experience out of it. >> it is going to give the locals a part of san francisco that was taken away from them. >> now i have a reason to come back. >> i had a guy the other day come and say he hasn't been down to fisherman's wharf in 10 years. he said i'm going to come down here every weekend. i forgot takers of this place. >> item one is roll call. willie adams >> here. >> vice president ho. >> brandon yoochl here. >> commissioner burton. >> here. >> commissioner gilman. >> here. >> the court acknowledges we are in the home land of the ramaytush ohlone who are the

inhabitants of the san francisco peninsula as stewards and with their traditions they have never seed, lost nor forgotten responsibilities as care takers of this place. >> we recognize we benefit from living and working on their home land example wish to pay our respects recognizing the ramaytush ohlone community and affirms their rights as first peoples >> item 2 approval of the april 12, 2022 commissioner court meeting >> is there a motion. >> a motion and second. all in favor? >> aye. >> aye. >> opposed. >> minutes of march 8 meeting are adopted >> item hoe is public comment on executive session. >> we'll take public comment on executive session is there

public comment in the room? >> seeing none. we will provide instructions for remote participates. >> thank you, president adams. at this time we'll open for anyone on the phone withhold like to comment on executive session. please dial star 3 if you wish to comment. system will let you know when your line is open. others will be on mute until their line is open. comments will be limited to 3 minutes per person of the queue is now open. please dial star 3 if you wish to make public comment. >> at this time there are no members of the public on the phone wish to make public comment yoch public comment is closed >> item 4 is executive session and there are 2 items both negotiations with real estate negotiator. as agendaized. >> commissioners.

may have i motion to go into executive session? >> moved >> a motion and i second. all in favor? >> aye. >> aye. >> item six is the pledge. [pledge of allegiance] >> item 7 is announcements. the ring of cell phones and sounds devices are prohibited. a member of the public has 3 minutes for comments on each item unless the commission adopts a shorter period. public comment must be in

recommend to the current item and the commission will take in person first and remote. for remote public comment dial 415-655-zzz1, code 24832810348 pounds. during star 3 to be acided to the queue and audio prosperity will signal when it is your turn if ior sfgovtv well it is a short broadcasting delay. dial when the item is announce exclude mute and listen only through you're phone which has no delay. >> that brings us to item 8 public comment on items not on the agenda. >> we'll take public comment on items not on the agenda. is well public comment in the room? seeing none.

>> now remote participates. >> at this time we will open the queue for anyone on the phone who would like to make public comment on items not listed on the agenda. dial star 3 if you wish to make public comment. system will let you when your line is open. others wait on mute. comments limited to 3 minutes per person the queue is now open. dial star 3 if you wish to make public comment. we have one caller on the line i can open that line now. >> okay. go ahead. good afternoon. this is [inaudible] at water bar and ecices stake on the waterfront.

and i'm calling to voice my opinion over the proposed shared spaces that the port will be putting on the additional cable that we are allowed not only for my restaurant but for the other port restaurants. to -- combat financial adversities of the pandemic. and -- as we all know, restaurants took a major beating during the pandemic financially. and the fact that we don't have to have maps now or check vaccines -- status. does in the mean we are out of this in any way. we are still crawling out of a whole and we need all the help to get on our feet.

i really feel like an additional fee on tables that are generating revenue which the port is earning percentage rent on is in fact, a double dip in terms of the financial impact it has to the restaurant. so -- i'm not in favor of it. i think it is something this needs to be looked at. from the standpoint of the restaurants and the businesses. to the best of my knowledge the financial fees are more than what the city is charging other businesses for shared space. my ask for the commission is just to look at this program and make sure it is equal and fair through all the players involved so we can serve everyone on the

water front and return to financial sustain ability. thank you very much, i appreciate it. >> thank you. there are no other members on the phone wish to comment. upon thanks. public comment is closed. carl, next 9 arc the executive director's report. >> good afternoon president adams and vice president woo ho, commissioners, the public and staff i'm executive director of the port. i want to update the masking guidance for port commission meetings and the ferry building hearing room. >> per the add administrator's office effective yesterday masking is not required for in personnel meetings in public commissions or board hearing rooms. however, the orders and city policy recommend masking.

the port will provide masks for those who choose to in the ferry building hearing room. >> now i'm excited talk about economic recovery. we are continuing to see signs of economic revival on the water front. this week we have an excite and huge cruise mile stone. on thursday the port of san francisco will welcome the carnival miracle to the new home port on our cruise terminal at pier 27. the carnival miracle will set sail on 20 voyages and drop thouz understands of passengers and crew to our city. each supports a network of small and family owned businesses made the whatever and all corns of our 7 and a half miles of property international low known. and moments ago. the state lands commission approved our full 58.2 million

dollars second of funding from the american rescue plan fund. this funding the ensure this we arc void layoffs. back fill positions and invest on maintenance. restore cuts made during the early years of the pandemic and support our tenants they allow us to recover. we have lost a hard and long road to get to where we are today and i'm optimistic that working together we'll prevail and come out the other side stronger. we are also becoming a stronger organization through our actions. our racialing equity action plan is a bold plan centered on achieving equity at the port. an element is the new mentorship program. last week we kicked off the program. put forward a program for senior staff to mentor junior level

staff around 3 key areas of growth and development. support and guidance and making career choice. development and increased confidence am skills and knowledge, effective communication. the program duration is sick months. we have several employees participating. and i look forward to sharing the program's out come with you. additionally, last weekend, our human resources staff booth were -- staffing a booth at a career and resources fair at civic center mrs.asm port engaged with employment and arc prenticeship opportunities. over 30 city departments came of 20 community organizations and the event attracted 1, 500 arc tendsees and attended largely by communities of color. tabling at this and other

similar eventses arc line with the port's goals out lined in our racial ecequity plan. hiring and arc prevent i guesship programs bottom known in the community. through this and similar programs the port is ensure the workforce reflects the communities we serve. >> i have one key project. thank the maintenance gardeners celebrated earth day hosting a community clean up and planting day at rincon park and the creek this last weekend. why port ins partnered with 20 volunteers. weed, picked up trash. laid down bark and plants 100 new plant in 2 locations the area of the open space looks

beautiful and the gardeners enjoyed a fun day of service. port my expand the support of community clean up day in the year to come. i wish you a wonderful either mont this conlewds my report. thank you. why thank you for your report. is there public comment in the room? thank you president adams. we will open the queue for anyone on the phone withhold like to make public comment on the executive director's report. please dial star 3 if you you wish to comment. the system will let you know when your line is open. others will wait on mute until their line is open. comments limited to 3 minutes per person. the queue is open, dial star 3.

there are no members on the phone. public comment is closed. >> commissioner gilman? >> thank you. president adams and director for that wonderful reportful i'm excited hear that ourm funds have been approve exclude we can spends them to have economic recovery the the port and avoid layoffs of staff. i'm excited about the cruise ship making us their port of call. joy want to congratulate and you your team on the mentorship program. look forward to hearing about that program. mentorship is important to me early in my career. ure don't know what you don't

know and most learn by mentorship and doing versus reading manuals or books. i appreciate the port launched that and i want to close my remarks again by acknowledging the atrocity in ukraine. our sister ports are being bombed constantly. ports other life line. the a trsities take being place should be condemned and i wanted to close with that. thank you. >> thank you. commissioner burton? i want to thank the staff for the information and the good new and -- look forward to continuing to get port moving again and -- more jobs on the side they and the other side of the bay the membership doing

great work. >> thank you. commissioner brandon. thank you very much for a very good executive director's report t. is great carnival has i now home port. it will be great for the entire waterfront. i want to congratulate you on getting the 58.2 million that will help us in our recovery efforts. i think phenomenonal you started the mentesorship program. that will be a real asset for our employees to be able to learn new skills and mentesors to help them. i think it is great we participated in the career fair of a thousand people. an opportunity for individuals looking for careers. i think it is great we

