i am connie chu. with me, we have supervisors kim and avalos, and we have people from sfgtv and clerk young. clerk young: -- supervisor chu: please call item number 1. clerk young: do except and expend a grant for the kindergarten to college program participant incentive funds. supervisor chu: we have someone with us. kreskin afternoon. i am with the office of treasurer-tax collector. the i come before you is for a grant in the amount of $190,000 for the students to participate in the kindergarten to college program. there are currently two programs. one is a $100 bonus to the students and their families if they set up a direct deposit into the account and have acted for at least six months. these are privately raised funds that are matched by $50 war all students and an additional $50 for those students who are participating in the free and reduced lunch program, and i am happy to take any questions. supervisor chu: i am wondering if you can share with us at the experience so far. >> there are a lot

supervisor chu: ok. and if i can ask the other folks to look at that language with supervisor avalos. supervisor kim, would you like to speak to 337 supervisor kim: yes, i would like to remove references to lot 337 and the attention to the waterfront in the financing district. supervisor chu: thank you. i believe that is a motion to remove item number five to remove any references of seawall lot 337. we've had that motion. is there any conversation to that? do we need to roll call or take that without objection? we can take that without objection. that has been removed. on the recommended action, i believe it's item number four, that would require an amend -- amendment to the resolution on item number four. it would be to amend the resolution to add the following resolve clause -- further detective the executive director to provide a progress report to the city controller and the budget to the board of supervisors prior to the commencement of any work which include the real state transaction and the seis

commissioner chu: ok. if i could ask if there are any comments for this amendment at this time? ok. if we can take the two motions separately, i would like to be able to vote on them separately. commissioner avalos: i will have more. i will have about four. commissioner chu: what i am saying is, two pieces to this motion. there is a component that speaks to adding the language that specifically laying out the obligation to reimburse authority under the clause, shall be limited exclusively to revenues derived by the following sources. that is the first portion. colleagues, specifically, to the voting members of the committee, there is a motion to add a resolve clause 2 item number four, that would take the recommended action on item number two and incorporate that language into the resolution. that is the motion. i would be supportive of that. do we need to do roll-call? that motion carries. there is the second portion to that, which is to indicate -- can you repeat the language? commissioner avalos: the la

chair chu: thank you. next speaker, please. >> willie radcliffe, from the bayview area. high and i was used to the other and that was going, and, of course, it did not work either -- i was used to the other. especially with the proposition coming up with the banks, and it does not seem that anything is going to happen there. we really need to get behind money out there to help businesses, and construction businesses. you can do things for bayview hunters point, but they will not have money to spend. the problem right now, we do not have enough people employed in the neighborhood to support the businesses. we have a huge problem with foreclosures going on, and they caved in to the banks to start with. the bank of america, another, union bank. it should include lending for businesses. why should we give them all of that money? we still suffer. no one in the city can borrow money unless you are already rich. that is something the city can do if we come up with enough courage. i just feel that, you

supervisor chu: thank you. supervisor avalos: just one question. office of economic and workforce development, i feel like the idea of this program, the concept is something that is important in terms of being able to restores our commercial corridors and small businesses in san francisco. i just feel that for bringing $1 million in, 51 jobs, it does not seem like it would be able to create a lot of jobs for $1 million. before we come to that realization, i was releasing not a lot of parts of this loan coming to districts like district 11, the sun set, even though the average is done. we do not have the model that meets the requirements for the first language that is not english. we do not have the environment that would be welcome to the merchants. the folks on ocean avenue help to build those relationships. in terms of how we can create a revolving loan fund, and how it can serve businesses along a corridor. i have been to ones in other districts and have seen how they are successful. it seems like a differen

supervisor chu: thank you. >> ok. good afternoon. the acting director of real estate, i am joined by maureen gannon. the property before you under lease is 1740 folsom. i have on the overhead a shot of the property on folsom. with parking adjacent. you can see where it is just south of the freeway. a look of the configuration of the property, because of the unique nature, you concede the frontage where the building is and the parking that lies in the long dated portion of the -- elongated portion of the l. this is a five-year lease extension for the property of the shareeriff's department. the current term expires in june of 2012. the current rate paid is $23 per square foot per year. everything is delivered with that raged except for electricity. the new rates that we have negotiated is $25.18 per square foot. that escalates $1 per square foot per year for the remainder of the lease. in comparison to the market, here is a quick chart on the overhead for you. you concede that this compares favorably with those in the area. some of wh

