it's not my budget. it's our budget. i will spend every day and hour i can to find the best solutions that i can. i have some really keen brains here. they are very smart people. they are very dedicated people. they are going to work really hard with me as to how to bring the best, highest level of services, culturally competent services, services to every neighborhood, and still try to balance the budget with all the things you been reading about and hearing about the enough speeches. tonight is about listening to you. thank you very much. let's get the road show started. [applause] supervisor campos: thank you, mr. mayor. we assume that by your presence here, if there's any surplus, district 8 and district 9 will be the priorities, i imagine. [laughter] let me introduce the department heads that are here. before we do that, i want to acknowledge supervisor carmen chu, chair of the budget committee. i want to thank her for her presence and for also having a truly transparent budget process. thank you, supervisor chu. [a

but their budget has it. their budget has it. mr. president, our former colleague and now the vice president of the united states, joe biden, when he was here as a senator he said something i think very savvy one time. he said don't tell me what you value, show me your budget, and i'll tell you what you value. well, mr. president, my friends on the other side may say in public they want to prevent the student loan rate hike, but their actual budgets tell a very different story. likewise, they're ongoing filibuster of our stop the student loan rate hike act tells a different story. again, they've blocked us from proceeding to the bill. if we had proceeded, we could have had a serious discussion about how we pay for it. they could have offered amendments to the bill that we could have voted on. but instead, they chose to obstruct the entire process and yet we peteedly on had this -- repeatedly on this floor republicans one after the other said they want to stop the increase in interest rates from going to 3.4% to 6.8%. don't tell me wh

typically, those preparations occur in the budget so you may well see this as a source in the budget to fund specific uses. sometimes those are capital and sometimes their technology, sometimes they're operating improvements that involve staff. it could be a host of different uses. supervisor avalos: the difference between $18.30 million and 9.69 is what was budgeted? >> it was what was left over from the prior year that was not necessarily spend in the current year budget, correct. so the bottom line, there is more detail in the report itself is a $43 million improvement. as they work to balance the next two years budget. the budget director can provide some greater context for how this fits into the budget balancing conversation. supervisor chu: think you. -- thank you. >> good afternoon, supervisors. kate howard, mayor's budget director. i have an update budget for you and you have a copy of the hand out in front of you. just a reminder for everyone, a few notes about our overall budget so -- we are combining city and county. the budget is $6.80 billion. about half in the general

budget. all those expected today before 4:00 eastern. you can see the senate live on c-span2. up next senate environment and public works committee chair barbara boxer said she is optimistic the house and senate conference committee will come to a agreement on a conference a -- surface bill. this will be weekly update on the bill's progress until work is done. just over 15 minutes. [inaudible conversations] >> hi, everybody. i want to complete this before i have to go down for the next vote. at the opening of the surface transportation bill conference on may 8th i said i did regular updates and so here i am to talk about progress. i am not going to be addressing specific negotiations between the conferees but i can tell you we have moved have the organizational stage and had 20 hours of meetings staff to staff and we are now working on the substance of the bill. staff has been meeting every day on all the issues. we broke down into groups roughly center around our committees. for example, obv

budget. in the budget this year and last year. supportive of a youth fare program. about $1.4 million per year. we instructed the financing plan for this pilot, to use those funds and the other funds that would not be coming to muni, so that we can do this with no really increased adverse impact to our operating budget. deliberations with regard to the county sheriff funds well happened next month. i think on june 13. then we will be at the full commission at the end of june. i want to commend supervisor campos for his leadership on this and the various community groups working on this. it was very much a grass-roots effort. many hours of public testimony at mta board meetings. i think we arrived at something that is sensible and workable, and it raised to us the issue that our general policy of offering discounts based on age or disability versus based on ability to pay, it may not make the most sense. right now, for example, in low income adult pays $31 for a fast past a high income youth p