participate instead community clean up. there will be opportunity to help the city with clean up. thank you very much. >> thank you. vice president woo ho. gi think all of my commissioners said everything i will not repeat the items you reported on but an excellent report. very positive in terms of recovery and the positive movement in terms of our equity plan for our staff and attracting more talent to the port. i think the fact we engage the community through earth day with our crew is -- brings more in the port to understand when we are doing and keeps youth engaged. that is i great program. thank you. >> thank you, director forbes. today we have 2 cruise ships in today. on my walk it was good to see

them and embarcadero is vibrant again. hope we can get it back up to 30 million tourists a year. i like you had the career fair. it is awesome the port and the drive and the hard work to secure that 58 million dollars. that is awesome because you know, so much all the other ports compete and we were able to take care of the port of san francisco. i want to say. hat's off to you and your staff and we don't have to lay people off and we will come out of this a pandemic stronger than ever. thank you. again. carl? next item. >> item 10 the consent. 10 arc, approval of an amendment to the pier 70 special use district. the definition of retail use and

office use without @ering height. permitted use approved by planning on march third, 2022. this is resolution 2222. >> is there a motion to consent. >> moved. >> second. >> we will take public comment on consent is there publicing comment in the room? seeing none. we will provide ininstructions for remote participates. >> thank you, president adams. >> we will open the queue for anyone on the phone withhold like to comment on the consent calendar. dial star 3 if you wish to make public comment. the system will let you know when your line is open. others will wait on mute until their line is open. comments limited to 3 minutes per person the queue is open. dial star 3 if you wish to make public comment.

there are no members of the public on the phone wish to make public comment. >> thank you. public comment is closed. this is a consent calendar no discussions a motion and a second. all in favor? >> aye. >> opposed? >> resolution 2222 is adopted. carl, next item. >> item 11 arc request authorization to arc word construction constack 2841 in shore line to dixon marine service and 2 million 38631 dollars and funds of 10% of the amount equals 203, 863 for anticipated conditions not to

exceed. this is resolution, 2223. >> good afternoon. i'm excited be here for the first time after 2 years. i'm erika peterson the port's be project manager for the project. i will give the presentation requesting authorization to award construction contract 2841 the southern shore line of the park. >> this is an action item to award the shore line resilience project to dixon marine service the lowest bidder on february 22nd the amount is 2 million 38,000631 dollars with 10% request for total of 2.2 million dollars. in this presentation i will talk about how this contract meets

the strategic objectives. backgrounds. advertisement, port out reach. provide comparison of the bids introduce the low bidder. funding. schedule and the over all plans status and funding for the investments made at the shore line. >> the park is a valued natural and community resource the experience erosion on the southern shore line and of the wet lands by plants. we will construct a living shore line to mitigate erosion. this contract implements the port's plan goals. implement nature based stablization and improve am projects and complete the shore line project by 2023. regarding the over all project in which project grant funds utilized to gain the local

nonprofit lit res for environmental justice. and they will work directly on a later phase in performing -- community out reach. this out reach will be designd and lead by the youths workoth project the port staff so the out reach is coming within the community and offers a great community and work experience for the local bay view use. >> park is a 2180 are comprised of wet land and bonds and 14 acres of public open space is valued for wildlife and people and utilized boy 100 species of birds each year. that experienced erosion. the forces caused a loss of wetland and quality. in the most impacted area the shore line retreated 50 feat in

the 99 location. without protecting the shore line from e range of motion the park is expected to lose 2 more acres the next 30 years. a living shore line presents an opportunity to pilot a project with nature based designs and evaluate the feasibility of natural shore lines as the sea level rise. living shore line is a protected and stabilized line made of natural materials, plantses. sander rock and safe guard the wetlands from e range of motion and enabling them to migrate over the next 30 years. >> the scope of work for this construction contract will be placement of gravel, by rock and [inaudible] and grains a low wall barrier built out in the water to bay erosion and drifting material. this will reconstruct the beach on the southern shore line. also included in the scope to is

to restore the marsh and p for construction to preconstruction condition. why happy to say both bids will be included first is wold happen at that time consist of tree trunks and branchs and mimic natural drift wood. and the second is installation of oyster reeve balls to support habitat for identitiers and other plants and animals. >> construction of the shore line will restore the designed happen at that time. we advertise third degree on february 22nd and held a prebid meeting on march first. a walk on march fourth. staff conducted out reach to companies representing the trades during the advertisement period for business earnprize.

meeting attended by contractors from 12 firms the contract is partial low funded boy a granted and subject to small business and disadvantaged business instead of lb requirements from our city code. however lbe firm is considered part of the participation toward meeting the sbde requirements. on march 22nd port staff opened the bids from 5 condition tractors and dixon marine service system the lowest responsible bidder. dixon's total price plus a 10% contingance seunder the budget. final rankings are here on this table. >> dixon marine services is in california the firm sbe and

woman owned business. dixon constructed men wet land projects making them qualified for this conracket. recent project it is include sear point levy in santa roseasm youtubea city boat ramp setament removal and happen at that time at deck are irish land in sacramento and well as bear island in redwood city. they are regular ly engaged in projects compliance of permit requirements are essential and this will be an advantage to the construction. >> the sbde goal was 20%. dixon marine services team includes 98% participation by dbesbe including self performed work. they are woman owned. and here on this slide i'm

sheing a list of their subs and you can see black bear security is an lbe also that is headquartered near by in -- we have grants from 4 different agencies. san francisco bay restoration thgz authority. ocean protection. california department of fish and wildlife and national wetlands conversation program

the grant channelled through the coast. and [inaudible] to date the port has not invested port funds in the shore line project. all investment from grants. pending negotiation of the scope in the amount of the coastal grant we don't anticipate investing per funds in the project. >> in conclusion we question you authorize this to the lowest bid are dickon marine service. we look forward to complete thanksgiving project will show case our goals to use nature base stablization methods. myself, carol from port plan and environment along with dixon marine services are here. some are virtual. to answer questions you may have. thank you for your time. >> thank you. for your presentation. >> can i entertain a motion.

>> so moved. >> second. >> now on this open up for comment. any comment in the room? okay. seeing none herech will provide instructions for remote participates. >> thank you. the this time we will open the queue for anyone on the phone withhold like to make public comment on item 11 arc. dial star 3 if you wish to comment. the system will let you know when there are no callers on the

phone wishing to comment. why thank you. public comment closed. >> commissioner burton. >> no comment, good report. >> okay. >> commissioner brandon. >> thank you for this report. good seeing you again after 2 years. i have a couple questions. what type of out reach was done for this? contract? >> we did our mushl method of reaching out to our list of lb's in the trades that are related the project. and -- look at anything else. no chamber or advertising other than the list of -- we do our the advertisement in the newspaper and we have our prebid meeting where everybody in the public invited.

>> okay. >> how islet involved in this. they are not involved in the construction but the over all project hay will be coming on -- to do the construction monitoring and the out reach associated with that later. where we have to do as part of our permit requirements we do 5 years of monitoring of the upon plants that we will and new plantings. when will the contract be? how are they engaged in this project as stated in the [inaudible]. >> they will come on later. i'm wondering because this is something carol knows more b. is she on? i am on. thank you. i don't know if you can see me.

