the city has a policy where we issue new bonds as previous bones are -- as previous bonds are paid off. and we have regular reporting on spending. i personally grew up riding muni and it's disappointing when i hear today how residents are still experience some of the same frustrations that i did growing up when muni was in my name. something has to change and i believe this transportation geo bond is the way for us to be on our way towards a world class transportation system. that really serves not just our generation, but generations to come. and so with that, i want to again, thank you all the colleagues for your co-sponsorship on this. we do have some of the technical amendments that we're adding to section 12 at the beginning of the legislation just to clarify what happened with the sequa issue. i'm open to any discussion or would allow director ruskin to resume his comment. >> thank you supervisor tang. >> supervisor wiener. >> thank you for your leadership on this bond. i'm supportive of this. this is going to help us take a chunk out of our really deferred capital transportation

so we need to make sure we keep that commitment in the bond. it makes sense to make that capital investment. we know the reality of how things work with mta's budget. that's going to come out of mta's operation budget and that's going to be a detriment of muni and street projects. in terms of the mello rus, that was intended to provide funding to the downtown extension if the -- downtown extension. that money is being divert today the trans bay center, so the mello rus money, that will be coming to the board and we'll talk about that. it's a disappointing occurrence in my view. finally, i'm in agreement in terms of the need it figure out how we're going to fill the hole in the 2015 and 2016 fiscal years that were left by the two year delay. that's $33 million for mta that was delayed two years. i'm not saying we're going to figure out a way through that entire $33 million, but we have to make a good faith effort and we can't kick the can the next year. we need to figure out how we're going to do that. colleagues, i hope in our add-back project,

in this go bond through a lens. this shows how the work first locations which are the high injury intersections and corridors, over lay with a map of income, and you can see there's actually an strong correlation between the location of where people are getting seriously hit and killed in our public rights of way and where our lower income population resides so we'll use this kind of analysis for all of the elements of funding in this go-bond to make sure we're closing equity gaps as we expend these dollars. the transportation department does have challenges awe you've all raises and as mohammad has experienced, there's good things happening on the streets. dpw has paved one out of every five blocks in san francisco in the last three years or they will have. we've made street skate improvements such as jefferson and chavez street which has redesigned those roadways and it's safer and attractive places for people to travel. we've made investments and i mentioned the pilot, the church street pilot which we've expanded

there's no volume in bonds because there is no market in bonds because bonds are trading at three hundred year highs here in the u.k. at two hundred forty your eyes in the u.s. they are well confiscation certificates for sure they represent no value whatsoever the only people buying these bonds are the computers buying amongst themselves for other computers and this is part of the takeover of civilization by the machines the only one buying the bonds are the machines the only one who talking to each other are the machines well this is the machine revolution it's also the governments themselves like for example in japan the government is buying seventy percent of all j.b.s. so it could be a computer doing it on their behalf but they are buying at south no no no that's not true because most of the government officials are those love hotels jacked up overnight playing with some sushi wielding security girl and meanwhile the machines are buying those a jeebies the machines for themselves it's like godzilla lives inside the hole a gram that is the financial markets and he's. eating the entire

old debt as well as service the new debt that would be created from this bond. because for, there are two ways that we are able to do that. one is that we are able to pay off old debt and so we no longer have to pay that debt service and so that creates room for a new debt service, such as this bond, or the earthquake safety and emergency response bond, that the voters overwhelmingly approved on tuesday. and the second way that we are able to do it is because as the property tax base grows, and after some years, where it is slowed a little bit, it is obviously growing quite a bit now that generates more property tax revenue and so with the same property tax rate there are more revenues available to service debts and other needs and so it is always, all general obligation bonds, are served with property tax, and what we do as a city, by policy, not by law, but by city policy we only issue the new general obligation bonds such that the property tax rates will not need to increase as a result. >> thank you. >> you are welcome. >> any other commissioner questions? b