supervisor chu: it looks like this is being paid for primarily through funds as well as transit oriented development. >> that is correct. supervisor chu: and is there any new staffing that will be hired through this grant? >> i am not certain of that at this time. with respect to the mayor's office on housing, i am not certain. supervisor chu: it looks like it is not, given that it is a resolution. there is no budget analysts report with this item. if there are no questions from the committee, why do we not go to public comment on other members of the public to wish to speak on this item? seeing none, public comment is closed. supervisor avalos: motion to approve with a recommendation. supervisor chu: we have a motion to approve with a recommendation, and we will do that. please call items number five and six together. clerk young: item number five, approving a lease of approximately 9000 square feet with a rent of $25,597 per month, and sublease of 575 polk street, with the judice to counsel of cali

supervisor chu: thank you. i would rather be a hammer the nails. [laughter] >> that is -- rather be a hammer of van a nail. -- than a nail. [laughter] >> good afternoon, supervisors. the basic craft proposal must be commended. i am disappointed that i never got into -- there was a disagreement over the semantics of good faith and mandatory. i believe that we can still make this work. good faith is a failed policy. i am not so confident that it will work on this particular project. but i will leave that up to you. i am positive that discussions will come out of it to benefit all involved. thank you. supervisor chu: thank you very much. next speaker, please. >> been afternoon. -- good afternoon. you have heard in the discussions that there are public works projects on going, such as pierre 27, and significant public resources being committed. specifically on their website, stakeout financing for being necessary to the actual village and spectator seating that is constructed. as a lawyer, i was very interested in

supervisor chu: thank you. we have john updike. >> thank you, chair chu. i am mr. r updike. -- mr. updike. the highlighted area is the location of the city, city hall located here, so we are just a couple of blocks away from city hall. so in 1990, the board approved the initial 10-year lease for courtroom, a minister in offices for superior court, and that was extended for an additional 10 years in 2001, with the current landlord, the mattison family trust. there are offices and one conference room that make up the 9000 square foot space. the month has been on hold overs since july 2011, while negotiations with both the landlord and be administrative office of the courts have progressed to a point that have produced what is before you today. in 2008, to give the background on what you have what you have in front of you and the way you have it, the board approved the state mandated court to transfer agreement between the city and they -- the aoc, subject to things that may impact the property, like this lease. u

supervisor chu: thank you. i am sure we will have some questions, but before that, i want to go to the budget analysts report. any questions at the moment? sir? >> on page 8 of our report, we point out as shown in table 1 the total cost of the proposed 575 polk street least to the city, and that would be over the lease, over $3 million. that is for the continued operations of the 575 mes -- least -- lease. i would point out on page nine, as you know, the rent has been funded from the courthouse construction funds. there is a deficit in that fund, and what will happen is that the general fund will kick in to pay for the rental costs if that fund continues to have problems. we have no recommendation about that. i simply wanted to point that out to the supervisors. on page 10 of our report with regard to the expansion option, as shown in table two, the rent and operating expenses for dph at 555 would be over $2 million, and that would be for the continued operations of the community justice center. on page 11 of o

supervisor chu: we will do that without objection. item two, please. >> authorizing the issuance of a revocable permit by the san francisco public utilities commission to union sanitary district for the improvements to the regional water supply system, otherwise known as project # cuw35302, for pipeline numbers three and four for a term in excess of 10 years. supervisor chu: we have a representative from the puc with us. >> good afternoon, members of the board. thank you for hearing this item today. i am the project manager with the san francisco public utilities commission. the resolution before you authorizes the sfpuc to enter into long-term permit with the sanitary district to relocate as part of the seismic upgrade of the pipelines 3 and 4 project. it is one of 86 projects under the puc water system improvement program established to seismically upgrade the aging water transmission and distribution system. this project would upgrade two pipelines, three and four in the city of fremont. an innovative pipeline system will be instal

