so we negotiated with them and said, look, because the lda was approved with these excuses we will have to go back and get approval from the board to change that but in return let's negotiate a targeted sort of security provisions that. is what we are presenting to you today. we signed the lda in august to basically set up all the other contractual relationships in time for the events but set out this needs to come back to the board for approval as something that needs to happen after that signing that would authorize these pieces. as noted in the budget analyst report and in the resolution, failure to approve these would give the authority the right to terminate. what we would like is work through the issues and hopefully move ahead with an approval. the structure of the security is well laid out in the budget analyst report, as i mentioned. the primary pieces are twofold. first is amend excuses under force ma injury * as required, which requires subsequent board approval. we structured the potential security under this agreement to actually total amount of $9.8 million, down from the

director of the port would have specific finding to make before they could approve moving ahead with the lda. the disposition agreement. over the course of march through august we worked hard to negotiate the various provisions under the delegation received from the board. as we continue to engage with the insurance markets i think what chair chu mentioned earlier became clear certain aspects of the things is key to insure were not available in public insurance markets. in addition to those dialogues i think we also understood that structurally getting insurance for contract as ours, fairly unique, would be a manuscript policy

as previously reported to the commission, the lda -- this resolution that you have before you would formalize the payment to to the event authority for engineering work for piers 30-32. the port commission previously approved this expenditure in concept. in terms of the new cop repayment, when we came to you with the budget, we did not have our $38.5 million program and the, but not , as well as the duration has been reduced because of this. we will be operating them for longer and there are utility costs and other expenses associated with that. that is reflected as an increased expenditure. the fireboat increased $82,000 in the current year, $50,000 next year and the board of supervisors made several reductions to our operating budget. they disapproved an it position. reduced kw and purchase of a sedyap. the port staff concurred with those recommendations. to changes in the capital budget, since your approval, it's been decreased $1.6 and in the current year up $400,000 in year 2. the primary driver is the reallocation that i already discussed in the supplemental appropriation we did last ye

and 8 c, request approval of the resolution of approval section 3.15 of the lda defining force majuere and the recommending that the america cup project director and the city risk manager purchase owner's delay. >> 8 d. request of approval fiscal year. >> so moved. >> second. >> is there any public comment on the resolutions? >> no. >> all in favor? >> aye. >> number 1270, 1271, 1 12* 72, and 1267 have been approved. >> item 9 a information presentation and the status report on the america's cup people plan. >> good afternoon, president woo ho, members of the commission i'm diane with the ports planning and development division and i just wanted to give a brief introductory remark to the presentation the bulk of which will be provided by peter albert from the municipal transportation agency. it is very fortuitus that monique and they have been planning for the transportation demands for the last year by having both of these events coinciding on the fleet week weekend. it is a great opportunity to test out the transportation enhancement that has been incorporated into the america's cup