>> yes. >> great. i can answer that question. ledge is funded by the san francisco bay restoration authority now. and will additional low be funded by the state conversation core for under separate contracts than the shore line construction contract that erika is seeking out authorize to award today. the scope of work under the other contract is for 2 years of wetland plant habitat restoration before the shore line construction. and we are developing a contract that will be awarded to ledge to continue that work for 3 additional years after the construction contract is completed. they are also doing community out reach. working with their youth that sthi employ to deliver public

out reach about the project. and with respect to the shore line construction itself. they will be planting nailive plants in the shore line construction your after dixon completed work and left the site. >> great. thank you. why has dixon got work in san francisco? >> i'm not aware. i'm not aware of that. thank you, commissioner brandon. commissioner gilman? thank you so measure for the report. it exciting to see this project get under way. i'm supportive and have no questions. >> thank you, commissioner gilman. >> vice president upon woo ho. >> thank you for a great update and i think we justmented

to know the context of witness we complete this the shore line, how much more is there to bid on for herince and men you are not the person to answer but somebody should be able if well is more work is this the last pos to completing this park or is there other project this is we need to complete? >> may be carol can chime in. once we complete this, that's the bulk of the work and it is just what ledge is doing there is monitoring and planting we will do. >> maintenance, then. this is the last piece of the park? more or less. yea. yea. this contract will affect the entire shore line construction. and that will be done.

the shore line will be done. after that there will be 3 more years of wetland plant habitat restoration that includes maintenance of both wetland plants. and the per also has private permit post construction monitoring obligation, which we hope to fund with grant money for 10 years to monitor the performance of the constructed shore line. okay. that's it. thank you. i support the project. >> thank you. >> thank you. i wanted to know so -- mr. brandon, they have done the work in san francisco? erika? >> i'm not aware. of projects they have provide the list and references for projects around the bay area and i know of in sacramento.

they have done a lot of title and wetland restoration which is this type of work. they seem qualified for sure. okay. i have no questions. commissioners there is a motion and a second. all in favor say, aye. >> aye. >> aye. >> opposed? >> next item. carl. >> passed. thank you. >> item 12a informational presentliation to review port owned property south of india basin. >> good afternoon mike martin chief operating officer. i'm excited be before you to provide an informational

presentation on port owned property south of ind why basin. this has been inspired by request from commissioner brandon to review the property we heard about it property outside of our normal concept of what the port's jurisdiction includes or the port owned property includes. you saw a number of discussions around the india basin parcels the port owns. we want to focus on the south to give a bit of a picture of the properties we own and the issues we encounter in managing them. had is know over view of the presentation follows the structure of the staff property we provided you. first a review of the maps we provided to identify this property. review the property intended to

be transferred to the infrastructure in association with the private phased development at hunter's point and candlestick point. we'll revisit the property transferred to the city as part of the fire training facility project. we will discuss the environmental management issues in the vicinity of >> accept 00 hoo had is the figure one from the staff report this it is a zoomed out vow. you see hunters point ship yard to the stop right here. 70 slew is inlands and labeled -- [inaudible]. this property here the property we are showing here the red hatch is port street. paper streets. the port owns and there are 4

parcels that are former railway facilities. the port continues to own and manage. i do want to highlight the footnote at the bottom here. there are as you might imagine a number of historical land and property recorded documents. some of which are not always in harmony. one thing we are jumping off with the chief engineer working with the city suri havor to reconcile those documents and formalize where all our property is. the diagrams today we are you showing we are confidence. and held become a few thing i will talk about those as we go through this presentation. the last note here is this is showing under water parcels. paper streets and that were

transferred and has ownership over. focus of this presentation is on the land side. we wanted to note these street in circumstances. but our focus is the land side properties today. moving on to the next slide. a zoomed in this was figure 2 in the staff report. we zoom in the on the clutters of property that are most at issue in today's upon presentation and wanted to groove them by management issues this each set presents for the port in terms of management and the future disposition of the property. moving from south to north you have in the light green coloring you have properties associated with the ocii transfer with the candlestick point development. moving north you have the light

blue properties which are associated with the fire training facility transaction. moving north, of the pink areas are areas the port will does not have a current disposition strategy for and we talk about in association with the >> slough. and i will be joined by rich for that part of the discussion. >> to begin with the ocii transfer of property. back in 2011 the commission agreed to transfer the properties i showed in grown to the san front redevelop agency in connection with the phased patriot development project candlestick point. that project is like our mission rocket and pier 70 where the developer takes down the property in phase when is they

have capital to purchase the report and appropriate ly develop the property. the solution of the san francisco redevelopment agency the successor the office of communities investment and infrastructure is now the current per to whom we'll transfer this property when the phased development is red. we have been speak with them to the lead up and hay note that the developer 5 point is not close to the next phase of development than i don't see that happening in the near future. this is created a situation we did not appropriate for when it was approved. we did not expect the project to take 10 years. we near a position we are own and can managing property this is in this limbo with the original state and the eventual

development state. this has brought itself or created a concern. because there are new residents from phase one that are near by. raised concernos near by privately owned properties. we do have one tenant in place detailed general. they have been following the plan and the requirements. so we did in the see them as a cause of the air quality impacts that were being raising occurrence. >> separate ly from our work ocii worked with the department of health to have orders to 3 operations on adjacent private properties. to stop activities causing more

dust and other impacts on the neighboring properties. >> as part of that discussion issue i think we acknowledged and rolize exclude committed to -- the stake holders we were meeting with we would allow the tenant in place to winds down in that location. their lease was expire nothing may and we moved forward with them and saying this will not be renewd and look for another place for them. we think they are falling all of our rules, you know large equipment on unpaved road and land kickingum dust we did not think that was compatible. i think this brings in our challenge here. we don't anticipate there are a lot of revenue generating uses that would be able to be

operated on this unpaved property. that would not create the impacts on the residents near by. i think that under scored our goal of trying to seat completion of the transfer for the phased development at the earliest date. we monitor this situation and hopeful low that moved forward sooner rather then and there later. the next category of property we out lined north of there is the city transfer property. at the block bounded by griffith row, and carol avenue. >> the diagram on this slide was 58ed from the staff report from your approval item at the april 12th hearing you approved the transfer for this -- site assembly effort by the city to develop the fire training

facility. the approval of transfer is subject to conditions including state lands approval of fair market and adoption of state legislation. we expect that those conscience will be completed in 12 months and the transferal be complete. we'll min tain our properties we will not lease them. our goal tell is to consummate this resolution as is on april 12th. in person is getting to me. i'm excited be here. >> now we moved on to the slough property. this is i like to refer to my

colleague who health care involved with the efforts our sustainability manager and i will return after he is done describing the work we have done on those issues. thank you. mike. >> good afternoon. the slough as you saw on the map low lying extension of the bay waters. sometimes a muddy strip of on 1400 feet and sometimes got up to 6 feet of water. it is 2 phases the dtsc clone up in 2 where are 03 and the epa clean up and the 60-there was i can you remember the bay area drum company. they redurbished chemical drum and found to have mismanaged a lot of when they were cleaning the client's had materials like pc b's and petroleum and lead.

this was found it contaminated the area and toxic substance control initiated clone up in 87. the drum company went on the of business and the upon clean continued to 2003. that was a land based clean and you were certify in the 2003 a few years after. the contammy nanlts was found in the slough and the conclusion they had migrated mostly i have at storm water infrastructure in the slough and at that point -- came in and they decided to take over the clean up under their authority as a super fund program. >> so they looked for party and included the bay area drum company and many referred to this as the bad company.

seems to fit. clients include paint companies and identified as responsible parties. not conhave aed to the waters of the state. investigation determined that the port in san francisco owns the set maments in the slough and we were include there. as part of our ownership. the port is noveltyave responsible party the city and party. responsible party. than i are done work and support

staff supported them. slough is contaminated. we have pc b's and lead and the risks to wildlife and people. there are risks to the organisms in the there are birds theory affected. people are most low at risk due to the potential to eat fish they catch or shell fish they catch there. there is risks through direct condition tact that is unlike ly it is in the an accessible area. the primary goal of the clean up is to protect the beneficial use of the site. protect public health, wildlife and ensure the site is not

recontaminated or that they don't move to different parcels. beginning in 2012 the city port -- became more involved and we were -- mostly benching and attending and participating in review of materials but the puc was and is the lead agency. in 2012, the city contracted with new field. to do stsd the structure of the approach the epa result in the 2 mem right-handums of understanding one with the public agencies involved the city and state agencies and one federal agency and a separate agreement with the private parties. each group under the memorandums doing deemed necessary.

the city hired new fields and they did sampling out in the slough and that criminalitied to the development of the environmental engineering and cost analysis, which resulted in the clean up plan. the port or staff came to the commission in may of 2014. approached you in closed session. you gave us the authority. the city entered in mediation with the epa and since then we have continued to support epa's efforts and the puc's efforts, we have leased our property to consultants in the your. we provided access to staff who needed it. not staff butt consultants.