there was a time my bond was $250. so how much was that to bond out? >> $25 >> yeah. >> $25 dollars and you couldn't bail out on that either? so it doesn't really matter how much they set. you're staying in jail, because you don't have the money. >> yep. >> larry is 58. he has been homeless for a decade. >> since 2004, how much time would you say you spent in jail? it's every year? >> every month almost. no, every two months almost. >> really? >> yea. >> the stream, saturday 5:30 eastern. only on al jazeera america. >> the purpose of money bail is to make sure that people who have been arrested ultimately show up for court. but if you drive just thirty minutes from maryland into washington dc, there's a completely different system in place. and yet, out of everyone arrested in this city, almost all of them show up for court. >> judges in washington are allowed to set money bail only if the defendant can afford it. they are also allowed to detain - without bail - anyone they deem too risky for release. the results have been far fewer people spending tim

there was a time my bond was $250. so how much was that to bond out? >> $25 >> yeah. >> $25 dollars and you couldn't bail out on that either? so it doesn't really matter how much they set. you're staying in jail, because you don't have the money. >> yep. >> larry is 58. he has been homeless for a decade. >> since 2004, how much time would you say you spent in jail? it's every year? >> every month almost. no, every two months almost. >> really? >> yea. >> so how does that make you feel about this place? it's almost like a part of your life. >> mmhmm. hmm hmm. >> audiences are intelligent and they know that their needs are not being met by american tv news today. >> entire media culture is driven by something that's very very fast... >> there has been a lack of fact based, in depth, serious journalism, and we fill that void... >> there is a huge opportunity for al jazeera america to change the way people look at news. >> we just don't parachute in on a story...quickly talk to a couple of experts and leave... >> one producer may spend 3 or 4 months, diggi

there was a time my bond was $250. so how much was that to bond out? >> $25 >> yeah. >> $25 dollars and you couldn't bail out on that either? so it doesn't really matter how much they set. you're staying in jail, because you don't have the money. >> yep. >> larry is 58. he has been homeless for a decade. >> since 2004, how much time would you say you spent in jail? it's every year? >> every month almost. no, every two months almost. >> really? >> yea. >> so how does that make you feel about this place? it's almost like a part of your life. >> mmhmm. hmm hmm. >> saturday on the stream. the superstars. >> i love the underdog role, it's us against the world. we have this fight and this pride to play for the country. >> pushing for success. >> we've gone so far forward, the game's really really grown. >> gaining popularity. >> people are crazy for it. >> is now the time for u.s. soccer? >> anything is possible. i believe that this u.s. team, we can beat anybody. >> the stream, saturday 5:30 eastern. only on al jazeera america. >> this, is what we do. >> al

and then 1.02 million would also be increased, revenue bonds, authorization. and so, those are the rest of what you have and we work with the controller's office, as well as city attorney's office, for the red line amendments before you today. and i am happy to answer any questions. >> okay. >> thank you. >> mr. rose, could we go to your report, please? >> mr. chairman, members of the committee, do you want me to go through the entire? >> do you want to talk on all of the items right now or was that your... >> that works, and we are in complete concur ans with that budget analyst. >> okay. >> and ready for the report. >> okay. >> mr. chairman and the members of the committee, initially we brought in items 5 and 10 on page 26, of our report, we know that the puc currently has a remaining balance of 81 million, 259,979 in issued water revenue bonds that are not allocated to projects and so on page 27, of our report, we report, that the total estimated debt service over the 30 year term of the bonds is 533 million, and that consists of 290.4 million in principal,

soldiers who had initially gotten the bonds had to dump them at as little as three dollars for a bond that was marked $100. the vast majority of the bonds quickly ended up in the hands of the speculators. i have to tell you guys -- that was a major part of the research i did here into the whole land speculation business because i could see that was a critical engine of the constitution. bond speculators demand these really high taxes, and those taxes cause the farmers to demand policies like paper money, and policies like paper money freak out guys like madison because they can see what it is doing to the investment climate -- chasing away investors. so people like madison write the constitution to prohibit things like paper money. i knew bond speculation was really important, but as i would start to talk about it, i could see people's eyes kind of glaze over. somehow there are people out there who do not get excited about government finance. i do not know how that is. all this time, i'm working on bond speculators, i was trying to find one guy that i could use to put a face on all th