chair chu: the, and welcome to the regular meeting of the san francisco budget and finance committee. my name is carmen chu, and i am the chair. joining us today include supervisor avalos and supervisor kim will be coming later. our clerk today is victor young. we also have people from sfgtv. could you please read? clerk young: -- chair chu: item number one. clerk young: i number one, a permit of a north feasting wall sign. >> when the city required the building, it also assumed all of the existing leases and permits on the building, which included a lease with cbs outdoor. they then sold the space for uses such as the one i have on the overhead now. that continued until that particular lease expired naturally on march 31, 2011. knowing that that expiration was coming forward, and knowing the regulations relative to advertising on city property, the city issued a request for proposals from outdoors signage companies in the spring of 2011. this request specifically excluded advertising for alcoho

supervisor chu: thank you. let's open this item up for public comment. are there members of the public who wish to speak on this item? >> yes. my name is mark, and i represent craft, the new mission -- business being billed as 440 mission street in 1930-historic building directly across the street from a new transbay transit center, which is going to be ready in about 2017 and is now a big hole in the ground. however, we have applied -- my client has applied for a type 40 abc license, which authorizes the sale of beer only. note wine or spirits music -- may be served on the premises. and light meals must be served. our business plan calls for the craft to serve craft beer from small independent breweries, using traditional ingredients. specifically, this location will have 40 tap beers and 40 bottled beers available to the public. this craft beer movement is strong in cities such as portland and san diego, and it is becoming larger and the rest of the country. san francisco is in a region surrounded by small cr

supervisor chu: that is coming this week? >> apartments are submitting this week to the comptroller and the comptroller will submit to the mayor's office next week. supervisor chu: it looks like you are requesting 5% ongoing reduction that will carry through to 2014 as well as an additional 5% in the second year? >> that's correct. we have already spoken about these uncertainties that exist, so the economic recovery continues to be an uncertainty. what happens with the state and federal budget with realignment and other reductions that are proposed. as well as our pension and health benefit costs. as i mentioned, we are negotiating with 27 of the 29 labour unions. that will be an uncertainty for us. supervisor chu: on the health side, typically we have had health rates set for the entire year. this year, we had a short years so we had the negotiations? >> we will have certainty with the first six months of the year, but for the second half, we will be making our best assumption of what the cost will look like. as i mentioned,

supervisor chu? supervisor chu: y -- aye. >> the motion passes. supervisor chu: are there any other items before us? >> that completes the transactions. supervisor chu: thank you, we're adjourned. >> he has a way about him that brings people in and seeks to involve the people of san francisco. that is what we need. the polarization and san francisco does not benefit the people we are about to help. they need compassion, support, and they need us to work together to build a system o and employment and drug treatment and family building and all of those services that will enable us not to pay so much money on the back end. what you are doing is spectacular. i am humbled to be with you. i am excited the mayor has me this opportunity to work with great people to do this work. believe me, the best is yet to comment. thank you so much. [applause] >> this is only his third day on the job. thank you for coming out. it is exciting to live in a cityç really believe in changig chrysostom of care with homelessness. -- changing the system of care with homele

supervisor chu: $50 million? >> yes. supervisor chu: thank you. let's open this item up for public comment. are there members of the public that which to speak on item number two? >> good afternoon, supervisors. i am with the san francisco bicycle collision. we are very supportive of the public realm plan and the jefferson street project in particular. you have heard all of our reasons. basically, there was a gap in the bay trail. right now, you can rent a bicycle at one of the many rental facilities that are there, but you cannot bring it back to the bicycle rental company. which is frustrating. it is probably the densest bicycle rental market per square foot in the western hemisphere. more are being rented -- rented there that i know of. by itself, it is an enormous economic engine as a tourism industry aspect. based on that area of the business, this is an important investment. it will be important for the america's cup, important for all sorts of reasons that we move people through their. i totally agree with all the points on equity. we have

chair chu: thank you. if there are no questions at this time, why do we not go to the budget analyst's report? >> we were advised by mr. rosenfield at today's meeting about the potential question regarding the $2 million. we were friends that at the top of page 5 of our report from the event of 40. they were to reimburse up to $2 million in actual expenditures related to the shoreside power relocation. i would recommend the fact that given there are other uncertainties, it be placed on the budget and finance committee reserve, that $2 million, and i think the committee would then get the total clarification whether or not that is going to be paid or not. regarding the fiscal impact, we point out on the bottom of page 5 that the funding sources for the entire cruise terminal project, phase one is $62.30 million, and the funding sources are identified in table two, the attachment of page 9 and the report, and the actual budget for the expenditures of the 27 cruise terminal project is $93 million, and that is

