>> good morning today is wednesday, december 14, 2022, this is a special meeting of the building inspection commission by mute yourself if you're not speaking the first item is call the roll. >> president bito here. >> vice president tam here. >> commissioner alexander-tut here. >> commissioner neumann here. >> commissioner shaddix here. >> commissioner sommer here. >> okay. we we have quorum and

next is the acknowledgement acknowledgings were a special homeland and the original advocates of san francisco peninsula as the indigenous people of this land and tradition never forgotten the responsibilities and as well as all people's and guests we recognize we benefit from living and working on home and we see you- community and by affirming the sovereign rights. thank you. >> next members of the public public of the public of the

code: 2483 588 3015. to raise your hand for public comment on a specific agenda item press *3 when prompted by the meeting moderator. this is the webinar and if you're trying to assess this is having a 1214. and. >> watch: sf cable channel 26/watch www.sfgovtv.org watch: https://bit.ly/3ufabuk. >> next >> next up. >> 2. findings to allow teleconferenced meetings under california government code section 54953(e). (discussion and possible action)the commission will discuss and possibly adopt a resolution setting forth findings required under assembly bill 361 that would allow the bic to hold meetings, or for commissioners to attend meetings, when necessary remotely according to the modified brown act teleconferencing set forth in ab 361. is there a motion to adopt the finding. >> motion additional second all. >> all in favor, say "aye." >> aye. >> the motion carries unanimously. and invocation. >> 3. president's opening remarks. >> hello

commissioners and director o'riordan and members of the public. welcome to the wednesday, december 14, 2022, building inspection commission thank you for being here. and want to start off by welcoming commissioner shaddix i understand a executive director of a local nonprofit and good to have you as a new in addition and looking forward to work together with you. this is focusing an important topics inspecting our goal do understand and provide- budget is created and managed and tried. i think that is an interesting discussion and hoping illuminating for the public and commission and like to thank everyone for wishing everyone a happy holidays. this

concludes any comments and remarks but please remarks when we discuss the continuous of some of these items? >> can do that now if i once you select the items we'll make a motion. >> okay. >> we have a number of um, commissioners that are on line taking this meeting in hybrid or you remotely and another commissioner that needs to leave due to um- we wanted to propose continuing on a number of these items. we were looking forward to hearing about the budget but i think continuing on when everyone is in the same room i want to propose we continue on items

number 6 and 7 and 9. >> and i think especially with item 9 um, closed session and giving um, director o'riordan yearly review will be appropriate to do that in-person that is important, important anyone so prefer to have that in-person when all of us can join in that discussion instead of a hybrid mode. >> so there is is a motion by president bito to continue item 6 and 7 and 9 and there is a seconded by vice president tam i will do a roll call vote. >> president bito

[off mic.] >> attorney city attorney kapla may have another comments. >> i apologize for that if there is in public comment for agenda items 6 and 7 and 9? >> there's none. >> none? >> i had a comment but. >> sure. >> um, i--i don't know if i'm able to vote for the next several months anything in the in-person i my child's health this is why i (unintelligible). >> but the matrix to be but (unintelligible) i would like to

(unintelligible) hybrid and um, (unintelligible) (microphone feedback) and other- hybrid in the right way i think we (microphone distorted) >> thank you i will look into the possibilities of other commissions will be where everyone will see everyone at the same time. >> i want to respond to commissioners comments this has a lot to do with what is on the agenda and three commissioners one commissioner um, or two and the majority i think in the room

be works out fine but not a majority sitting in-person is more challenging we're to talk about this what we're supposed to talk about. >> thank you for that >> any other commissioners have my comments ass. >> open up for public comment on those items and a motion and a second so i'll do a roll call vote for the 6 and 7 and 9. >> president bito, yes. >> vice president tam, yes. >> commissioner alexander-tut, yes. >> commissioner neumann, yes. >> commissioner shaddix, yes. >> commissioner sommer. >> thank you the motion carries unanimously and next. >> 4. director's report.

directs update. >> good morning president bito and members of building inspection commission i'm director o'riordan the director of the building inspection commission and president bito i want to start by welcoming the newest member commissioner shaddix, commissioner shaddix is the executive director of the economic development a community-based nonprofit to support businesses along the third street coordinator and enjoyed meeting with commissioner shaddix when he came to dbi and his experience will bring value and womb commissioner shaddix. >> earlier this month a small business inspection and organic food market at 500 black street

in the tenderloin and mohammed and- ambassadors inspector working closely with mohammed to have agree final completion an december 2nd and sonya put the picture of mohammed open the screen first. thank you. >> oh, apparently, we don't have [off mic.] >> okay. >> i (unintelligible). >> (laughter.) >> between a rock and a hard place3 here's mohammed with the c s c a few words he shared in a note mr. burn is a experienced inspector that streamlined the process of obtaining a permit

and helped to prepare my business four approval and explained what exactly i noted to do and thank you for this program and thank you, mr. burn for his patience and coincidence and experience i hope he can continue helping enterprises and congratulations mohammed. >> thank you inspector burn. >> and move on to the interact you winter shelter program and speaking of my work i want to share another work with bay conservation & development commission has worked at interfaith council to assist is opening san francisco churches

has over night shelters for homeless and our role is moved the needle we conduct inspections to make sure the churchs are safe and this year area inspector paul of the code enforcement conducted the inspections along with the san francisco fire department and the issue was especially meaningful to the inspector that was involved in several other programs to help san franciscans get off the street this is not the most important work but don't hear us speak of this work is important everyone in san francisco deserves a safe place to sleep we protect every single person in the city and protest of the work to provide good nights rest for the vulnerable neighborhoods. and moving on

today's agenda centers around the bic at home and work for updates and study those items maybe continued to next month as spoken by president bito so i look forward to our ongoing reports. >> that concludes my presentation. and 4b update on projects. >> okay. >> monk again, the following slides will how the the volume and evaluation of projects tossing work on this as well as a profile of projects that

especially have high value nevertheless of housing and community assets so the next slide in october of 2022, 10 permit applications were estimated construction of $5 million were filed with bic $634 million a 12 story office building was also an application filed for 1939 market street will have one hundred and 87, 4 hundred percent affordable units and. next slide, please. thank you, last month we issued too high value permits and over 200 and $33 million. one of