but we're going to talk bonds now. specifically municipal bonds.part of our week-long series on key investment strategies. last week's pension worries in illinois scared investors. this year, munis are making a come back, and that's why we're going to tell you about them now. i asked doug flynn to help us out. he started by telling us exactly what a municipal bond is. >> as you said, you are basically lending money to a municipality, a government, a state, a city, to do particular projects, and for that they are going to pay you interest, and that's typically tax free. >> and these are bodies that typically can't go into deficits. >> that's right. >> the federal government can go into a deficit, but a state and city often can't. >> that's right. so they could borrow additional funds. there are many different things they can do. and there are some bonds that are backed think state or city. some are insured. these are things that you have to look at if you are going to be buying individual municipal bonds, but the idea is that you are going to give t

there was a time my bond was $250. so how much was that to bond out? >> $25 >> yeah. >> $25 dollars and you couldn't bail out on that either? so it doesn't really matter how much they set. you're staying in jail, because you don't have the money. >> yep. >> larry is 58. he has been homeless for a decade. >> since 2004, how much time would you say you spent in jail? it's every year? >> every month almost. no, every two months almost. >> really? >> yea. >> so how does that make you feel about this place? it's almost like a part of your life. >> mmhmm. hmm hmm. >> i'm ali velshi, the news has become this thing where you talk to experts about people, and al jazeera has really tried to talk to people, about their stories. we are not meant to be your first choice for entertainment. we are ment to be your first choice for the news. we're here in the vortex. saturday, 7:30 eastern. only on al jazeera america. >> the purpose of money bail is to make sure that people who have been arrested ultimately show up for court. but if you drive just thirty minutes from m

corporate bonds really have the ability to convert your bonds into stocks in the event that we have runaway inflation because that way you can preserve your hassett now peter in april i u.s. treasury data showed belgium holding three hundred forty one point two billion dollars in u.s. treasuries and that's caused a lot of head scratching i mean who is the ultimate holder of these bonds but i want to get your opinion what's your whole take on the brouhaha over tiny little belgian popping up as a major holder of u.s. treasury bonds yet this should be raising more than a few eyebrows you know i to me it's too much of a convenient coincidence that jest when the federal reserve started to taper a brand new buyer emerged out of belgium to pick up the slack you know it makes sense to me i was saying for a while that the fed wasn't going to taper because they knew that if they tapered rates would spike and the economy in the markets would go down and then they would have to and taper and they would lose a lot of their credibility so maybe the fed only tapered because they knew somebody was

we have done the two park bonds and the general hospital bond, and the library bond and now, two, emergency earthquake safety bonds and i think that we have been very transparent and very diligent in making sure that what we told the voters we would do, we would do and increasingly we are getting those things done on time, and on budget. and so, i do want to assure you that should you vote to recommend this, that the detail, and the bounds in which to be legally obliged to operate in terms of this being a general obligation bond or very much circumscribed and delivering to the voters what we say we will deliver. >> thank you. >> and any other commissioner comments? >> or questions? >> commissioner dooley? >> i do want to echo, what some of the speakers said about parking. i do think that the push toward transit first, has gotten to a point where it has become anti-small business. and you know, i think that there has to be a balance in personally, i don't really see it. i see it as a push to push cars off of the street and i don't see those places being replaced. >> any other comments? >> do

bond. one is to improve transit and second is to create safer streets. we have a number of categories of projects. can you see here a summary of the expenditure plan. i will go through each of the two goals and some of the projects we could likely see with the funding. so a large part of the inproved transit category to help implement the transit effectiveness project and making the system for reliable for customers, increasing accessibility at transit stops and stations and really importantly to be able to upgrade some of our facilities, some of which are over 100-years-old and have been in disrepair and thereby creating an inessential environment to repair our vehicles and would facilitate working environment to allow those vehicles to get back into service as quickly as possible. we wanted to highlight particularly the transit effectiveness project or muni forward and you can see here some of the key outcomes that residents and riders and visitors to san francisco would experience. this