your budget, as represented in the high-level graphic format, shows a flat budget. just to understand the nature of how that is growing, is it strictly the fact that certain benefits are going up? raises are kicking in. what is that related to, trying to understand that piece of it? going forward beyond this year and out words, what is the department's strategy to help the city as a whole managed expenses? just having a status quo budget is not going to work for us in the long term. i want to understand how the department might be helping the department of public help manage their expenses and be part of that partnership. i think that is what we were hoping in this presentation. >> the fact is this budget was presented before i became sheriff. i am trying to work backwards from it to into the questions you are talking about. unfortunately, we have not gotten to that point yet. staff will hopefully provide as the analysis we need so we can work out with that. in terms of staffing the jails, there is a comprehensive classification system. i would be happy to present t

we're doing two-year budgetting. we want to put in a lot more fiscal disciplining so when you see that we make investments, hopefully, you'll see the programs come out. many times, there's been years where there are problems made but you never saw the programs. you never saw the brick and mor tor come up. we need to do better fiscal planning and that's been where i've been emphasizing and doing a better planning job with the board of supervisors and with all the different agencies. you know me. we introduced a 10-year capital plan. put in a lot more discipline so when your property taxes are at work, whether it's rebuilding a general hospital or playgrounds, you can see when they're supposed to get done. and then we promised not to raise your property taxes when we use the bond program to fund other things that you care about and you tell us that you care about. same thing with our budget. we have $175 million deficit. we are going to buy law, but also by our very commitment to you, balance that budget and when we do

there is also a series of budget hearing before the budget and finance committee. in order to have an effective meeting, we want to lay out a few ground rules to help guide the conversation. as a teacher, i understand that. you have to stay on subject. all ideas and perspectives will be heard. all of us will be respectful of one another. we are going to speak when that time. we have translation equipment. what do they do? it it -- is it over there in the back? ok, i see them. first, so you know where we are, we will have a budget overview by cindy. >> good evening, everyone. thanks for having us. i will be giving just a quick buck -- budget overview of where we are at in our budget plan for the year. these are very high tech, as you can see. we have in the city of san francisco a $6.8 billion budget. that was our adopted budget last year. to put that in context, about 52% of our budget is what we call enterprise funds. there is our funds were there is a dedicated revenue source that can use -- be used for certain expenses. for example, your water bill can only be u

in the current year, and in recent years, the mayor's budget and the budget that the board has adopted as included a reserve for state reduction, and i would expect that we would include a similar reserve this year, given the uncertainty associated with this. i think the programs that are most likely to be affected by state cuts are the in home supportive services program, which provides services to older adults and disabled individuals, as well as the calworks program, child care programs, and then some metical -- meddical -- medical programs. chairman chu: you talked about the reserve for the state in packs in the upcoming year budget -- reserved for the state -- you talked about the reserve for the state impacts the upcoming budget. >> this is something we were discussing before i came over here. i would not expect it would be smaller than the $15 million we have in the current year's budget. in addition, we have talked with you about another $15 million in cuts that we know we are going to face related to the laguna honda hospital reimbursement rates, so we will include debt reduct

and the budget team and mayor lee in the board of supervisors, we thought that this format of budget town halls in many districts around the city would make a lot of sense, and i think it has been a very good way for us to have feedback. without further ado, i would like to introduce my co-host for tonight, who is my neighboring supervisor from across the van ness, supervisor mar farrell. it is great to have you here in district 3. [applause] >> thank you, supervisor chiu. i also want to quickly thank everyone the for coming out tonight, especially those from districts two who traveled all the way from the telegraph hill. that is right, go ahead and clap for yourselves. thank you for coming out tonight. last year we started this with mayor lee, and i do think this has become such an integral process and kind of part of our budget cycle in city hall. we really want to hear from you. tonight, that is what this is all about. i hope those of you who are here will take the time to write in your questions. i know there is a format here to come up and speak. we have the best moderator in to

beginning of the budget process. for today, we want to make sure we get the most out of it, so we would appreciate if you could stay on a subject and be respectful of one another. let us remember that we all chose to come today. that shows that we care about our city and this place that we choose to live in and call home. let's move forward in that spirit. >> hi, everybody. i am the mayor's budget director. thanks for having us here. i thought i would do a brief overview of the budget. many of you know how the process works. you have a basic understanding of our budget. i do have a few diagrams to walk us through what we are talking about and we talk about the budget. that is really are a city's spending plan for our priorities, how we will spend money each month and each year, and for the first time, how we will spend money pour the first two years. the city budget is $6.8 billion a year, a big number. half of that is in the city's general fund. the other half is in the enterprise fund. the way i like to think about