these permit for a 5 hundred units mixed-use development and 5 by 5 bryant street and the other for the rehabilitation at laguna honda and last week bic filed three projects for an office improvement on owen street and next at the castro health center together under construction evaluation of roughly $20 million. thank you. >> thank you. next item is update on bic financing good

morning alex bic direct our of administration this presentation will be an update of our regular will be a regular finance update and in addition based on see feedback provided by the commission at the last meeting i've added additional slides thank you for the suggestions and looking forward to further refining this regular update format so will be most helpful to you and members of the public. next slide, please. so the first slide is a refresher some basics on the finance and the budget and finance cycle for the department and the city. our financial year is july 1st through june 30th so

the year is finalized after june 30th around august and september the controller publishes the final final report in november to march depends on the complexist of prior year the budget cycle always something happening with budget within the department and office of controller a continuous process. the departments enter into the continuous circle is in december to february that is where the department phase and the department develop a proposed budget for the next two years on the two year budget year throughout the city and in this february we will be submitting a

proposal for fiscal year 2023-24 and 24, 25 and then after the proposal is will submitted the mayors office takes over and make policy changes and additions and modifications to the budget on june 1st, the mayor submits here proposed budget for those next two years. after that july to argue the board of supervisors takes over and review had the mayor has submitted and make cuts and adds. recommended changes to the budget and then the full board votes around august to finalize the budget not listed after the budget is finalized around august the process starts over again and the second year was approved becomes the first year

so fiscal year 24 to 25 they're reviewed twice and helps the department think further ahead and plan so there is something that was previously discussions to work on. next slide, please. i wanted to put together something that shows what the commission can expect from our financial updates and not every- most meeting will be not half regular updates and i'll get into what that is a little bit later in the presentation generally a look at the budget and the current spending and how much of the year has elapsed and how much we've spent and towards the end of year will include

proposed spending and proposed year-end balances towards the end of year not so much not enough information to determine that but i'll go through some of the special highlights and additions to the regular schedule so in september, that will be right after the year has closed and the budget has been finalized we'll show a look back at the prior year how we did a final lock and then a will be the commissions first look at the finalized new budget and, of course, the original proposal but any changes though the mayor's office you'll see those then. in january we the department meet with the comptroller's office and mayor's office twice a year 6 months and

9 months through the year quarter 2 and three and those are the times when departments do deep dives into the year-end projections to determine beyond just a basic straight line projection we really what we think we're going to spend but the end of year and revenues by the end of the year and what will the impact on the fund balances be and where we think we'll end up as previously mentioned to so difficult to do that early on in the year that projection work is not typically start until 6 months in so i'll explain that further when we get into the in a nut shell nuts and bolts of the regular update.

next slide, please. the commission asked for a long time the current fund balances and historical perspectives i would like to show what bic current position sea how we got through. so most significant recent rift begins in 2011 when revenue san francisco was not as effected as most of country with the great recessions as everything else began to recover revenues cabin began to /* /* began to take off until 2020 a

abrupt revenue drop if two years and it was a very abrupt turn around. i'll share that further on the graph on the next slide but to summarize our financial position currently we have the $5 million no carbon and 48 of the 45 is uncommitted have committed approximately $50 million to ongoing projects. so the the 45 is available for foreclosure use and other important fork our operating balance we're xurnl experiencing a $25 million per year operating

defective and expenditures are greater than the revenue by $25 million this year and absent any changes. and if nothing changes you'll see we have about $48 million uncommitted and we're running the three 25 mill per year deficit by fiscal year 26 our cash is proposed to run out. next slide, please. so this is a visual representation of the new financial history of dbi the four lines one is revenue and gray is expenditures and blue is our cash so that is just beginning balance plus revenue minus expenditure. and the

yellow is uncommitted fund balance it is the blue line minus everything we've committed to spend. and as you can see when 2010 and notifying the red line goes above the gray line results in a fund balance shooting you think and in 2020 those lines abruptly cross back now the diverse between the red and gray line is our expenditures are greater than revenues and what we need to do going forward and what we'll attempt through the fee stood out we'll talk about bring those lines closer together for a envision of expenditures and bring that pray line down and revenue potential revenue increases bringing that red line

up and like to um, recovery the costs but for the exposed them. next slide, please. i want to talk about primary proposals we made to the mayor's office low-hanging fruit we identified as easy ways to um, increase increase our balance and delay absent any other changes um, buy ourselves more time. so on the revenue side, of course, the major changes determined by the fee study. we have begun the fee study already had the kickoff and working with the consultant and moving through that process talk about that more next time. and in

addition item about three modified of covid 19 reimbursement so during a lot of staff has been deployed for various tasks in shelter in place paid for by the bicycle coalition fund and made a request for reimbursement for this cost will not impact the dbi rate payers on the expenditure side we have requested reductions in various work orders with other department many of the work orders schedule to sunset next year in fiscal year 24 we asked it is stop that early so work

for outreach we're paying affair department for and economic and workforce development we believe we can take over owe deal with the existing resources we are hoping to and those work orders early we'll see had the mayors office says about that and dbi it funding 6 organizations and mostly for there is outreach in sros helping with tenant education and contract education and we are in talks with the mayors office to potentially shift that funding to other departments that are doing similar work like the department of homelessness and the mayor's office those are the departments have additional existing contracted with the community-bases organizations

and hoping that those other department can a fund some of the work. um, and in it is very early to tell permitting discussions with the mayors office they would like to see a phased approach to whatever we do 0 expenditure instructions new revenue increases won't want to do it to prevent rate shock and we're hoping that at this point to balance our budget bring that red line make that intersect with the gray line by fiscal year 26 though the results of fee study will determine exactly what happens north side iso primary slides i went over were some of the

background history i hope that was helpful now the following 6 slides are an updated format of presentation we plan to present to best case scenario each month as described in the first slide the format for the presentation will be a slide and he had next slide a table with the- the first item will go over is revenue and in the previous meeting questions were asked how it the budget managed throughout the year and prior in the first 6 months of the year we monitor we roughly monitor loyaltytion if you locate the first point here 42 percent of year hesitate

