending to your offices, we've issued a report on the status of our san francisco latino and black builders in the city and it's not good. when our contracts, 5% of them are union have 0% to 6% backlog, they're in trouble. and that's our professional services of oscar, i can't remember his last name, talked about today. so what we need is stronger enforcement and increasing the

liquidated jams because our second and third tier contractors are the ones getting abused and they're not approving their change orders -- >> clerk: speaker's time has elapsed. thank you. can we have the next caller, please. okay. caller, you are on the line. you can begin speaking. if we can't hear you, you can press star three to enter back into the queue and we'll call you at a later time. >> caller: hi. this is patrick ryan.

can you hear me? >> clerk: yes. we can. >> caller: this is patrick ryan, i'm the vice president of coo committee. thank you for taking the time to listen to us today. this has been a three-year process and i want to mention two people and that's darrell and davis who are two black women owners who have led this charge and this has been a grass roots effort. it has really been an amazing journey to be on with my fellow l.b.e. community members, specifically the microcommunity members and the board should be very enthusiastic about passing this and should have a sense of urgency about passing this because it's going to leave a lot of pain that a lot of small businesses that have been facing this during this time

that has been amplified during the pandemic and other issues that we face. this really has been an effort that has galvanized a lot of folk who is have previously been ignored or left behind and it's very much needed and it has been vetted and it is something that everybody can get behind and i feel very proud of it. i want give a special thanks to board president walton and supervisor safai for sponsoring this and i hope this can happen very swiftly so that we can all move on to building and growing our businesses. thank you. >> clerk: thank you. can we hear from the next caller, please. >> caller: hi. i want to say thank you, mayor breed, president walton, supervisors, city officials, colleagues, and city

administrator chiu. i'm the owner of mansfield and mansfield which is a construction clean-up business. i'm a woman, minority-own the company. i'm a nurse trade over 40 years and i became an entrepreneur four years ago. i just want to say thank you to the supervisor and the committee for putting this amendment or considering the passing of this amendment. i just want to tell you that i have been listed and dumped or dumped and listed and it's extremely hard being a single parent of a company, excuse me, i'm really emotional. it means a lot to us and it means a lot to my children

which i put two through private colleges and the other two through public colleges. i've worked extremely hard. i'm very prideful for the work that we provide for the city and county of san francisco. i work directly with my local hires in my community. i take pride in putting brown and black people to work that have been left behind and that are struggling along with myself. i'm excited of just the opportunity for us to have this to pass on behalf of us in san francisco, and i just want to say that it's very painful to watch work go up in my community or in the city and county of san francisco and not have the opportunity to work or bid on that project -- >> clerk: speaker's time has elapsed. thank you. apologies.

we are only allowing two minutes per speaker for public comment on each item. can we have the next caller, please. >> caller: good afternoon supervisors. my name is lamar hez, president of asian inc. and i have many people to thank. contract monitoring division director and the supervisors in response of that legislation, president walton, supervisor melgar, supervisor safai, supervisor ronen. i stand here because asian inc. has been committed to the l.b.e. program before it was a known l.b.e. program, but because of proposition 209, we don't have a race or gender conscious program. we have the local enterprise

program. and the local task force issued a report and indicated it was essential to the recovery of our city from covid-19. we are still in. i stand here as a latino and black. but certainly stand here with the latino and black businesses that have addressed you. including michael gregory and trisha gregory. we have addressed this issue to the supervisors and and i think

we should invest more. >> clerk: thank you. can we have the next caller, please. >> caller: hello. i just wanted to take the opportunity to champion what everyone else has said here. we feel the amendments are and

we need more of a check and balance system. so we appreciate you looking at these amendments and just wanted to speak to that and let you know it's something we absolutely need. >> caller: hi. thank you to the supervisors who brought this forward. we are a small estimating and scheduling firm in the construction realm. and we've been with the l.b.e.

program since i believe 19906. and at that time, 2.peeuf $2.5 billion business was a 20% business. and now it's a 10% so is this measure is essential. our revenue has increased over 30% at this time and we urge you to support this legislation. thank you. >> clerk: thank you.

can we have the next caller, please. >> caller: good afternoon, supervisors. thank you, again. my name is nick kalina. i'm ambiguous on the board of the san francisco black builder's association and build-out california that represents lgbtq contractors. we wanted to show our support for the changes to the chapter 14 you know chapter 14 saved many businesses. i want to just show strong

support for the i wanted to also show strong support in the damages to 25% and also to establish. you know, this community is fighting and we continue to appreciate your support. thank you, supervisors. >> clerk: thank you. can we hear from the next caller, please. >> caller: can you hear me now? >> clerk: yes, we can. please proceed.