budget. that is about $900,000 cost to the that is something that probably would have proposed even without that. but we do need better fare inspection to the commander a sign from the police department who oversees that unit, among many others, has done an outstanding job of restructuring that units, which is the approach we will bring over to the parking enforcement as well. we have much more productivity, much more visibility of that unit, but we felt that we needed more resources there. but we do also anticipate higher fare revenues as a result and high your citation revenues. we have budgeted sum increases on both of those line items. in the case of parking, we're seeking higher fare revenues. we do not want to be citing people for not paying. we want people to pay the way they're supposed to. based on the existing changes and the existing increase visibility and adding on 10 more fare inspectors, we think we will have a better fare compliance moving forward. some of the transit fare inc

our of last year's adopted budget was $6.8 billion. half of that is what we talked about as being the general fund. half of that is what we call enterprise funds like the airport, the mta and some other smaller departments. those departments have their around dedicated revenue streams and are responsible for balancing themselves within their own budget and revenue streams. the other half is what we call the general funds. that is what we are talking about when we talk about the deficits the city has. we are really talking about the general fund deficit. that is about half of our budget. what do we spend the general fund money on? we spend it on a lot of services and priorities for the public. we spend it on the social services. we spent our public safety department. we spend it on streets and infrastructure and making sure we are meeting the priorities and values of our citizens and making sure our streets are safe and comfortable for all are residents. where do we get our general fund money? we get from our tax revenues, from property

the most important parts of this year's budget -- this is the first of a two-year budgeting process we rolled out for the entire city. this is something new that we will all be learning from in this year's process. to, we want the department to talk about capital needs that will help to inform us about what we can expect with your budget's going forward. we want to know about any changes, reorganizations are things we need to know about happening in your departments. to other areas that i think many of us have shared interests in for the departments to highlight to bring these topics to the front, the issue of jobs and the economy. how is it that apartments are helping to make sure they are improving the economy going forward? where the summer youth opportunities the departments are helping to contributes this year? we also talk about access for all communities, in particular, language access, making sure we're serving all of our residents, regardless of their ability to communicate in english. i want to hear from apartments to hear about what they're doing to provide linguistically se

in terms of how we budget, approximately 91% of our budget is set aside for the salaries and budgetsf our department members. we're challenged in terms of making sure that with the other 9% we are vigilant in how not be spent it, including an area of functions, like fire statement -- fire station may minced. we have 50 facilities that repair and fuel vehicles and perform all administrative functions in the apartment -- department. the work orders, they generally have work orders to central shops for maintenance of our vehicles and apparatus. so, just going over the major budget changes for the next few fiscal years, there are three bullets of the main changes. we are happy to be we staffing engine 35, at the foot of harrison and the embarcadero. we had deactivated the staffing at that station for the last three fiscal years. we are proposing to reopen that and staff it with a fire engine crew beginning in july 1 of this year. second is the restoration of the department's exclusive operating area, which deals with it ambulance transport here in the city and county. as you know, for th

this is the first part of a two- year budget. what to set a good time to make sure that all departments are covered. >> madam chair, members of the committee, the department's budget actually only increases by only $9,000 in the first year and then another $14,000 the next year. we do not have any recommended reductions for you on this proposed budget. supervisor chu: thank you for the presentation. moving on. rent board. >> chair, supervisors, the executive director of the rent board. i'm sure it'll come to no surprise to you that we concur with the recommendations of the budget analyst, because there were none. in response to the question that you posed to us, this is the first year of the rent board's two-year budget. so we will be seeing you at this time next year. the major expenses for 2012, 13, 14, we expect to remain the same. our proposed budget for 12-13 is approximately $6 million, an increase of 0.8% from this fiscal year. that is due to mandated celebrate increases and -- salary increases and fringe benefits. the bal