lapsed so the data shown is there november so 5 months divided is 42 has gone by throughout the year received only 38 percent of budget if western to known lists that as a $2 million shortfall but generally accepted throughout the city finance to be too early to those types of determinations for example, in the project report seeing the 5 by 5 bryant $200 million that brought in $200 million in november. so we revenues are very volatile and very difficult to determine what will be coming in the rest of the year especially on the

revenue side so- we do use this as reality check checking the and not received or to make sure it is somewhat close if those start to devertical we'll investigate but as long as their relatively close we leave the 2k4r5i89d projects for 6 to 9 months. um, and all you'll see on the next slide the apartment licensed fee nothing has been received so far didn't mean we expect to receive all of what we budgeted but pretty much last year timing can effect it so we have not actually received it is collected by treasury tax collector have not sent us any

money this year yet thuks may see under recovery didn't mean will be under recovery by the end of year. and another item is the three year coach change hoping for a souring in applications to meet the codes we'll see how much more revenue we bring in in december. next slide, please. so this table speaks to the prior slide as you can see the different revenue categories and how much we received so far. the first two columns are lashes budget and actuals for the 4 year you can get an idea of what happened last year and the next two are current year and tills up-to-date so this year's plan

how we're doing courage and the last two columns are projections and again, this is discussed it is two soon to make for detailed projections we could projection a $2 million give on the first lion we're not confident enough but project by project on budget for now. in the next meeting we do our detailed end of year that projections those numbers will not be open more concrete predictions. >> one other thing to mention here is the prior reporting only showdown operating financials. now we can also see in the second to last row non-operating restricted fund in the building inspection commission fund with

the construction demolish reciprocated outside and this shows that activity if not great detail but at least we can provide overall picture of the building inspection fund. next slide, please. we'll disagree expenditures so far this year they're trending they are ores to predict the labor and most people make the same week to week and one saving it in non-personnel services to two dr t reimbursements the developers of projects reimburse us for we pay the- and the project reimburses dbi the

project enough to pay the reviewers and we have that as a surplus and as previously mentioned for the proposals requested that had the $5 million that materialize will result in significant savings for the department. and then another item for the community-bases organizations is typically in the past few years built less than the grant amount it is very, very difficult to determine how much they'll build intend to build less and we'll see about their potentially additional stlaifz and. next slide, please. and here's the same table as is revenue side on the expenditure side as you can see how much the

prior year and actuals year to date and projections at the bottom again there is the non- operating expenditures so those are the reciprocated fund and continuing projects for example, our permit tracking system upgrade have money set aside for that project and have money- those are gentle capital projects on the second floor of the center that's another capita project that is funding out of non-capital funds and on those are funds outside of the building inspection fund a small amount of general fund that was allocated to dbi by supervisors for um, prior specific projects

i believe some sort of outreach effort and so you'll see all dbi expenditures are encompassed in this table and. next slide, please. . and in the final item we'll talk about is a look at the permit and you'll see from the numbers on the next slide year to date received a number of permits about 11 percent less, however, due to this one big project by broont preliminarily the total evaluation of all permit that the same as last year at the same time year to date. next slide, please. so here's the slide is similar to when has been present in the past that shows this year to

date so july through november for last year and this year. both a number of permits and the evaluation and looking forward to working with you all to refine this and i'm available for questions.. next slide, please. last slide. thank you. >> thank you. president bito you wanted to add any commissioners have anything i don't know (unintelligible). >> no it is commissioner alexander-tut. >> sure absolutely i have questions. >> okay. >> commissioner alexander-tut you can go ahead and speak. >> thank you for the presentation i have a few questions but one i think is the education (unintelligible)

question shifting the presidio grant money not about the presidio but dbi access to the dbi services i remember reading about something that at department can shift to (unintelligible) i don't know any particular cbo i'd like concerned about the different department i want the language to say i don't know but i (unintelligible) to be to (microphone feedback) outreach for tenant to- people are terrified of their launders and don't want to file a complaint and in english but (unintelligible) a psychology

barriers people don't know that the code exist and um, but the connection between the housing department and the community directly so no longer have contract connectivity with the organizations and the community-bases organizations are housing inspection (unintelligible) the complaints and no longer able to make not come into the housing services in the same way i'm very, very concerned about what that impacts to our community if we no longer have contracts with (unintelligible) services direct. and the inspections can't provide the same level of services but a different kind of work during the department

(unintelligible) oftentimes see and referred to as department (unintelligible) the sros competitive to work with dbi to provide a different level of resources and i that is not a savings i could imagine meeting just to get- i'm interested in having broadly having conversations where we can have savings and (unintelligible) eliminating contract as a policy is we found out in three years this didn't work and role permit

(unintelligible) and i think very early assess the (inaudible) (microphone feedback) i'm concerned about making that policy decision permanent through the budget so (unintelligible). >> sure just to be clear, to clarify thank you, for you question we're not talking about eliminating or changing the services just the source of funding for them. so it is our diego rivera to keep the current services and have them managed by our housing inspection division just change the funding source with the mayors office or is department of homelessness to provide funding for dbi to pay for the services. >> oh, that's will fantastic (laughter) i was worried about project connectivity so if we are able

to find alternative sources ever fufrpd that is 100 percent fantastic so, thank you. >> for clarifying that (laughter). >> that helps my anxiety so i do want to ask can you- on the ongoing projects with the $55 million outcome that are committed outcome not in the presentation but about for january can you tell us would what those tied to policy or legal what are the commitments the $55 million is what is if we can't that touch part of an finding to prepare for the june dissuasions will be helpful. >> sure i'll be happy to and thank you for the good news