>> caller: good afternoon. david pillpell. i have no concerns about the substantive proposal, but i could ask the city agencies and its components along with the city attorney and others have the capacity to implement these changes. i think that some city departments, some of the ones that i listed, maybe others may need additional resources staff dollars etc. to address these changes. i'm aware that the contracting units in all of the city departments including the centralized units are overstrapped as are all of us and many of us and so adding, yet, another component to what they're doing, i'm not sure

that insurmountable is the word, but i do think they need the resources to do it. and are not inconsequential. those are my thoughts at this time. thanks. >> clerk: thank you. i'd just like to note that, if you have not already done so, please dial star three to be added to the queue to speak. for those on hold, please wait until you have been unmute. at this time, we currently have ten people on the phone waiting for public comment. can we have the next speaker,

please. >> caller: hello. >> clerk: please proceed. >> caller: . okay. thank you for the stunt to speak on this critical legislation that will positively impact our city of san francisco. that is work closely with patrick ryan, the v.p. and c.e.o. of eco based services in construction. we work together to institute the changes. has been for micro-l.b.e.s particularly truckers and underserved communities to move through the l.b.e. program. our goal with this legislation.

for micros. this legislation is a representation, strong negotiations and coming together of multiple stakeholders. from the microset aside threshold increase from 706,000 to a million dollars. this legislation has great support within the community. we hope overall that the rules committee supports it and moves it forward today. thank you. >> clerk: thank you. can we have the next caller, please. >> caller: members of the rules committee, i have heard so many lies put publicly

today. it's unbelievable. they held private meetings. so the notion of the consensus is nothing but b.s.. two, this motion does not address the primary issue of 12b which is the corruption in implementing 12b. this only allows the company and former d.p.w. employees connected to muhammad nuru to continue raping the city and raping small businesses in the city. i personally blew out the whistle on m.c.k. on a deputy administrate anterior when the maximum limit is only 2.5 because he chooses to ignore

it. now, the west side observer have reported the facts. 66% of professional l.b.e.s in the city and county of san francisco are operating without a safe license. 66% with no experience than capacitiable london cross rail connection. ladies and gentlemen, prop 209 is illegal. and we moved it to pass a race gender mutual and now we're hearing exactly the same thing. only latinos and only black. this is not only illegal, but it violates the civil rights of everyone, everyone human being in san francisco. there are people that live in san francisco that have the right to live and work in san

francisco. carmen chiu, i've never seen anything worse than you are to be honest with you. >> clerk: thank you. can we have the next caller, please. >> caller: okay. supervisors, this is juliana choice summer. i am a member of the small business l.b.e. and i've been in business for 25 years and this has greatly helped my company through this incarnation. also, i'm a member of the asian contractor's association. many of our memberers who are not black, norla i'm not going to top the testimonials that were stated earlier. not all testimonials, but many of the previous ones. so i encourage you all to move this out of rules on to the

full board. there's been a lot of community engagement and many of us are very much in support of all the hard work that's gone into this. thank you. >> clerk: thank you. can we get the next caller, please. >> caller: hi. my name is carl gordon and we're a micro-small business in the bay area, in the bayview. i want to thank supervisor walton. mayweather williams, duarte jones, marcus tar, and just supervisors, if you can support this bill here that we're we're the backbone of the community

but with the support of outreach in the area to help us out and you guys pass and this legislation will be a great deal. so i just want to thank you. i don't want to be long winded with what i have to say. i support everyone in this community. thank you. >> clerk: thank you. can we have the next caller, please. >> caller: hi. my name is shannon collins. i regularly learn a project opportunity with l.b.e. requirements that would be perfect opportunities for our firm to partner with larger firms. unfortunately, we can no longer pursue these r.f.q.s because we