rerowelled the clean up plan and they have settled on i clone up plan among 7 and if need be we can go to detail. identified 7 alternatives from doing nothing to extensive removal and replacement of clean materials it was a scale that was deemed to be the best approach. and the port participated in that review. i that are refining the clean up plan to add additional materials to enhance the long-term cloneness of the site and safety of the site. the port has most contributed to the effort by conducting a storm water infrastructure investigation. the epa asked us to investigate

the storm water line. or crew went out this year and it was an effort to get in there and did their investigation and every bit of evidence suggests that anything going in our storm drains is going to combine the sewer system. our -- inlets don't provide additional risk of transmitting material to the slough. the clean up has not begun. they are studying to refine that. and they expect to begin the clone up inspect 2023 or 24. we will monitor that. and see where that goes. thank you, rich. arc side from the investigation or mediation where we licensed

and allowed consultant staff and others to use our property we are losing that one right-of-way parcel that includes pave and unpaved land. we have 3 private tenants there and storing port owned oversight. that parcel and i will scroll back to show you what i'm talking about. number 6016. here just to the south of the slough. there is a parcel we are not showing. i mentioned earlier we are trying to verify and reconcile our records that there is a private party using a portion. we want to make sure before we

mediate. we'll come back and look for direction on the next stepped. the maintenance staff install instead northern side of the slough. keep people from accessing the property on the north side and some of the slough areas as well >> there are other port owned streets that were not directly addressed. the streets i mentioned in terms of the once transferd and ones we own that are not subject to transfer are unpaved. and they are not improveed a point they could be accepted as a city owned right-of-way they are the port's responsibility. port maintenance worked with city agencies to address

encampments and dumping. this spurred a number of meetings among state and city agents california state parks and the city attorney to coordinate issues that different agencies are seeing and trying it have an approach to address those issues. the staff installed k-rion gilman avenue bordering california state park and we will look for opportunity where we think that will be beneficial to the management of limiting the negative activeities from happening the waterfront manager tours our properties 3 times a months to make sure tenants are complying. we had the issues to air quality.

he has been down there more often to look at encoachments or other issues. our goal for the street system finds resource with the help of the stele to improve the properties and seek city acceptance and look at other wins to bring value to the port and the trust throughout use of those properties and obviously, you are looking for a better way to manage them than they are now. >> so -- with that, that concludes the remarks, we are here to answer questions >> thank you for your presentation. open up for public comment. any public comment in the room? seeing none. provide instructions for remote participates. >> thank you, president adams. at this time we will only for anyone on the phone who would like to public comment on item

12a. dial star 3. the system will let you know when your line is open. others will wait on mute until their line is open. comments limited to 3 minutes per person the kwou is now open. dial star 3 if you wish to make public comment. we are one caller on the line. let me unmute their line now. can you hear me? >> yes, good ahead y. good afternoon commissioners, i'm timothy allen -- and i [inaudible] disclose i'm [inaudible] the companion and soul mate of commissioner

brandon. i have a concern i'm a member of the candlestick heights community alliance and we have action of against what the city and county of san francisco air quality management district regarding the subject property. i believe that the map displayed does in the show the entire story the port with 5 points the state of california. san francisco and the puc contributes to the blight in the area and failed to discuss not discussed is the proximity to the griffith community in dust and school and play ground all in the proximity and candlestick heights where commissioner brandon and i reside.

this is tragic and sad t. is something that should promote a deep investigation as to how this agency can put millions of dollars in the beautiful park you have well in the mission bay. dog patch. this remains abandoned and blight. and activities that are unacceptable. i know it is not intended the fact is it does exist and so kim hor morelys of ocii brought to our attention and the community meeting that the property bunkham were the paper property you referred to them of the port commission. i think there needs to be an evidence in the agency. we can talk about equity 11 and inclusion special all these when

you allow properties to sit next to children, elders, and allow the type of dust contribute to asthma and other diseases that are now documented, this is a concern. i hope this -- commission has this authority by trust from the state of california one of your commissioners was the urth of tha employs there are no other

members. >> public comment is closed. commissioner gilman y. thank you for the report. my question is coming off that comment. which was passionate and a very point of view. being you address the issues raised by mr. simons before i continue my comments. >> we can address those. we are locked pardon to the transfer of the -- can't hear you. so i think our goal is the same as the callers. we don't want to have these impacts on the residents or the school or the play ground.

and that's why we despite our view our attentive was not causing that issue. we realize that would not carry wet with the community we are working to relocate them. we are interested to see what other actions we can take to make sure our property does not cause these impacts. we want to make sure it is not a blight or creating a liable. we near this limbo wagz we want to address the upon things the call are highlighted. the follow up question. the interjurisdictional nature of this site.

ocii, puc. can you tell me what you are doing across jurisdictionally to also hold or partner agencies to the standards that we our values around equity and he responsible for any due diligence or -- obligations they have in regards to what the call are described? >> we engage in conversations with ocii. as he moved ahead on the work he was doing with department of public health to issue the orders to the private property owners near by and we were coordinated with them examining the authority under the plan that he was taking those actions. you know from our perspective the ports a property still was losable for the use this it was -- being used for.

but we wanted cord mate and have a unified prop to the impactless the residence denials and visitors were seeing. that's why we took the action we are taking. we also i spoke with mr. morelys to express our desire to see the property and going forward. we will do this and i know our maintenance division has been in more direct conversations with the puc. their properties are not directly in the activities i'm talking about today. we are trying to engage with them and deliver a unified city response to the ones identified here. >> thank you. i'm sure my approximate fellow commissioners will have more to say and it was a very in depth

report. someone who the commission tried to understand the parcel in the southeast waterfront. don't have the history of many of my other colleagues on the commission do. you know -- remind us, we talk about our own equity report in our culture to embrace inclusion. we need to remember the residents living on this section of our 7 and a half square miles proirm low communities of color who historically under served and who have been risk of environmental damage and racism. i hope we can did our best toup hold our values when it come to equity. >> thank you. commissioner brandon. >> chairman. one question. which moralityys are we talking

about. >> jim. the general council for -- i know jim. thank you for the r. i want to say this i hope no one takes them personal this is big are than the port. >> this is the city state issue. long with the port. but -- this makes me embarrassed to be on this commission the fact that we have land that we have abandoned this caused a blight approximate inhumane circumstances. really puts mow in a difficult position. this is environmental racism. at the finest. i know that we have a parcel

that should be transferred. we have several other parcels that if you drove through that commune you would think you were in a third world country. with the homeless. the dumping. the blight. and everything we are ignored. and at least in my 25 years. we have done nothing to make the streets acceptable. we have done nothing to clean up those properties. what we do is criminality to the situation. a lot happening there now is the development on our other properties. the city's homeless shelter was -- we developed pier 70.

now where are they going to go. the whole thing moved south. the last 2 years if you drove around candlestick expressway you swore you were in the third world country in one of the richest city in this counts real. the residents in the your fought for 2 years bring legal action to get any city agency to step and up do what it should be doing. which resulted in a closure of the expressway. and then i pop up and you have these illegal concrete batching operations. what is cross the street from the housing complex? kids are suffering. people have so many health issues there now and it took 8

months for the community to get the bay area quality. supervisor's office. oci. and every party responsible with the city attorneys. it was only because the residence denials have been supporting for so long they stepped and up said they have no permits. running illegal operations. they should not be there. >> yet. we were allowing this. we allowed all these to just park anywhere with no enforcement. we have the right leadership now to make it a priority to do something about the conditions. and i don't know how much more studying has to be done before action starts. we have been studying for 10

years and investigated for 15 whchl does the clone up start happening in and my next question when type of companies are we losing to at the slough? the 3 attentives we have are construction firms. >> and what type of construction are they doing? i'm not aware we can get you that information. >> okay. let's get real. we had large cargo ships coming in port here. times change. the development happened. we said that is not acceptable. we are doing all these development projects. times are changing. what used to be permissible is no longer when we are trying to build all the housing for the

people that need it. we can't have construction next to housing communities. we can't do it anymore. we have to step up and treat this community like we do every other community on the waterfront. we want to talk about equity competence racial equity and he transparency. we have to step and up do the same thing in every community. all of this, all of this needs to be a priority. we can be the catalyst. other city departments say, we have to do the right thing. we cannot let this condition. we can't keep saying our responsibility but not. we have to do what we need to do

to engage the city, state or whom ever to make sure they do the right things with our properties. >> thank you. i might have something else to say. [laughter]. vice president woo ho. >> i thought this was a [inaudible] item when we started. i'm aghast and shocked. now hearing all the comments and unfortunately i never have been to the area i -- embarrassed we were not aware of the situation and i think that we mode to do something i don't think there is more i can add but to say i think -- we need to ask staff to take i look in this situation and i know commissioner brandon well. she will not speak out of line.