(laughter). >> questions. >> i do have a couple of questions. thank you very much. for the presentation and very helpful. and the graphics certainly help one of the things i wanted to reiterate as part of the our presentation i thought was very well organized and presented was the financial calendar year in the circle budget to the mayor's office and the timeline with the board of supervisors on page 4 you go through the regular updates back to the regular last month discussion that those updates with the same things when i speak to tracking those are some of the things i presume you're checking on regular updates what

housing is that's a great question. (unintelligible) and actuals. >> is that what you do? i mean what i heard you're tracking the productions and updates on what you projected based on a certain amount of a three month period this is a yeah, so we review how much of the year has gone by and rerecovered and have that by this time of year and then in quarter one in january and then in april we will role do a deeper dive into our precautions say okay beyond it is maybe 50 percent of the way through the year and recovered 50 percent let's talk to the director and does what will come in for the rest of the year and the bic has in their piping and coming to us

on the labor side which positions will we hover or retirements cuba 80 save money so more- additional investigations into those things. >> i think (clearing throat) the timeline on page 4 tells the commission to anticipate that it takes the director's report and finance update from something that has felt to some degree per function having milestones a great addition to the update that you had in the director's report so thank you for that that was helpful something that is potential in the future? >> so what is the next milling

and the next thing did commissioners can expect. >> a timeline when you reach that milestone when you, your team can evaluate and analyze it something may n speaks- i did h

our timeline is in 2026 each of those things on page 6 talks about a $25 million speaking the blue line each one of the ticks represents $25 million on the graph downward graph- >> (multiple voices). >> i understand that from a

math stand point the other question i'm going to get to my question but taking notes while you're talking about um, dbi well a couple of things on page 7 dbi has their budget abandons the revenue and expenditures but handling the mayors budget from what i understand do we have money from the mayors budget for certain programs like the cbos those are paid out of the building inspection that is the main fund that is dbi revenues and expenditures. >> right. >> the cbos are paid for out of that fund. and. >> (multiple voices.) >> a discussion you're having

earlier this is ideology you're hoping to have that the mayors office in terms of their detached dwelling unit and shortfall and where they fit within the missions of the other department certainly with the office of mayors workforce and development and within homeless will fit within the missions we want to do do work those departments can transfer to the building fund to pay for this work. >> did you have other question. >> direct our you have a question or comment. >> oh, you have oh, when so the pill arrested for the mayors to cover the cost for cabo san lucas what's the timeline in which you anticipate having an answer to that? we'll know by

june 1st of next year when the mayors submits their budget and hopefully know before in time for the department budget submission and get guidance from the mayor they have said they have a lot of balls in the air and may not give us a response and may make the decision in at a later date phase of the budget between february and june. >> and is it something we can submit and letter in support of. >> a definitely we're looking for partners in on the commission and other department to support various proposals we're making doing a lot of outreach for the city to support the outcome proposals we're making to the mayor's office. >> um, other question i have sort of relate to that can you expand i know we to revisit the

attach work orders you're speaking to um, i don't know this is part of that but $2.8 million for the covid 19 general fund you talked about like expenditures of $3.9 million is a one time word work with puc and economic workforce development. >> that's a separate issue. >> can you expand on that i'm on page 7 the expenditure three hundred 9 one time work order reduction can you expand on that? >> so we pay a few million dollar to the assessor oversee office i think the thought when times were good between after 2010 when the department had more money it knew want what to

do with looking for funding other items and decision to fund assessor's office staff and determined their mission was related to the dbi so dbi ended up funding i think 20 positions in the assessor's office and now that things are reversed we have this large projected operating detached dwelling unit looking at all the programs and looking to sunset them and this work order was projected eliminated next year and we have requested can we end it one year early and save ourselves the fiscal year fy23 amount as well? and the general fund can the assessor pay for its own staff and fire

department similar we pay them about $1 million a year for outreach. um, related to fire safety but related to the building codes so the decision was made to fund did fire department for that work and requesting that fire department who's doing the work sonoma's sonoma's responsibility for paying for that work and do it a year oriental than was decided last year. dbi will pay for half the salaries of the mayor's um, i'm trying to think of the toilet the mayors housing director i believe so dbi pays half and asking if perhaps that funding can be shifted to the

mayor's office or dph so all are involved but can also i call to order to us paid for by other departments so those are requests at the same time with the workforce development they do outreach that and city attorney involve dbi but is really their primary mission for existing anyway so our request that department to right now. funding to doing their own work. >> i have a general question i mean the city can be perceived one big company and all the departments are responsible for their budget but in the case that dbi is lending into bought

deficit. >> like seemingly happens on a one year circle what happens if you're staying in the scroll and time are good and a big uptick the revenue and have refers reserves a rainy-day fund i mean, i understand that cities are not-for-profit but a rainy-day fund that the department like doikts or any other departments operate so they reserve those for future- for bad proposed, you know, 5 years we may need this rainy-day fund at some point. >> ? basically a fund balance

with the economic stabilization reserve basically i mean any surplus at the end of year we'll deposit into a reserve so use the term reserve and fund balance emergency changing and we preserve policies how much we should deposit in the go years and two choices to make either increase is expenditures so hover more staff or fund other programs and other departments and reduce fees. is it that believe that some of the agreement or contracts with at departments happen on a more outcome yearly basis and less that like, you know, this is i think the pandemic was an

unusual time but was really set into love unpredictable um, circumstances that, you know, we're still trying- i follow this in the news quite often you hear people proposed didn't come to fruition may not the news have's anticipated but a sense of a certainty you have something like this we've never experienced before what is the approach nerd of how you come to an agreement between other departments to help to fund- you're having another opportunity. >> theoretically those have renegotiated every year bikeway once the services start this is an expectation and the general fund likes having that savings

and services paid for by another funding source that is difficult to reduce or element once they've been started. >> fair answer. >> what is the cap on the reserve? >> indicate to the funds have to be committed elsewhere. >> we'll determine that as part of fee study that the existing amount is $8 million i suspect enough to cover 4 years of a downturn something like that we'll definitely revisit the policy as part of the fee study. >> does the charter say it had is to be funded and half of the funds are returned to the general fund so that, you know, (unintelligible) with different departments. >> well the code says that the

building inspection fund shall be ooze for department of building inspection commission related items so- >> (multiple voices). >> defined. >> can do a number of funding specifically. >> yes. but the funds are reciprocated in the general fund caught take that but the 2005 can say you should be funding another work that the departments are doing. >> the negotiations. >> i guess to commissioner neumann question and my question about some of the things um, when you do provide you're able to bolster a program or another departments program and human nature of psychology when you're receiving funds for something that doing without it is a hard

pill to as well but the expectation this money that- hifshg. >> historically no requirement and wishful thinking that oh, yeah. sure if dbi money runs out we can fund our own program i pickup truck not a requirement so programs certainly maybe started not able to continue without dbi funding autopsy but again in the scope of dbis few millions of dollars is small when compared to the general fund to be fair