grew beyond the 2.5 revenues and our business has suffered because of it. 23 years ago, a $2.5 million firm was a 20-person firm. that size supported a scale and business structure that could successfully graduate from the l.b.e. program. now, a $2.5 million firm represents a 10-person firm which is too small to graduate successfully so firms have to limit growth to stay in the program. i don't think that is the spirit of this program. this program helps dozens of small architecture and engineering firms get experience and grow their businesses in the program. please don't let a few recent bad actors taint this successful program. please help small businesses rebuild san francisco's economy, housing, and

infrastructure while we implore san franciscans pay rent and meet over coffee and dinners in our city. please vote to support raising the l.b.e. revenue limits. thank you very much supervisors and to carmen chiu. >> clerk: thank you. can we have the next caller, please. >> caller: good afternoon, supervisors. thank you for considering this impactful amendment of this legislation reform. my name's eric robinson. i won't repeat some of the arguments that made. i think the result of the cap not being raised over these

past firms can no longer participate. i'd like to reiterate we support this amendment and look forward to approving it. thank you for your time. >> clerk: thank you. can we have the next caller, please. >> caller: hello, supervisors. i'm the owner of casada architecture based in san francisco for the last 27 years. we also just recently graduated from the l.b.e. program and are in very much support of this amendment. i just wanted to make two points. one is as randy had mentioned awhile back, some of these projects have a 50% l.b.e. mandate and if you're an l.b.e.

and you get 50% of one of these very large projects, you're pretty much graduating within a year or two after you get that project and it doesn't really serve. you have to build your office to a certain size and once you don't have that project, you're already out of the program. the other thing to also consider is that as architects, we carry a lot of sub consultants in our contracts. as the l.b.e. we held of that $2 million contract, we only received less than 10% of that $2 million comes through us is counted towards our bottom line. so it basically graduated as

part of the program. it's basically not money that we receive and we're using to build our business. >> clerk: thank you. can we have the next caller, please. >> caller: hello. i'm the president and general manager of jeron construction and been here for 17 years in san francisco. i'm here today because i'm in support of the legislation you're all considering. it's important to us because we are victims of the tyranny of being small and that means that we don't have an agency. we don't have strong advocacy for all the things that hurts our ability to succeed within this environment. one of the best vehicles i believe for the leadership of san francisco to execute is responsibility being good

stewards of the public trust is that you maintain a healthy and competitive robust pool of vendors rendering services to the city of san francisco and i believe one of the major ways to do that is to maintain a strong and healthy intake of small businesses and make that whole offering as possible. i hope that you all see it. the other piece of it is is that i hope that you don't link this as legislation of an interest to the group of people that i belong to, the contractors, i hope that you recognized a very strong link between local businesses and local hiring. no one and i think there's adequate information that shows you there's a strong correlation between the local

businesses and the local hiring and the amount of development of local employment here in san francisco. we don't parachute in when the opportunity comes and leaves once that opportunity's away. nor do we just put the minimum investment in people. we're here because we have skin in the game and i hope that you recognize that that not only we are partners with you in building a stronger and better san francisco and i hope that you look favorably upon this opportunity. thank you. >> clerk: thank you. can we have the next caller, please. >> good morning board of supervisors. thank you for allowing me to voice my support.

we're small architect firm located in mission district. through the l.b.e. program, we have had the opportunity to provide services to help build affordable housing in sf. and as many of you have spoken today. we have lost our l.b.e. status. we want to regain our status so we can continue to help with more affordable housing in our neighborhood. our goal is demonstrating work because we cannot revenue is also a mission. the burdens of an l.b.e. contract is to stay below this l.b.e. revenue while carrying

subcontractors is unfair and it will be great to address this now. lastly, we oppose the amendment to allow business that is are not physically located in san francisco as confirmed by paying real rent and not in kind services to qualify as a local business. this amendment owns a potential and enormous loophole and allow individuals pay high market rents and living wage employees driving up the cost of business. we support the legislation as originally drafted more l.b.e.s are priced in san francisco. thank you. >> clerk: thank you. can we have the next caller,