and i of course that we have a problem. and so i think we need to figure out how we will go about solving it. and it is in the easy to solve there are other agencies involved. we have to make a commitment we will do manage and request you put a time line and plan say these are what wore doing and track it and report back regular ly. that's my request. thank you. >> when we started the meeting we stand up and we salute that flag and say liberty and justice for all. is those just words or is it manage we live by? sometime.

we say things and sometimes people say may be some day. this is a good conversation. this needs to happen. with the good things the commission and the port is doing. but this is a reality. environmental racism. and sometimes we gotta get down dirty this commission has never been afraid to take a stand or speak trouth to power or fight, right? these are american values we should say. and we heard from mr. simon and heard from the commissioners. this is unaccept believe. we have a right to do something and the port has been leading. we need to take a strong stance and speak out against this can no longer happen. can't be acceptable. we can't turn a blind eye.

we can't. what does that say about us as americans if we allow something to happen and know it and say nothing? we are as guilty i think you heard the passion of haare you appropriated to do as this executive director? thank you for the question, president adam and thank you american brandon for saying you believe we had the right leadership in accomplice to tackle this challenge. i believe we do have the right

leadership tim. i suggest we have a join hearing with ocii commission. discuss this property and the management, the well being to the neighborhood and the future of the parcels and large are context from the port's parcel. i think we have to look internal ly and see how we are doing our own leasing. how we do our maintenance. and security, et cetera, and make sure we are taking care of this property in the way we would any property any place in the city. i think we need to come back and report to you when we found. if there is other recommendations of the commission for what we should look into before we come back. it is important this we bring the city agencies with responsibilities for the area to the table with this commission so you can have a conservation with them. that will be important and moving in the dialogue comploong

for us ocii primary ly, but it it is the slough may be have a joint commission with puc who is the lead on the slough. port staff can work hard to push our values and our strategic plan. we are not the director of the other agents they mead to come here and have a policy dialogue so everyone gets on the same page and we are upset -- we are -- shocked. at some of the information we have heard and we want to see it different. we are committed to go forward plan. >> question. >> yes. being the newest person how long has this been kick around >> upon know 11 years ocii carved out this area for redevelopment as part of an over

all master planful 11 year ago is that right. ? the most recent set. it was kicked around >> 10 years give or take. >> a little more >> and we were -- and government that is -- it it is -- and the developer is not moving on this. >> and we do see no compensation for 11 years. >> no. >> abandonment. >> no. >> no. >> and i think. >> -- in the hangup has been not with this commission but with some of our brother and sister commissioners. >> mike, help me out the strongest way is the hangup has been the execution by the city's development part merand moving through the phases. from first phase to second. we are in a second or third face

this property. the developer in lanar and 5 points has not moved throughout phases of development as intended over the 10 year period. >> great. gi personal low think we are talking about more than one piece of property. why and i personally think we are talking that support own for over 50 years that have been >> abandon and unmaintained that's what we are talking about. >> so regardless of the if it is ocii, puc. who ever these are our properties. it is up to us to maintain them with upkeep and security like we. do every where else on the water front. that's our job and responsibility. >> so, the problem with the city these day system everybody wants to pass the budge no onements to

take responsibility. this is our responsibility. we allowed to the plans to go on to our property and do illegal activities. >> yes, we did. they were encroaching on our property. using our property. >> somebody's gotta get permission. somebody is going to come back to us and tell us this seems to me if we don't take a leadership the people will get screwed over. >> yes, i think. >> yes. it is absolutely true. >> i think that the batching plant that commissioner brandon referred to was conducting illegal activity proirm low not per property but using our property without permission. we got them off. city is taking

it seriously the point comblarndon makes is what is port doing to take care of our pieces of the pie. and to make sure we are doing a good job. larger question do relate to other city agencies. we need to take care of those. why that's right. >> lead by example. >> thank you, mr. chairman. >> does any other commissioners have anything else to say on this issue? >> new business you will come back in 60 or 90 days with an update where we're. what the plan is. >> thank you. >> thank you, commissioners. >> carl. next item, please. >> 12b is informational presentation on how the port accepts and reviews public art, opportunity going forward to expand out reach and review of proposed art installation at pier 14 by artists delaru.

>> good afternoon, commissioners. president adams and members of the commission. dan with the port's planning and environment division. port as many roles in along the waterfront. i will switch tone here and talk about public art and about how public art come to the port. it is -- a main part of this. i want to cover first here. the agenda, public art come to the water front. steps we'll look at to increase public out reach and inclusivity in the art participation and a public art proposal for the pier 14. public art enhandless the waterfront for many visitors and most visitors as they come.

we got excellent examples. i hope to show a few. when we talk about public art we refer to the original work in any medium. and they can be permanent, temporary, large, murals. play grounds. play equipment. benches. paving patterns and railings. tappestary, can be many things how to define that. reenjoyed public art examples of major piece the polar bear in front of the ferry building for the goebel sum and i crouching spider brauz by art's commission and the hard work of jill matten of the art's commission who is behind me. >> art can be xhengzed many other things. inlames in the pave am.

sculptural benches and the art ribbon. can be used to interpret the waterfront program the blue stripes indicate potential water levels. what it would be the columns on the right rising and falling with the tide. many things art can do whether what is going on in the waterfront or whether it is just fun. and part of our lives. >> how does public art come to the port? primaryly in 2 forms. one is the city's 2% for public art program. and that occurs that is implement when there are city funds involved. such as -- some of the funds of small for the cruise terminal or general obligation bonlsd the port received for developing

public space program. where the funds are involved in the project, the art's commission is responsible for administering that. and they -- that is one part. the other way we get public art is proposals. we will see one of those today and artists ask the port if they may be permited display the art on port property as their expense. artists or art organizations. they are all responsibilities. and the port assisted them through the approval process and may waist permit fees. >> the port does not have a public art program. we don't have staff to administer this. or a specific program. not dedicated this or a public art budget of they are not looking at port funds to implement. the city is 2% for art's program

the commission what the art's commission does is select the review panel. do a request for qualifications for artists and request for proposals. manage the contract and the fabrication and construction. the event organization for what it opening statements and establish a maintenance fund or agreement. and administer that as well. >> in the when they pubicize it through the 2% program, they have requirements for the issue. the issues are request for qualifications and public notice on their website and on the mail being list and they intentional and targeted research to reach artists and selection panels will have racial and gender diversity. they are built in the system for this program. >> a couple of examples here.