to the comprehensive plan future land use map to include property located at 3509 rock oak trail as low density residential. up and have their own requirement they have to keep. >> yeah. >> but it is part- part of the complex to fund all the departments that is the majority of the city. >> i know i'm trying to understand how dbi can take care of the its own budget given it is running into a deficit and negotiable that law after 2026 and i think i mean the question after 2026 this run out to zero how long will that take if you have the $5 in the receive in rainy-day fund how long in years. >> we're using that you see on

the revenue and expenditure tabs are revenue budget $70 million and this year we're using tens of millions of dollars dollars already. >> understood but how long will it take like we'll projection after 20026 things the economy is in san francisco shape the developers are building what protect predict on the past building up $95 million or one hundred million dollars. >> that is a policy decision and something we looked in the fee study do we want to build it up slop and keep fees high or rate payers some rove and figuring out is prudent the

affect on pay rates and you say rate payers. >> the fee payers. >> like permit fees and themes. >> yes. >> i have two more questions and then i'm done i appreciate the presentation it was very helpful to understand how the budget are monitored and created and tracked. on page 8 you talk about the layouttion at 42 percent of year so- the term utilization in terms of the budget. >> so i'm just the numbers are the 42 percent the percent of the year that is lapsed so 5 months of year have gone by divided by 12 months we're 42 percent of the way through the

year and the other page the $18.8 million that we received so far four board member hennings for services permit revenue divided by the 49.3 this is the three 8. >> where is the 49? >> oh, i get it i see it. okay. >> then when does our year start our fiscal year in august? >> i'm sorry can you rope. >> when does our year start in august. >> starts in july and then the search and applications we're halfway through the month of december and dbi didn't close like other jurisdictions i'm aware of two think christmas

holidays. to have you sown a surge in applications up until this point and are anticipating more of because of code change? i think a lot of applicants will want to get their permit in by the end of this month. >> we've seen less than we're hoping for but a slight increase. >> okay. >> so looking at well hard to look at december but november even this year in november compared to last year the total number of permit is less very thoughtful discussion because is helped to eliminate how the budget is tracked throughout the year and allows the commission to anticipate some things we can look forward to in the coming months and

years. thank you very much. i do have any further questions do my commissioners have. >> commissioner alexander-tut has a question. >> yes. this is a rich conversation. my question i don't know about the fee study but in terms of the budget if we offer load certain cost to the department are we not able to include that in the fee study we'll included in the fee study; right? i will be concerned about making a policy decision in the budget um, if it would effect our (unintelligible) later. and try to figuring out how to thread the needle of the budget we need to deal with and include services the bulk of serviced we provider in the fee

study i don't know if you have the answer to that. >> sure- >> (multiple voices). >> you're right if we offer load cost to other departments we stop paying for assessor's office or fire department work we would not be part of fee study so those would- result in lower foods that we need to charge to our fee payers and the more expenditure we have assuming that the fee study results in which is the goal in recovering all the expenditures than the less that we spend the let's we need to charge our fee parades. >> does the cost to keep this thing in the budget maintaining we have the authority though

have an i don't believe an innovation to spend so the cabo san lucas if we have them on the books accepted money from other cities departments backfill it cost and keep them on the books and include them in the fee study but backfilling that cost and otherwise (unintelligible) saving the agreement instead of taking it completely out of our budget are those oust possibility. >> we'll be double dipping money from the fee payers and services from other department so really i think we should think of- in the surfers should

be funded by the other departments um, let them be funded by the other depends and everything else is covered by the fee payers and part of reserve policy so if we determine that dbi costs are one hundred million dollar we still may set fees to recover $5 million to build you think the reserves. >> - we have flexibility there. >> so my question is we have to figure out a fee study proubl

before june 1st; is that correct? >> yeah. just begun the fee study and hoping to have um, we'll get into this with the fee construing but a final report by april. >> so how do that play out when did mayor says you're not off loading it, you know- we can fund half of cabo san lucas, you know, like i'm not going to accept- you rely too much on, you know, budget the housing director or- so i guess i'm concerned about coping them out

the budget and not including them in the fee study at the end of the day, have to take that on ourselves because they're not able to offer them to other department in the short term we run the risk of being holding on to like- to off-load and not included in the fee study and we have to pay for them anyway maybe a discussion for the fee study but- for- we run some of the risks in submitting a budget we actually just very much a draft. >> sure budget are required to balance sources must equal uses so if we propose shifting funding to another department the mayors office says no, and no additional revenue sources so

they say you need to keep those services and can't increase our fees the option that mayors has to balance the budget is either use additional fund balance or reduce expenditures. >> so the budget that we submit will be a balanced one and the budget the mayor submit will be balanced and every submission the department and mayors all have to be balanced. >> right i don't know. i guess i'm not understanding how that- that to me says the programs get cut we might be holding the bag on negotiations if it is 3r0e7b8gd we can't fund it i'm a

little bit confused about how the draft and the final interact can you tell me if i'm wrong or help me understand. >> i guess i'll possess a scenario if we in the budget submission say we want to our budget would be 3w58d except for those $5 million cbo and in the mayor says actually no, we don't want homelessness to fund this we will have a $5 million defective that the mayors office will solve for in they're

proposed budget. and so they're options are either increase revenue so increased fees or reduce $5 million of expenditures somewhere else so from work orders or labor or any where else our contracts. >> so that any decision any changes that mayor's office makes from our submission they would need to balance that on the other side expenditure change need to balance that on the revenue side. >> or elsewhere in expenditures their changes must be net zero somehow. >> that is how we're balancing

our own budget. >> yes. that is an option for mayor's office they kick the can down the road and figure that out anti negotiation but a limited amount of time to do that if they do that the more fund balance they obvious now the more drastic changes will be noted to be made later on. >> yeah. i'm concerned about the fee and the impact of the changes on the fee study and i believe interested in figuring out how to accompany those in the budget that's what i thought we were doing hoe we're in a budget defective and trying to

bring um, that seemed like something that um, much more impact full of the defendant sit budget and with we're going to talk about that but the political analysis what the market will be if we want to fund all those things and no expenditure cuts will the market support that have an impact on productivity will people delay projects or not obtain legal permit to do the work? >> and then at the end of the day, it will be whatever had