please. >> caller: good morning. this is paul prenderghast. i do want to underscore in the interest of time we do support the comments made by ann cervantes, james maybury, nick lynn, and juliana choy. we specifically want to underscore the importance and the value of the protoge program. thank you for the work, thank you for the commitment and so honored to be here today thank you. >> clerk: thank you. i'd just like to state if you

have not already done so, please press star three to be added to the queue to speak. for those on hold, continue to wait until the system indicates you have been unmuted. can we have the next speaker. >> hi everyone. my name is riana echol. we ourselves are an l.b.e. and also do extensive outreach and engagement within the l.b.e. community on the bayview. i would just like to show my support for this change and i want to thank everyone that worked on this improvement. i do believe these changes will be a great positive impact for the l.b.e. community especially to the micro-l.b.e.s. and help l.b.e.s get work on the construction project existing and future within our community with which we reside.

it's really disheartening to see l.b.e.s that are listed underprimes that do not get contracts to work on this project. i really hope the change will prevent this from happening. thanks. >> clerk: thank you. shall we have the next caller, please. >> caller: yes. this is miguel galarza with yerba buena engineering. i want to personally thank carmen chiu, and city administrator jennifer johnston. i i appreciate their efforts. i also want to thank all the supervisors that allowed us to brief the amount of changes to the ordinance. and we appreciate you taking the time to listen to our community. which will make a big

difference to our community. the director has been great in helping us through these issues and making sure we stay within and, of course, my partner in crime carolynn davis who worked hard this past year. thank you again, all, and we appreciate the efforts that you are taking. >> clerk: thank you. can we have our next speaker, please. >> yes. thank you for an opportunity to speak. i have worked with several of the l.b.e.s that spoke on the call earlier and i just want to applaud the rules committee for taking this under consideration and i want to applaud all the folks who worked to mange this happen and moved this forward. so thank you for this opportunity.

>> clerk: thank you. that completes our list -- one last speaker. next speaker, please. >> caller: hi. my name is nicole burrgis. >> supervisor mandelman: did we lose our speaker? >> clerk: i'm waiting for an update. we'll give them one moment. mr. atkins, if you can see if you can get our last caller back online.

[inaudible] >> caller: hi. can you hear me okay? this is nicole. >> clerk: yes. we can hear you now. please begin your public comments. >> caller: thank you. again, my name is nicole. ear an l.b.e. construction company in san francisco. we are here to thank everyone who's been involved with this. a lot of companies have been involved with this process way longer than we have actually been in business. we have incorporated 2015 and became operational in 2018. we've been afforded the opportunity to work on the construction site and what we really want to do is to make sure that we are -- have the capability of being on these

sites and employing women in the construction field, minority women, minority residents. we offer services and elevated services on vertical projects. the portion of the 14b that we are really interested in is the changing the penalties from 10% to 25%. we would love to see that penalty change to where the contractor received some of those funds for the larger companies that are circumventing the system and doing whatever they can not to work with l.b.e.s. one of the things we've faced is contractors don't know. we've done a lot to put our name up there and i'm sure a lot of other l.b.e.s have done

that especially with the platforms that we've been apart of. so holding these larger given the ability to make them accountability and also strengthening the penalty for what we would like to see. but ultimately, everything you want to do is work on the project, hire local residents. thank you for your time. >> clerk: we have one additional caller. can we have that speaker, please. >> caller: good afternoon, supervisors. the city administrator chiu. we're a certified small l.b.e. resource in the city. going back to my partners, i'll thank you for taking this and i want to express our support.

i want to echo a lot of the comments i heard from my fellow and local small businesses today and these directly relate to local hiring. and so will be increasing the opportunities for students to work on the city and work in these great projects. thank you for your consideration. >> clerk: thank you. that completelies our list of public commentors for this item. >> supervisor mandelman: great. public comment on this item is closed. chair peskin had to step away and so i have seized the gavel for the interim period until he returns. i see supervisor chan in the queue. >> supervisor chan: thank you, vice chair mandelman to making the moment we discussed before public comment if that's okay with you or whoever you want to