down at south beach park and the newest sculptor on the right across from the bay view gateway park are examples of projects that come through that program >> other source that in southern waterfront is in the subject for this program but an example of the ports spending the own money through the southern front fund. the proposer is responsible forerning in a lines to use port property and encoachment permit the requirements and the property can't be for the revenue generating purpose. the proposer must provide insurance and indemnification, maintenance and the performance

guarantees all necessary. and the prosecute poser bears all costs associated with the fabrication and installation of the art. the port often facilitates the such pieces where it is found to be a benefit to the port manage through the processes. examples of the art that come to the port this is the rocket ship at pier 14 a favorite. women's day common in front of the ferry building displaying women not recognized by monuments and other public gatherings. it was caught -- brought to us by hudson the operator of the ferry building. and -- tinldzed to bring to light the gender inquality that conscious. and here is a piece of art. pier 14 the flaming lotus girls

a women's lead organization organizationed to work with in a spectacular piece. examples how the port got public art in those things. >> how can the port increase public out reach >> we will provide an inclusive project how we make opportunity known. pub laboring a web page with port requirement and types of art. locations where it may go and the process for approval and installation. >> identify and reach outer to organizations including art's organizations to make it process and opportunity known to a diversity of artists and coordinate with the action plan working group on out reach opportunity and development of a

policy which includes a local engage am action plan for arts and education. and make sure the out reach and policies aligns with those efforts. >> those are steps that we are -- we will beginning soon this summer. and returning to the commission -- following development of those. and we also could return with a more complete framework how we do this -- reach out to artists and a possible draft policy for consideration by this commission. >> i will switch to an art proposal for pier 14. the pier 14 plaza. and artists denise who was sitting behind me here. decided a sculptor time equals authority between the agriculture building and pier

14. the points out by 2050 there will be more plastic than fish in the ocean. and now humanity as 30 years to prevent this from happening. time equals 30. 23 foot rep cafe blue whale out of recycled plastic. >> she is a mexican artist with many international accomplish ams. the first latin american artist exhibit by the gallery the first artist to be granted permission by succession picasso to use for contemporary work of art and in 2014 presented her video a kay for peacea the united headquarters in new york. the first presentation of an art project during their general assembly.

the sculptor on the embark defero and not in peek circulation in the area and allow for visitors to walk around. there would be elements to explain that the sculptor is and the reason for why a blue whale skull is depicted here. i conclouted my presentation and invite ms. delaruand return to the commission. thank you. i'm excited be here and thank you. >> can you speak in the microphone. >> thank you very much. >> i'm tiny so -- okay.

thank you for i'm excited be here i our intention with the product is use art as a tool about plastic pollution. art is a language that has is borderless. everyone can get that. so -- portraying 20 feet replica which is that one of the blue whale skeleton made of the same material that is killing life in the sea, i think it is potent with the spectators of course, there will be like an information about it. like -- either on the plants or the grounds saying this is made of 6 tons of plastic collected in southeast asia and i will

create it with the plasticure have to imagine i mean i picture myself visualize if i'm walking by and i see these huge you know blue whales and say, made of -- certain amount of tons of plastic. so i think tell be impactful if the intention is it change, you know people move consciousness and night for taking action to a more sustainability way of living. >> and also i think it is important to mention that the san francisco d. environment created created educational program to support the mission of the project.

i mean if -- you can -- pardon me. thank you. i'm tyrone acting director for the d. environment for san francisco. >> so as she said, we are just the projects not only it is a display that shows plastics in our waterways there is one of the most significant challenges in terms of planetary and human health. all of the microplastics makes its way ingested by the fish consumed throughout the ecosystem and humans. this is an important message we need to get out. we are excited to put resources for the art department to connect youth to this.

so we will use our environmental educational program have network in our school in san francisco. to bring kids and youth out on field trips. in contests and other programming so that they get to experience this is learn as well. ultimate low they are the ones who will shape a better future. we are excited to be partnering and i would be remiss if i did not acknowledge the wok of my predecessor the former environment director. a true climate lead and champion for the city. thanks to her leadership she brought this opportunity to the city and we are here present thanksgiving to the commission. >> also i would like to mention that this projects have the spchlt california art's council and governor newsome. my approach of me and my team was with them and we reach out

san francisco department of environment. and jill and it was like a -- like a chain. myself, is there any art work on the port by danny butfano? i believe there is i piece in the everwharf. >> some be the modern stuff is

good. commissioner burton stay on the current presentation. >> when you get to your time to speak. but she has to get up and speak, please. >> sure. any questions? >> [laughter]. thank you very much for being in our hall. appreciate it and before we go to the next, raffle, director of the san francisco art's commission would like to comment. he is joining us virtually. greetings, port of san francisco commissioners. i'm raffle remmington here for san francisco art's commission.

to express my support for the installation of the sculptor proposal for pier 14. as mention in the my letter of support on april 7th, this is an example of art with a purpose and i support the mission and goals of it that revolve around environmental action and awareness. >> it will attract and cap have a visitors with the message about the needs to protect our natural >> reporter: and educate and motivate the viewer to take action and, mraud the artist for using her work to convey a time sensitive statement. plastic waste and use of recycled plastic turning it to creative and beautiful. from an aesthetic perspective it is beautiful and elfwant and 23 feet call. appropriate in scale to the back

drop used of the bay and the bay bridge. tell be ampified about the proposal company it display of a sculptor coordinated by the department of the environment. pier 14 has a long history of hosting sculptor display and this will be a compelling and fitting edition to the city's waterfront. thank you for having me today and thank you for your consideration of the proposal. thank you. >> thank you. okay. >> let's open for public comment. >> any public comment in the room. seeing none. we will provide productions for remote participates. >> thank you, president adams >> at this time we'll open for anyone on the phone who will like to comment on item 12 b.

dial star 3 if you wish to comment. system will let you know when your line is open. others will wait on mute until their line is open. comments will be limited to 3 minutes per person. and the kwou is open, police dial star 3 if you wish to make public comment. at this time there are no members of the public on the phone wishing to make public comment. >> thank you. why public comment is closed. >> i just want to local people about i don't know -- the

letter. rich sarah. >> local artist of good repute do we have -- the point of this, do we have -- >> you -- [inaudible] in lieu of the modern art but like local san francisco artists who contributed, you know. and they were the people was one of the first guy architectural embellishment in san francisco public projects and private a curiosity. find them. i believe it is the answer. >> we don't have richard sarah art pieces on port property. there is one in on ucsf in mission bay. gi think it would be nice as

part of our history. that's all. >> thank you. >> commissioner gilman? >> thank you, dan and mrs. delarufor your presentation. i want to say, i'm excited when we partner with the other departments to bring art to the waterfront. i think commissioner burton said we need to highlight local san francisco artists and those engaged and we need to engage with new comers to the city or communities of color that sometimes excluded in public art. i really am xoited about the prospect of having a gateway not replacing the art's commission. and grants for the arts but a

way artists can set up had they have ideas or concepts. making the determinations uplifts our communities of color andup lifts artists who are making their home the bay like many before them. this is the right topic. i'm excited to see your sculptor at pier 14. this is i great collaboration with us and other city departments. >> thank you, commissioner gilman. >> thank you for this report. i want to operate this the public art piece at the port. i know that in the past i asked for a policy. so that we understand how people can -- bring art to the waterfront. i know we have several locations

that could be available. and so wanted have a transparent policy so hawith mrs. delarue newt right people to call. not everybody has this access. i want us to come up with a policy so that if someone is interested in bringing art to the water front they know how and where it can be done. hopefully in the future we can come up with a policy along with out reach let them know this is available. i can't wait to see in person i think it is beautiful. i support that piece. >> thank you. it is a beautiful sculptor

complement the idea of integrating the plastic with the plastic and also send a strong message in terms of what we need to do to protect our environment. i have one question tell be up for 6 montes and it says not guilty staff property you are responsible for maintenance. i hope the worse thing to see a beautiful piece of art in the waterfront we are beneficiarieds and things. we hope well is in the going to be there will be maintenance to make sure the art remains in pristine condition and does in the get ruined by other force of nature. >> absolutely. i mean it is something i don't know may be going to be damaged. but the plasticic is extremely resistant you know like and it is cover with a painting from

bentise and rolls royce and rocket painting and airplane. i don't think tell even be maintenance for sick mons. that's00 autoengineers i'm producing this in london with someone there and we are running tests temperature is resistant. >> i hope tell clean. last thing you want to make this look dirty. why absolutely. >> pictures are wonderful and will great depictionch it is a great addition to the water present and echo commissioner brandon's comments we don't have the resources to have a formal art program that is the case we should have something that is more stated, may be. in terms of the process of how people can finds us. and don't have to wade through a maze. i think we are part of a city

government that the more efficient and easier we make it for people. whatever we can do in this department. let's try to make it easy and simple for people to do what they need to do. this would be a good example. one of your projects to become more operationally efficient. another example. why right. >> i'm excited to see this and compliment you and glad you found us. >> thank you. >> thank you. dan and mrs. delaru. it started with commissioner burton has been around a long time and a strong historian in the city. in the many agencies can talk about having art. on the port we are diversified we have art and can show case it on the waterfront. people come to san francisco.