changes that are made to the building code will be up to the mayor's office and board of supervisors so we'll have to see who our proposed increases potential increases are impacting. >> i want to thank the director i want to thank you for you presentation that was very clear and thoughtful and commissioners unless other questions love uncouncilmember cassano based on your proposals i look forward to an update in january. >> next item 4 d update on proposed or recently enacted

legislation. >> i'm christen the director. >> it is- >> this slow down is showing oh. okay. >> so for ordinances first, the proposed ordinance to amend the permit license and business registration for certain businesses was signed by the mire on november 17th that again is for an existing extended program to help businesses get off the ground. >> secondly, proposed ordinance amending the planning and building coincide for provisions. that was ordinance was you heard in october and approved. outcome that was amend

and retrod so the commission will need to hereby that again and probably have that on the agenda in january. >> regarding occuring commissioner has introduced that to look at the um, potential planning coincide an 1355 market street trod last week and has not yet been scheduled and review the economic impact of enjoy buildings not scheduled and finally have prepared for a hearing on adu accessory dwelling units for last week but that hearing was withdrawn the week before the hearing that is

now cancelled. >> and i can take any questions? >> commissioners any questions? >> okay. thank you. >> next have 4 e update on proposed. >> joe duffey inspector. i'm pleased to provide an update and our activities have been consistent from previous months in november building and electrical plumbing conducted over 10 thousand inspections and 86 percent were conducted within two business days requested by the customer and many this same month inspections services

conducted 800 and 41 with one hundred and 84 of multi-family residential and the building and electrical and plumbing received 4 hundred plus complaint with 13 inspections of 4 hundred and 12 complaint and respond to 85 percent of them and code enforcement 44 cases for the directors hearings our housing inspection received 50 save and hate complaint and responded to 80 percent within one business day and three hundred plus complaint 75 percent response in two days and also 200 plus notice of violation and they

sent 20 cases for directors hearings thank you, i'm available for any questions that you may have. >> commissioners have any questions. >> okay. >> is there any public comment on the director's report 4a through e? >> none. >> no public comment and go to >> 5. general public comment: the bic will take public comment on matters within the commission's jurisdiction that are not part of this agenda.. okay. >> looks like one hand raised. >> um, monique can you unmute the caller please. one second. >> hello commissioners.

>> we hear you go ahead. >> thank you. >> um, first of all, want to say that i can't think of anyone that has done so much for the bay and as the commissioner is fantastic for the residents and business owners and couldn't have a better person on the special commission than commissioner shaddix commissioner shaddix i'm proud of you and congratulate you on this position at right now and another note want to bring up on the themes for first free program that is (unintelligible) and i have a small business colleague restaurant in north beach who that (unintelligible)

so she find out about the refund and morgan (unintelligible) and she got a refund i think within three weeks great job we appreciate this committee for that so that's my comment additional with that, happy holidays to everyone and looking forward to next year. thank you. >> bye, bye. >> okay. thank you. >> any further public comment? >> seeing none, no further public comment [off mic.] >> i want to concur that we're excited to see commissioner shaddix in person next month expanding the commission is very exciting. thank you. >> thank you for that. >> commissioner shaddix (unintelligible) have something

to say. >> i want to thank you for allowing me to identical in remotely and third street behind me thank you for the previous caller and sonya and director such a noise welcoming and looking forward to working with all of you. >> thank you. next agenda item 6 >> 6. discussion regarding a fee study for the department of building inspection (dbi). (continued from the november 16, 2022, regular meeting.) any public comment on this item? >> seeing none, (bell ringing) same with item 7. >> 7. update regarding the client services subcommittee. (continued from the november 16, 2022, regular meeting.) any public comment on this item? >> okay. >> seeing none, now on

>> seeing none, now on >> 8. discussion and possible action regarding the department of building inspection's (dbi) cost schedule. >> good morning president bito and members of the commission i'm deputy director of permit services and here to give you the update or the report on the cost schedule adjustment it is determined by the building code in chapter one says the evaluation of the um, permit is calculated at the time the ordinance and based on the schedule post in the office department and so this insures that the cost schedule is in

place to make sure that the fees we take in are consistent amongst various project i can imagine two similar projects submitted you about the same time and one has is reporting the evaluation for the what the actual cost of construction like one hundred thousand dollars and another one that is reporting the evaluation at around $30,000 our costs schedule assures and base line and that is really the reason for it next. >> so as you heard the department is self-funded all the fees we get as revenue for through fees and inspection or

permit fees community-based directly towards funding the services we provide we need to make sure that the fees that are coming in are adequately assessed the way we do this to assess the evaluation which the fees are based on. you heard also that the um, our fees are based on the service provided and not on- not there anything beyond the cost for services doomed to be a tax. and that's we're for the role a tax we're a tax base department. next slide, please. i'm sorry can you go to the one before this?. thank you.

>> our fee schedule is out of data in 2017 and at the time it was only updated with a across the board fee multiplier and our last study as alex said was in 2015 this estimate not there to adjust the foods it is adjusting the cost of the project or the evaluation of project. outcome there is a direct connection between the evaluation and the fees but it is um, not an immediate change or for example, we adjust the evaluation 20 percent it didn't necessarily mean the fee is adjust 20 percent the foods are based on a tier system.

next slide, please. so actually want to acknowledge in the room that we have building inspector matt in the room been most of year on updating the cost schedule of and put a lot of details into this. um, the adjusted cost schedule it bans 2022 values and what we did outcome moved reorganization to the document and added a segments for remodel section for remodel. next slide, please. we used a source of different sources during the study. um, those are listed here in addition to several of that web sources to base our study on.

next slide, please. this is an example of some of the changes that were made. the section on the left shows the tenant improvements were changed from a one hundred and $26 plus in 2017 to $217.76 this was a 71 percent .8 percent increase and on residential we increased square feet about $98 to one hundred and $90 an increase of 94 percent. next slide, please. this outlines another other examples of increases for the study we did. and as you can see

they're in the range of 22 to 40 percent increase. the entire cost schedule is included in the packet. and um, there for our examination. >> next schedule i mean next slide, please. look at we reorganized to provide chronology bored to those items will fail from site work to foundation through frame through finished and so on and so forth we provided that organization and updated references as well general multipleers. we simplified we showed one attach

construction and . >> multiplier to reduce like a type a to type b construction costs. (rustling of papers.) . next slide, please. so we take the changes to detailed analysis so that the code advisory commission in early december um, actually last week and it was approved. where recommending approval from the building inspection commission and i'm here to answer any questions. that you have. >> thank you. >> and any one wish to comment. >> thank you. >> commissioners have any

questions? >> so commissioners, if you have any questions? >> no, they don't. >> this item does call for motion to if the commissioners don't have questions do i hear a motion? >> i have a quick question i wanted to go on. >> my apologies. >> to no, it's. okay. >> have you under the cost schedule something has it requires stakeholders input? >> no, no it does it is a objective analysis and the costs of construction. and we present this oirnd done on an annual basis and just been updating those for quite a while.