for hetch hetchy bond and my understanding is that mr. chair that specific appropriation and the sale of the issuance of the bonds will be considered by your committee next wednesday that's my understanding i'll report on that subject including the deappropriation will be issued to the board of supervisors tomorrow i want the board to know it's not included in this specific budget. >> so for committee members we're going to continue the supplemental to next week's meeting so an budget analyst report then. supervisor farrell >> on item 10 is mentioned the appropriation for the clean power sf that's before us today. >> yes. my understanding. >> just our analysis. >> my understanding is supervisor avalos because of the issuance of the bond were not on the calendar that the clerk stated that the items could not be considered until you have the issuance as well as the appropriation that's why we didn't reporting report on it today. >> that's correct. >> members and audience ze we have difference too the department and puc but we'll work with y

if we think bonds are going down, interest rates going up, the machines just say sell stock, go bond.actly how close that correlation should be, but i have to tell you, it's point for point right now. go the limit. contribute to your 401(k) up until the amount that the company will match. that's it. then it's all i.r.a., because it's a much better system, it's cheaper, better and you're in control. stick with cramer. don't just visit san francisco. (water dripping and pipes clanging) visit tripadvisor san francisco. (soothing sound of a shower) with millions of reviews, tripadvisor makes any destination better. >>> we've got tots to some tweets you've been sending me @jimcramer. the first is from john. is your opinion that i should eliminate penny stocks all together? the answer is, absolutely. there's no reason to ever own penny stocks. they're not down there because they're cheap. they're there, because they're worth about what a penny is worth. so let's cut it out. do high-quality stocks that we do homework on. our second one is this one is from ed cochran 18. should yearly versus

is had on bond yields. the the ironic thing about it is that you're absolutely correct the the ten and thirty year yields rose during q e one two and three what if it is essentially did is that it raised the specter of the fear of inflation and incited inflationary expectations which caused the rates to rise at a time when the inflation rate was actually falling and so the very essence of quantitative easing was there for quite a counter productive. there were three papers that were presented to the fed at the monetary conference in jackson hole last august all very distinguished economist using different techniques and they all found that the quantitative easing program of the fed of the so-called large scale as adverse were not macro stimulus and in fact they did more harm than good. now the fed seems to be optimistic that it's medicine will work and that's why it's tapering siri and why the fed is projecting rate increases for twenty fifteen so do you think the fed has been overly optimistic air. believe

the city principle promise they can prosecute a foreclosure that's for the bonded payments. so this shows the revenue we expect to generate call roll on the pipeline we project about $1.2 million that will fund for the public infrastructure and the rest is finance casts of costs it's for $1.4 billion that leaves video. your approving the district for the state law you're required to set a maximum bond authorization and to go back and do that requires a vote of the property owners and we have people not living in the district by future we will so we want to leave room in this case it is needed. today, our approving a legislation not an onions the bonds that will have to go back after the first buildings are up and open not before 2015. in terms of what the revenues are spent open the landscape that are a number of transportation the downtown rail and this fiscal will go that's consistent in the implementation document. as part of this package we'll be adapting a facilities agreement that would state 82.6 percent of the revenues go towards the tjpa project and that is consiste

to improve the pedestrian safety and the emergency response facilities the bond breeders could upgradear water system to improve and ryan white the police department and fire departments and build a medical examiner and build a scenic motorcyclist unit and crime lab praep requires the jurisprudence obligation committee to oversee the fund the 9 member committee is controlled by board of supervisors if you vote yes, sir. you want to law the city to sell obligation bond to finance the seismic ryan white of the emergency response facility if you vote no. you don't want to law the city to accept bond to finance the carbon monoxide and improvement and seismic ryan white of emergency and response facility. i'm here with george the prop a spokeswoman welcome and joined i by the activity and proponent of the measure i'd like to start with opening remarks from each mr. ross one way or another would you like to speak as the proponent >> thank you teaspoonful for having me. my support the prop a and i understand with the mayor the entire board of supervisors progressing and converts and business