and this is one of the great things hapeople can enjoy and i would like commission brandon i would like to see a policy in place we can show more diversity and others know where to go to have an opportunity. fiare not with people you don't have a chance to get that exposure. port here should be able to prosecute void that from anybody and any background. i have to say what you are doing is visionary. >> you see countries getting stuff out of the ocean the plastic and stuff like that. tell affect young are generations we are talking about spending this money for sea wall we have to protect that environment of the ocean. and i think sometimes we take

water and the ocean for granted. the people sell bottled water and everything i appreciate and may be tell make people think and strong and powerful social concept and may be tell -- sink in we have to take care television for the young are generations. mr. chairman. ruth azowa. >> i 3 the names out. >> don't know who ruth is. >> you done, commissioner? >> i have taken up too much time. >> once again.

thank you for being here. surprise -- call next item. >> item 13 arc informingal presentation on a proposed new lees withard vashg storage business as american storage for 2 seventy-four, 163 square feet. at sea wall lot 344 for 5 years with a year option to extend. >> good afternoon. i'm kimberly beal. i'm assistant department director for rolls royce for the port. i'm here today to provide you with an informational presentation on a new lease withard vashg storage for a portion of property at sea wall lot 344. >> as background.

than i lease property for a ministorage facility and the term of the existing lease was for 60 months had an option to renew for an additional 60 months they did exercise. in the term of that lease will expire at the end of this mont. and the tenant and port staff would like to renew. >> this is also brought to the commission because the initial base rent proposed is under parameter. and the lease will generate more than a million dollars in revenue and it requires port commission approval and if approved will also require board of supervisor's approval.

this will meet the strategic objectives and will allow us to retain a tenant perform through economic cycles and also the rate once increased parameter will increase the rent by 51%. which will then help support the port's revenues. >> the lease premesis is about 6.29 acres. which is located on amdover street off cargo way. >> american storage a port tenant since 1998. >> prior to american storage occupancy, the site has been used for staging for ricars and other light industrial use. >> the proposed use or the

continue as existing which would be used primaryly for operation of a ministorage facility consisting of temp refer constarns. offices and parking directly related to operations. >> if the tenants were to vacate the site well is -- are there are 306,000 square feet of land we have available for similar uses. >> the other is tenant retention. under the current lease the rent is about 82 thousand dollars per mont. which equals to 30 cents per square foot. however, current parameter for paved landses is currently 45 --

45 cents a square foot. increase over their existing rent or 40 thousand dollars per mont. >> what staff is proposing is it use a leasing incentive the port commission approved under resolution 2116 for shed space. which would again slowly ramp the rent up to parameter. so under the new lease. proposed key terms we are looking at a 5 year lease. rent is r.ed up starting at 80% of current parameter in year one equals to 36 cents a square foot. increasing to 90% in year 2. up to the 45 cents per square

foot in years 3. with 3% bump in years 4 and 5. the 10 not would have an option one year option to renew. at time rent would be increased to the parameter rate. and the tenant continue to be responsible for all maintenance. and utilities for the site. they would be required to have a security deposit up to 2 months of rent during the last year of the lease. so we are looking at 260 thousand dollars as the security deposit. so -- during the last 3 months of the lease. if the tenant is vacating the premesis.

not during the last 3 months of term this is only if the tenant is look to vacate. we are proposing that the rent be reduced during those final 3 monand would beroused 50% of the then, rent immediately prosecute seeding the -- expire egg or term nigz. this is can be viewed a load in load out. with special events when attended is loading in. the rate is reduced opposed to when they hold an event it is full the full rate. and this is being done because the trailers themselves cannot be removed it has to be removed as almost as a puzzle. so they have to be removed in a

systematic matter and the tenant could not utilize all of the space. they would pay for something they can't use but saying we are using port property for storage of your trailer we are entitled to rent. is this is something we negotiated and they are greet agreeable to which this is the southern water front subject to the beautification policy. community benefits hathis agreement would offer is they do have and maintain planters to provide beautification and do trash pick up on amdover street. and do support local businesses within the bay view. well is a cleaner they frequent for staff uniforms and a

hardware store they mentioned depends on for supplies. and local restaurants where they buy staff lunches. than i are only 7 employees for this operation. 2 of of which robbery with the business for 20 years the other 3 for over 10 and most recent added to provide security for the site. >> i will mention that -- this is going to the southern advisory committee tomorrow we will inform them that we are look to enter in a new lease with this tenant. with that. i welcome the port commission's questions. and hope that the next recommended steps you will recommend that -- we bring this lose to the back to the port commission for approval at the may 10th commission meeting and with that, that -- concludes my

presentation. thank you. >> thank you for your presentliation. now open up for public comment. of no public comment. will provide uksz center now for remote participates. >> thank you president adams. why at this time we will open the queue for anyone on the phone. who would like to make public comment on item 13 arc. dial star 3 if you wish to make public comment. the system will let you know when your line is open. others will wait on mute until their line is open. comments will be limited to 3 minutes per person. the kwou is now open. dial star 3 if you wish to make public comment. upon at this time there are no member of the public on the phone wish to comment.

thanks. public comment is closed. commissioner gilman? >> thank you, so much for this report. and i'm sorry, my apologies -- it has been a language day. can you remind me. may be i heard you wrong why we are doing a raising the parameter rates to where it should be the lease is historic or dropping it? >> actually we are bring the rent up to parameter the current rent is only -- the current rent they are pay suggest 30 cents a square foot. parameter is 45 cents a square foot which is a jump when we look at the amount of pace they are leasing. >> okay. thank you. that clarifies it for me. i don't have questions and thank

you very much. >> thank you. >> commissioner burton y. no questions >> commissioner brandon >> thank you for the report i know we are bring them slowly up to parameter. so -- if we have a tenant that is going in a new lease and say, i don't want that new parameter rent and stay where i am and you compromise what is it. have we seen the financials a hardship why are we not bringing them to parameter. >> thank you for that question commissioner brandon, we are bringing the tenant up to parameter. this is one of the leasing incentive tools the commission approved for other types of use. and look at where we are am to be -- the economy is rit now. again. as i mentioned, we are trying to

focus on tenant retention. >> and this is i way to retain the tenant, get them to enter in a lease of term and bring the rent up to the current parameter rent. >> okay. have they said they may leave? they have not said that they -- i'm wondering, if we have a new lease. if someone is coming up for a lease and parameter is a certain point. why and i understand that it is an increase. we all do. but why are we saying to the tenant. okay if you stay we will slowly ramp you up unless than i have a hard ship or can't afford it. why would we not bring them to parameter. why that was a conversation we had with the tenant. and so with ha15 cent jump, it was quite a shock.