>> you guess with respect the attached inspection for example, you have it building that is 10 thousand square feet is costs you evaluate that as x amount and another this same size that evaluation is 10 x enhanced whatever that building. or whatever but for the is the same um, attach building let's see - a commercial or industrial building something similar does that cost equal the same effort to plan check that? you do associate that level application

um, in the same way? authenticity been something that is argued to me a couple of times where, you know, you take a house that is worth, you know, let's say $2 million and take another house that is taking $3 million to build the same effort between the two the maturity a spread in the cost of that is is providing examples is that was that cost schedule evaluates? >> it does that allows the plan checker to look at the projects really if it is the same level for to agree on the thirdly, should be the evaluation threshold should be. frequently everybody wanted to

save money and frequently get people under estimating the value they want to pay less fees and preservation our fees evaluation is a direct impact on the assessed value for property taxes and so on not true the county assessor assesses the application independently so we get a fair amount of people that under value they're projects and this is there as a threshold you look at to bring up the evaluations to the manipulating minimum we cover the costs the fee study that alex talked about this is a standard practice to establish that evaluation for the services that outcome are rendered to review and inspect those projects. >> a better way to crib

describe defunct on the likewise rather than so i think that the- the cost schedule- the fact it is um, much mourp obviously is good news i was curious to know who type feedback from the, you know, construction or development community but having that become more consistent outcome and obviously i'm occurs how that- i mean, i have not- i've scanned that but how that- applied at the time that someone is submitting an application will be helpful to have an example of that presented perhaps at another time. >> got it and i'll let you know you were at the meeting president bito a fair number of our clients that are part of cac

and the antidotes we got back those numbers are still less than industry standard that is generally true we try to get close need to be mindful of feces that people are charged and again, the fee study take into account no correlation between the evaluation and the actual- actual number of hours. that that takes to every inspect or check those projects. but the fee study intoxicate and we studied individual cases with a few examples type project and then that time motion study goes

into establishing the fee for that. >> i was- at the meeting and i was- go to hear that they- almost everybody supported did cost schedule.. thing i'm i'm trying to understand or bear in mind with the cost schedule the evaluation of something in construction cost per square foot a very rough order of magnitude what you're looking at it i think that is hard to compare to the industry that was valued at a hereby level that cost schedule is abandons how you derive your fees that gets two how than- the purpose to cover the expenditures for dbi but overhead so it has to be

come rut that will be really, really how especially for housing- >> (multiple voices). >> absolutely you can imagine president bito you get two types of contractors the one that is essential just gets a job done and a high-end that is three x or 2 x times of value of the our average contractor should we will be charging more fees because of that. >> also what we've seen is a lot of things that happened in the supply chain and labor costs so regardless of attach contract or contractor, you know, single-family home type 5 working on or some of the bigger

contractor twhif all suffering from the same different scales we're- pleasant will i surprised that is understanding that cost schedule is evaluated objectively and consistent 80 great for the commission to see howe you approach similar projects, and, secondly, how did the cost schedule arrive they fees and does that fee cover the offer head- love things we look at when we locate the budget but did expenditures that the dbi has to bear the cost find a salary but other things part of overhead when you locate the fees for any one of the project is it covering all the labor and overhead for any given

project. >> okay. we can certainly come back to that and remember me saying at the coincide advisory committee visit this for frequently and we talked about that the folks at the fee study and the industry standard for the building department to tie to a nationally produced schedule that come out every 6 months by the international code council we'll discuss that in more detail but certainly allow us to the flexibility to i go and flow with the knew what the supply chain causing the increase in construction cost we can adjust that more fruit and

vegetables. >> the ebb and flow i'm trying to absorb this that's why oil asking a lot of questions did ebb and flow you're tracking or engaging fees again is something that has to have a correlation to the increase in cost of let the record show you have are at dbi or weather it is that you deal with, you know, year over year provide people salary increases. >> i got it. >> i think that is good to understand how that evaluates and also the priority in the schedule is that planners can count on objective evictions don't have people undervalued and have their hair the contract or the three other people are you paying their fair share.

>> okay. >> i don't have any other questions. >> thank you. commissioners don't have questions do i hear a motion to approve? the cost schedule. >> a motion to approve. >> second a okay. a motion by president bito seconded by commissioner alexander-tut a roll call vote on that motion. >> president bito, yes. >> commissioner alexander-tut, yes. >> commissioner neumann, yes. >> commissioner shaddix, yes. >> councilmember freed. >> yes. and xhoikdz is dpousz make a motion unanimously and next number number o'riordan's performance evaluation. a. public comment on all matters pertaining to the closed

session. any comments on that. >> seeing none. okay. >> thank you. >> go to item >> go to item inquiries to staff regarding various documents, policies, practices, and procedures, which are of interest to the commission. >> those items that could be placed on the agenda of the next meeting and other future meetings of the building inspection commission. >> president bito anyone have any questions. >> i don't except i presume we'll continue on those items until january. >> yes. will be heard at the january meeting. which will be january will be on january 18th fy23. >> and are any commissioners

have any you future items to propose or if not can contact me at a later date. >> okay. no items. >> okay. is there public comment on 10 ab? >> okay. no public comment. okay. thank you, item 11. >> 11. review and approval of the minutes of the regular meeting of november 16, 2022. >> motion to approve. >> do i have a second? >> second. >> okay. there is a motion and a second any public comment? >> um, seeing none, all commissioners in favor of approving the minutes any opposed?. thank you very much. and those minutes are approved the next is item 12 a mission to

adjourn. >> motion to adjourn. >> second. >> so. >> all in favor, say "aye." >> aye. >> yes. >> okay. thank you, we've got a long ways to go. it is 11:14 a.m. >> this meeting is adjourned.. [meeting adjourned]