madam clerk call items one and two together >> for the multiple revenue bonds for walker drive not to exceed to 25 million plus and the revenue bonds for walker drive not to exceed $23 million. >> and supervisor cowen is the author of items one and two. inspire >> well, good afternoon everyone thank you for hearing those items this are 40 for the alice griffith site in the neighborhood with the help of 0 thirty million choice grant from hud and our partnership with double rock will be transferring this 2 hundred transforming this 2 hundred and 56 public housing site into a denseer more mixed income and integrated neighborhood be aids, abets is an isolated place in our neighborhood after working with the residents for the rebuilding we're finally going to be breaking ground on the affordable housing unit this is long overdue to insure all our residents have safe clean housing and more importantly community. i believe we have representatives from the mayor's office to represent and present on those two items i want to acknowledge the constituents i see 3 that i see wait 4 okay. we've go

it is first thing that they proposed was a $500 million, bond with the lion share going to improving transit service in san francisco. and, the balance going towards improving the safety of the streets for all modes of transportation, as i mentioned this legislation of these two pieces of legislation that are before you for consideration, were introduced by all eleven members of the board, with the support of the mayor and something that you don't necessarily see often, and in city hall and so it is a great show up support that the entire second floor recognizing the importance of these measures this is the break down of the $500 million. and you can see again, the lion share going into the right-of-way improvements, and such as those that are recommended by the transit affected project that was approved by the board of directors earlier this year. and what we used to maintain the vehicles and so that we can modernize them such that we can do the work better and those facilities so the vehicles are spending more time on the streets, delivering service as opposed to being stuck in the

ross is $400 million in bond measures the number that's necessary to shore up our issue. >> with thesight committee all that money is tracked as it is spent and there's recycle oversight of each bond each burglar or dollar of the $4 million is accounted for the city policy is one of the most responsible city policies that we don't bore new money for both sides without closing out outstandingly u outstanding so we pay back and retire the old debt to take out new bonds and by doing so build a new hospital and 12 new libraries without the accommodating the new debt so this is an extraordinarily successful policy. so far as the 4 hundred million 16 hundred million towards the water system and to the crime labs this is critical in the bay area so responding when you have chaos breaking out after the natural disaster and you've got people getting the tools that's why the excessively and the others across the city have saying get it past >> it $400 million the amount you'll spend. >> the issue is not the cost but where the money is coming from we don't think it should be taken off the backs

item 11 an ordinance to appropriate proceeds from revenue bonds, wastewater [speaker not understood] approximately 55 1 million for the wastewater capital improvements and amending ordinance number 108-12 for fiscal years 2014 through 2015. item 12 is an ordinance to approve the issuance and sale of power revenue bonds by the public utilities commission in an aggregate principal amount not to exceed approximately 112 million to finance the costs of various capital projects benefiting the puc's power enterprise, declaring the official intent of the commission to reimburse itself with one or more issuance of tax exempt bonds and ratifying all previous actions taken in connection with this ordinance. item 13 is an ordinance to approve the issuance and sale of wastewater revenue bonds by the public utilities commission in an aggregate principal amount not to exceed approximately 8 19 million to finance the cost of various projects benefiting the wastewater enterprise, declaring the commission's intent to reimburse itself with one or more issues of tax exempt bonds and ratifying previous

at the last commissioner meeting we sold the bonds almost two weeks ago we we hit the manpower and theest of all market value in the municipal bond market it was a combination or really good interest news coming out for the borrowers and a lack of apply in the municipal bond market we sold 22 millions plus port revenue bonds series 2014 they were a series a that's tax exempt and building inspection commission that's taxedable it constituted 19 hundred million and b-2 million 80 thousand that's about a 12 percent to what would that be a 28 percent split pr the transaction is scheduled to close this theirs on may 29th so the sales portion of it is definitely done. the transaction was a progress for us by a couple of people that i would like to mention first and foremost our team eelena additional larry brown and marilyn and a number of other i know i'm forgetting apologizes in advance our consultant were lead by nicholas and company and >> financial advisory were braxton and other we're pleased to have the caliber firms working with us. the offenders were driven by institutions like fund