they had mention third degree they did try to reach out during the pandemic to try to discuss a lose renewal. because of the time they have been trying to have this discussion where may be if we had dealt with it sooner they may have found other space than less. this was a compromise. again where we could condition to have them as a tenant, bring them up to market. recognizing that we also have space available in the vicinity that is vacant that we don't have a huge demand for. i understand what you are saying. >> right. i thought this we came up with the tools to work with attentives who were having issues? and this is why i was asking what is the hardship have we seen the financials can they not afford this. if they can we will use those

tools -- across all offer tenants. and someone says -- i don't want to pay the parameter rent. we will work with them? to keep them? i'm trying to figure out -- why we would not bring especially on merry time -- tenant. to program ter. i think becka would like to. >> thank you. why commissioner, rebeck amented jump in we are working with resetting parameter reasons and looking at market conditions today and the thing that struck me when she wrote the staff report they seat vaccance and he office and vacancy in sheds, throughout san front and the per weave still have vaccance sxets number of acres the consept

letting this tenant go if they could not come up to parameter was a great hit for us economy. as we look and a look at leasing incentives we have to work with tenants to keep them in place and ramp them up slowly. we will talk about that further butt leasing incentive we allowed for shed and office has been useful in keeping tenants if there was a jump to make that connection we are offering. >> what is our parameter rent is there a spread between the 45 cents is the bottom? what is the top. are 48. >> 45-48 vment >> 45 to 50. >> the bottom. >> it is the bottom. it is just a tough market. >> right this is in the a shed or an office.

this is land. >> correct. we have 300,000 upon square feet of land next door we have not leased yet. >> i'm sorry i would like to add hapaid land the rate has not increased since 2015. and with what is proposed we are looking at bumping the rate by 3% in years power and 5. so approximate that rate does not increase then we would -- be increasing above this low ended parameter and well is the option -- that they could exercise in year 6 which would be at the parameter rate. thank you. >> commissioner upon brandon your questions answered. >> vice president ho. >> i would follow up and ask the question different low. so -- yes market conditions are tough. and so if we were proigs the

parameter rents. they should reflect the market conditions of the rates in the market not just for properties and whether the rates have gone up. question i have really, why was the existing rate not ramped up during the life of the of lease society gap with the end of the lease and program terrent would not be so great? was is there of rate of increase in the existing lose that created and was it 3%? 3% cannot make it up for 51 that says we might have to rethink you have the situation -- could reoccur again and again have to have the situation where you will have to figure out the intermeasure of slowly bringing you up and where the issue is the formula for increasing rent gradually during the life of the lease. sort of takes care of the huge

gap issue the tenant slowly is in the so great. not 51%. may be 10%. you node to think careful low about how you do this going forward especially in a period of inflation. i don't know how long tell left. it is no long notoriety zero inflation period this did not translate in real estate rates in the last few year in san francisco because of the demand and supply. that is supply and demand issue. there is something structurally we did not think about in old lease been that so you upon don't always have a huge gap and finds other solutions and tools to help a tenant. if i was a tenant i would say that, too. you are forced compromise with had you endedum. okay we will gradually take you up. but better to not have had the

problem to begin watch men they would have during cosxrid had another rent relief program. i'm not sure why with corid and the program terrent has not been affected? that's my other question. >> i would like to thank you very much for haquestion vice president ho. you would like to independent to the inquiry regarding the rent whether it was increased and what may have happened. society rent was being increasedanualy by 4%. where we republican in a problem with the initial rate that the lease was entered into. when it first commenced. we have 2 different rates one for paved land and unpaved land. unpaved is less. and that is what occurred in

this caseen though the tenant is losing pave they were charged the unpaved land rate that was increased by 4% but in the able to keep up with the higher rate of paved land that is the other thing we are doing at this time. charging them for when they are actually using. they got a great deal all this time. >> yes >> do they recognize that? that soundses like we sort of -- again we were taken advantage of a bit in the oldies then if they were paying an unpaved rate and they should have been charged higher but we are compromising again the increase is so great. >> i think we have to be careful how we think about our loses. because we create third degree problem ourselves. and the tenant more or less said this is i good deal why should i not go with it and forcing us to

compromise. not a good situation to be in. how do we arc void that going forward? gi know it was in the 25 years ago. is that right? the -- existing is 10 years. >> so i think we are doing a good job of cleaning update practices of the past and modernizing how we look at leasing. here we had a tenant in good stands they may have been getting a rate lower but they have been in good standing makes payments and increased rates. we want to see them continue on port property. we are recommending a step up to parameter and given the increase they are experiencing and considering their history of

being a tenant in good stands and the unleased land. we feel on balance this is a good 10 act. getting them up to parameter. taking killer of an old situation and bringing it up to the best state it can be in. i believe the real estate team looked at leasing. and their especially in the pandemic tools to keep it strategy and 10 acts in place and this step up to parameter for an existing tenant or the sway of one tool the commission agreed with you we can deploy >> it is important to commissioner brandon's point we don't set a precedent everybody regardless if there is a pandemic or not. start out with i irrelevant don't want topate new rate. you know. they will make upon a rational which may be plausible. my business is down now.

i need to pay a lower rate. can you start me down lower. then now we are setting press den. i think you have to figure out how you are position thanksgiving. and we should go on record saying this is in the a new practice or policy of the port to do it this way. >> we expect people when they renew they will be brought up to parameter rent. i'm saying on record. otherwise everyone will come in negotiating to commissioner brando's point, which is what she is concerned with? correct? yes, very concerned. [laughter]. are you done? >> yes. >> great job. >> i my 2 fellow commissioners i think hahay have said i think you heard but -- sometimes we

show kind of what do for one here something well and get the formativity we need. i think this is the work in progress i think president and commissioner brandon is spot on, on that. and commissioner ho, so. can't wait for to you come back. i know we are trying to help. but i know there are a lot of places that are vacant out there. and so this is hard this real estate market in certain places especially the port. what is the vacancy rate now? >> we had a report done it is 20%. and depends how what denominator we are struggling because some space are not kept and up difficult to lose if we do it broadly we are 20% when we come

back with the parameter rate resetting you will see more and this will help inform you as to what is hard and easy. but that we have a high vacancy rate at this point. >> thank you. great presentation. >> thank you very much. >> thank you. >> okay. next issue? item 14. new business. >> do we have new business? >> i have the recorded 2 items. first is to come become in 60 to 90 days to discuss port -- property maintenance, security maintenance and cleanliness of property owned south of the india base and i know recommend other next steps and a sad piece of new business. yesterday commissioner wu ho recommended show is not seeking reappointment for her seat and last day will be may 10.

commissioner ho was ash pointed by edlee 11 years ago. and since that time, she has really helped guide and made her mark on the port through projects and initiatives and always served with integrity and he equity for our city, visitors and waterfront and tenants. as commissioner wu-ho said there is never a perfect time to leave. port is on a strong path to recovery. we owe a great deal of our success especially during this period of recovery it commissioner ho who had vision and expertise to serve our port and ecstasy so well. we will celebrate your contributions much more on may 10th. for now i will tell you i will miss you terrible low and we wish and you your family the

very best. and is there other new business? >> i wanted to say i want to thank our tech staff. thank you in the back. we could not do it without you. a lot of times we don't say it. how much it means we able to have a hybrid, in person and virtual and do our business and sometimes wants to say, thank you are we could in the do it without you >> thank you. >> well, commissioners if there is no other new business, i will entertain a motion to adjourn. >> moved. all in favor? >> aye. >> opposed. >> 5:40. i will hit it lightly. [laughter].

>> everything is done in-house. i think it is done. i have always been passionate about gelato. every single slaver has its own recipe. we have our own -- we move on from there. so you have every time a unique experience because that slaver is the flavored we want to make. union street is unique because of the neighbors and the location itself. the people that live around here i love to see when the street is full of people. it is a little bit of italy that is happening around you can walk around and enjoy shopping with gelato in your hand. this is the move we are happy to provide to the people.

i always love union street because it's not like another commercial street where you have big chains. here you have the neighbors. there is a lot of stories and the neighborhoods are essential. people have -- they enjoy having their daily or weekly gelato. i love this street itself. >> we created a move of an area where we will be visiting. we want to make sure that the area has the gelato that you like. what we give back as a shop owner is creating an ambient lifestyle. if you do it in your area and if you like it, then you can do it on the streets you like.

. >> clerk: samuel business commission meeting on april 25th, 2022. as authorized by california government code section 54953e and mayor breed's 45th supplement to her february 25th, 2020, emergency proclamation, it's possible some members may attend this meeting remotely. members will participate and vote by