>> hi, i'm with building san francisco. and we have a special program of stay safe today where we're going to talk about what you can do to your home after an earthquake to make it waterproof and to be more comfortable. we're here at spur in san francisco, this wonderful exhibit of safe enough to stay. and this is an example of what your home might be like after an earthquake. and we have today with us ben latimer from tvan. thank you for joining us. >> thank you. >> we'll talk about things you can do you don't have to be a professional contractor to make your home more livable after an earthquake. >> i want to talk about things a homeowner can do. we have comfort and we have things like a little bit of maybe safety if your front door is ajar and waterproofing if you have a leak in your roof,

or if you have broken glass on the window. >> so unr, one of the most important fib use is keeping outside out and inside in. let's look at windows. >> let's assume this window is broken in the earthquake. we have wind and rain blowing in. one of the most important things you need to do as a homeowner is secure the plastic properly. if you just take staples or nails and put them into the plastic, we're going to get a strong wind and rip it right off. what i'm going to have somebody do is they're going to have -- this is an old piece of shingle. you might have -- everybody has a piece of wood in their basement. it doesn't have to be fancy. they take out this rusty screw begun, and hopefully you have one of these. >> there is one at the neighborhood support center. >> at the neighborhood support center. you're going to wrap this plastic around this board, take your screw. and then screw that in. >> you need a permit for this? >> you do need a permit for this.

and you can contact the former head building inspector to get that permit. that's it. now when the wind blows, it's tight and it's not going to pull through, having a single point of contact. >> great. what about this door? take a look at this door. what can you do? let's say it doesn't shut tight. what can you do? >> for the sake of argument, we're on the inside. i can't lock my door at night. i have a very similar, very similar idea. i'm going to take my 2 by 4. i can put it across the jamb in the door. one. two. maybe i want another one up here, maybe another one down there. but i can go to sleep. and that quickly, i can get it off in the morning. >> terrific. what about the roof up here? we see people throw blue tarps over their roof after an

earthquake. that seems reasonable. >> i think the blue tarp is reasonable. the things that people want to know that they need to know is if you have multiple tarps, how you overlap. starting from the bottom and moving up so that you're overlapping this way. so, rain running down doesn't slide under your tarp. >> right. >> and the same technique we did over here, as silly as it may sound, wrapping the end of that blue tarp with your board and then securing that if you can underneath, if you have to on top is fine. but making sure that you don't have an area where the wind is going to get under and bill owe that tarp. >> the wind can rip it right off. >> and then you're back up there again. >> let's go inside and check out what we can do inside. >> old fun. here we go. >> so, ben, i see you have nails, universal tool right here. >> man's best friend. duct tape. let me show you a couple things we can use this for after an earthquake. this window right here, because it's off kilter, we have open seams all along. i have a lot of air coming through. i want to stay comfortable at

night. i want to keep that air out. it's as simple as that, all the way around. >> excellent. >> now i don't have any air coming in. let's say this one is one that would annoy me. everything is a little off. my doors won't stay closed. i take a piece of my favorite duct tape here, close it up. and at least it will stay out of my way when i'm trying to live throughout my day. if we're not talking about pressurized water, we're talking about just the drain, sometimes they're going to get a crack here. >> right, sure. >> and you're going to get a leak. duct tape around that is going to help us get through until we can get a plumber out and get that fixed as well. let's say we only have electricity in one room, so we're running extension cords across the house. if i'm going to run an extension cord from one room to the other, i don't want kids tripping on it. i don't want to trippon it. i take my trusty duct tape, tape it to the floor, and i don't have to worry about it getting kicked. >> great, great. look at this. let's look at the duct tape here because we see a big --

>> yes. in the event of an earthquake, i don't think we're going to have too many -- too much debris that's safe to put into a plastic bag, even as strong as it might be. these are called vice bags. this is what they use to put rice and things when they ship it. this is something where i take my glass, i can take broken pieces of wood, i can take anything sharp and fill it. and it's not going to puncture and come out. it's not going to fall all over the floor. i've not going to have it sticking out, maybe scratch myself, cut myself or anything like that. these are a great thing to have. >> you have a little go-to box for emergencies. that's great. thanks very much for joining us, ben. it's really been interesting. and i want to thank you all for joining us here at the spur urban center. >> we'll see you again

>> shared spaces have transformed san francisco's streets and sidewalks. local business communities are more resilient and our neighborhood centers are more vibrant and lively. fire blocks and parking lanes can be for seating and merchandising and other community activities. we're counting on operators of shared spaces to ensure their sites are safe and accessible for all. when pair mets, firefighters and other first responders arrive at a scene, they need clear visual access to see the building entrances, exits and storefront windows from the street. that means parklets should be transfer in the areas above inches above the sidewalk level.

it's best if these areas are totally unobstructed by transparent materials may be okay. you can check with fire department staff to make sure your site meets visibility requirements. emergency response crews and their equipment need to be move easily between streets, sidewalks and buildings, especially when they are using medical gurneys, ladders and other fire fighting tools. that means that parklet structures need a three foot wide emergency feet every 20 feet and 3 feet from marked parking spaces and emergency access gaps need to be open to the sky, without obstructions, like canopies, roofs, or cables and should always be clear of tables, chairs, planters and other furnishings. emergency responders need to use ladders to reach windows and roofs to buildings and the ladders need unobstructed overhead clearance and room to be placed at a 72-degree angle against the building. clearances needed

around the ladders to move equipment and people safely up and down. so not all parklets can have roofs ask canopies depending on the width of the sidewalk in your area. please make sure that your electric cables are hung so they are out of the way and (indiscernible) to the structure, they can be pulled down by firefighters. cable connections need to be powered from an outdoor reciprocal in the building facade because hard wire connections are much more difficult to disconnect quickly. these updates to the shared spaces program will ensure safety and accessibility for everyone, so we can all enjoy these public spaces. more information is available at sf dot gov slash shared spaces. te

# >> good afternoon. this is broadcast on sf govtv thank you for joining us.