do it. >> supervisor mandelman: i think that's great. there are no other supervisors who want to speak. city administrators. there's supervisor safai, one of the co-sponsors. so maybe i will come back to you, supervisor chan. supervisor safai. >> supervisor safai: i'll be real fast. i know it's been a long public comment. i just want to really say thank you to everyone involved, city administrator, mayor's office, president walton. lean on this. proud to be a co-sponsor of this legislation. i've worked on many aspects over the last ten years and i believe it's an extremely important program for our local businesses. having been a former l.b.e. that worked on things for the city. i understand some of the challenges in terms of size and in terms of coordinating with crimes and what it means to be

given a leg up in an opportunity to provide services here in san francisco. but as many things, this program has graduated and needs to expand and it needs to grow and i think that this is the right time to raise the threshold. so also in terms of having more accountability for the primes in terms of any violations that they might have and violating the work they do, i think having a clear definition of those fines is really important and just overall having a program here in san francisco that makes us unique that really fosters women-owned businesses owned by people of color business that is are homegrown, i think it's so important to have this program. so thank you to all involved and thank you to everyone for being a strong supporter of this and thank you for all the people that called in today that have been participating and making this better and i know that the city

administrator has an l.b.e. working group. i know that miguel and others all have participated and given input. i know there's still some concerns from individuals and reservations. we're never going to make anyone happy. but i think this is a really strong attempt and i appreciate supervisor melgar's support for monitoring how this is going and as to how many women and people of color owned businesses are participating in the program. so i appreciate that. thank you, chair. thanks for the opportunity to say a few words. >> supervisor mandelman: thank you, supervisor safai. now, unless there's anything anyone else who would like to speak, supervisor chan. >> supervisor chan: thank you. the first motion that i would like to make is a motion to

amend a legislation for a clerkal amendment which is the correct acronym for mentor protege program. that's the first motion. >> supervisor mandelman: thank you for that motion, clerk, please call the roll. >> clerk: yes. on that motion, [roll call] that motion passes with a vote of 2-1 with supervisor peskin being absent at this time. >> supervisor mandelman:

great. thank you, mr. clerk. supervisor chan. >> supervisor chan: thank you. and i would like to make a motion to duplicate the file. >> clerk: one moment, please. okay. i don't believe there's a need for a vote on the duplication. so we can go ahead and duplicate the matter. >> so then i would like to make the motion to amend the duplicated file with the amendments that were read into record early on by supervisor melgar which for those who just joined us, it's really the amendments to capture the data, that's the specific language.

so i would like to amendment that duplicated file and continue the duplicated file to the call of the chair. >> supervisor mandelman: great. thank you, supervisor chan. please call the role on that motion. >> clerk: yes. the matter has been duplicated and on the duplicated file, there's motion to amend the matter and continue that one to the call of the chair. on that motion, supervisor chan [roll call] the motion passes with supervisor peskin being absent. >> supervisor mandelman: great. >> clerk: on the version that has not been duplicated -- i mean, on the matter that has not been amended. >> supervisor mandelman: yeah. >> supervisor chan: i'd like to make a motion to move the

original ordinance as amended with the claer cal amendments to the full board of positive recommendation. >> clerk: on the motion to refer the matter as amended, [roll call] the motion passes with supervisor peskin being absent. >> supervisor mandelman: great. the motion passes. and thanks everyone. thanks administrator chiu. thanks to all the folks in the small business community. and we will move on to our next item. >> thank you, supervisors. >> supervisor mandelman: thank you. please call item four i

believe. >> clerk: item number four is a motion -- excuse me. item number four is an ordinance amending the administrative code to extent the sunset date for the cannabis oversight committee from december 3, 2021, to january 1, 2025. >> supervisor mandelman: supervisor peskin's back. i'll go back to being the vice chair. >> chairman: thank you very much, vice chair mandelman. i know that supervisor chan has something to say. supervisor chan. >> supervisor chan: thank you, chair peskin. i do believe that it's straight forward and that's really extending the sunset date

that's the most equitable ownership and employment opportunity in the cannabis industry by lowering the barrier for you those that were hit hardest by the war on drugs. so, with that, i do want to specifically highlight one important goal about the program is that about that i have intended to add a clock requiring that members of the committee have but i have been advised by our city attorney that we're not allowed to make that requirement since this is an advisory body. that does not have this decision of making authority on city policy. so i would like to thank ray law from the office of cannabis for working with my office, and