supervisor chu, aye. president chiu, aye. president chiu: if we could item -- recall items 20 and 21. if we could intertwine -- entertain a motion to rescind. our votes are rescinded. and now i could entertain a motion to continue items 20 and 21 to the 27th of march. motion by supervisor chui and seconded by supervisor avalos. if we could take that to continue without objection, that shall be the case. madam clerk. please read the in memoriams. >> today's meeting will be adjourned in memory of the following individuals. for the late mr. chang and for the late mr. hodgson. president chiu: does that include our business? >> yes. president chiu: ladies and gentlemen, we are adjourned. >> the right to vote allows us to vote for candidates or party and it is a significant way to have our voice heard. exactly 100 years ago, women were given the vote in california. the battle for women's suffrage was not an easy one. it took more than 70 years. a woman could run for president in new york. >> organizing this conference, basically it

supervisor chu: thank you. a question for our folks. is there a condition that we might be able to add on to the list that would be able to accommodate this? i do now see any problems with what you're describing, but i would hate to see people be able to bring a beer and perhaps open and across the street at the park. if that becomes a problem, given the fact we have limited resources, is there something we can say about the size of the containers that are permissible for off-sale or that we would not permit the provision of cups with ice, those kinds of things, to make sure we do not have a problem? >> we could eliminate their privilege to do off-sale if that is something you want to consider, or we could limit the size of the container to so many ounces, whatever ounces, 22 ounces or whatever size we feel is appropriate. we could certainly do that. supervisor chu: i would actually prefer that we do not necessarily eliminate the option for you to sell, but i would like to have restrictions that would give us s

supervisor chu: thank you. are there other members of the public who wish to comment on item number three? seeing none, public comment is closed. i do not believe the housing trust or any of those items are necessarily included at this moment. i believe that is something that is in discussion. given there are no questions, can we entertain a motion to continue to the call the chair? we have a motion to continue. we will do that without objection. thank you. items 4 and 5. >> resolution adopting california environmental quality act findings, a statement of overriding considerations, and a mitigating monitoring and reporting program for the 34th america's cup events and approving the project, waving termination rights but the city and a the compost and the new agreement, approving the development and disposition agreement between the city, through its port commission and the america's cup event authority which also amends the host agreement, approving a memorandum of agreement regarding the city and the event aut

supervisor chu: thank you. why don't i open this up for public comments. there is no budget analyst report for this item. if there are any members of the public who would wish to speak on item number one, please come forward. seeing none, public comment is closed. to supervisor avalos's question -- >> the answer is that the one- time and nonrecurring revenue speaks to general fund revenues. it specifically excludes from the revenues that are otherwise restricted for other legal reasons, state, federal, or local laws, to a different purpose. in this case, we have a legal request. it is binding upon the city on how we can use these funds. it is physically requires us to use it in a certain way. that means it does not flow through the general fund. therefore, it is not subject to the recurring revenue policy adopted. supervisor chu: thank you. it sounds like in some categories of expenses that can be paid for through this fund, there are items are categories within what you can spend it on that can be one-time in

supervisor chu: thank you very much. next speaker, please. >> good afternoon. i am walter. ♪ if i could, i would like to be a great big american workforce man we would have a great big budget and an amended plan i would call a meeting for the press to let them know these things i do because we need good work force from you because we need good work force from you i am just america's cup work force of man doing everything the best i can if i could i would give the america's world cup budget to you if i could i would like to be we need good work force from you and i hope it comes soon i hope it comes before june these things i do because we need good work force from you these things i do because we need good work force from you supervisor chu: -- from you ♪ supervisor chu: thank you. and i would rather be a hammer the nails. [laughter] >> that is -- rather be a hammer of van a nail. -- than a nail. [laughter] >> good afternoon, supervisors. the basic craft proposal must be commended. i am disappointed that i never got into