all the members of the cannabis overnight committee for their hard work. with that, i think that we also can hear from the oversight committee themselves to talk about more transparency and accountability for the committee related to, you know, my interest in filing 700 forms. ray law is here today along with john pierce and nick patel from the office of cannabis to answer any questions you may have and we also have the current president of the cannabis committee to say a few words about the work of the committee. with that, if it's okay with you, chair peskin, i would like to turn it over. >> chairman: sure. and, just for the public, this is a piece of legislation that extends the sunset date from december 3rd of this year to

january 1st of 2025. with that, to the chair of the committee, the floor is yours. >> good afternoon rules committee. thank you, chair peskin. supervisor chan, supervisor mandelman. and thanks for having me today. i'm the president of the oversight committee and for the san francisco's first and only equity manager. i do hope that you extend the sunset date to the c.o.c. as this is a really unique advisory body engaged in a very important dialog between administrators, legislators, the community as a whole and the industry stakeholders. i do believe that we've done a lot of good work so far and it's evident by the licenses and processes and those in processing. however, there's still quite a bit to accomplish especially when it comes to educating our community, taxes, and parody

licensure. it's important we build a foundation. as i do think there will be an additional driver by the nature of medical and recreational use or tourism, entertainment and the re-opening of our city. thank you for having found this body and i look forward to working with you guys. guy rthank you. >> chairman: thank you. supervisor chan, would you like to go to ray law? >> supervisor chan: yes. mr. ray law, are you here? i can't quite see everybody, but mainly, i just wanted to see if any of the committee members have questions to ask the office of cannabis. >> good afternoon. >> supervisor chan: i don't think we have a formal presentation for the extension

of the committee. >> chairman: i have no questions. vice chair mandelman, do you have any questions? seeing none. supervisor chan, we can go to public comment. >> supervisor chan: okay. thank you. >> clerk: yes. members of the public who wish to provide public comment on this item should call (415) 655-0001. the meeting id is 24810239510, then press pound and pound again. if you haven't already done so, please press star three to line up to speak. the system prompt will indicate you have raised your hand. please wait until the system indicates you have been unmuted and you may begin your public comment. we do not have anybody in line for public comment on this item. >> chairman: all right.

public comment is closed. supervisor chan, would you like to make a motion? >> supervisor chan: yes. thank you, chair peskin. i would like to make a motion to move this to the full board with positive recommendation. >> chairman: all right. on that motion as a committee report. >> supervisor chan: as a committee report. sorry about that. thank you. >> chairman: on that motion, a roll call, please. >> clerk: yes. on the motion you recommended as a committee report, [roll call] the motion passes without objection. >> chairman: next item, please. >> clerk: next on the agenda is item number five, an ordinance amending the campaign and government conduct code to expant the definition of interested parties to include city contractors, persons seeking influence to influence

city officers and employees, contact lobbyists and to prohibit elected officials, department heads, officials, and designated employees from soliciting behested payments from interested parties. >> chairman: thank you, clerk young. colleagues, the amendments that we made some time ago that necessitated the amendments containing to today are subject to meet and confer which meet and confer is happening today. as a result, we cannot vote on this. in addition, do to some concerns that were expressed, some of them wanting to go back to the battle ways and some of them actually valid policy concerns which need to be clarified in the legislation which will narrow some of those amendments in scope which amendments are being developed, i would like to make a motion

to continue this item to the call of the chair. albeit, i intend to schedule it as soon as meet and confer is done and those amendments are ready for introduction. so, with that, why don't we go to public comment. >> clerk: yes. while we are checking to see if there are any speakers i'd like to state if there are members of the public who would like to make public comment on this item call (415) 655-0001. the meeting id is 24810239510 and then press pound and pound again. if you haven't done so already, please dial star three to line up to speak. the system prompt will indicate you have raised your hand. please wait until the system indicates you have been unmuted and you may begin your comments. we're waiting for our last update. there are no speakers on the line for public comment on this item. >> chairman: all right. public comment is closed.

thank you, mr. pillpell. and why don't i make a motion to continue this item to the call of the chair. on that motion, a roll call, please. >> clerk: yes. on that motion, [roll call] the motion passes without objection. >> chairman: and we are adjourned. thank you all.

but i also want to make sure that we are -- . . . >> thank you, all, for joining us here in the bright