mr. updike. supervisor mar? >> yeah, i wanted to just comment to mr. updike, i'm realizing also in reading the budget analyst report, reviewing it more closely, that it not only department of public works building inspection and planning, but it looks like it's also the retirement department and health service systems that would be consolidated into more centralized location. and given how much the rents have been increasing commercial property i'm seeing the tremendous benefit to the city for those. i did want to ask, the head of mayor's office and housing is here. i know the 550 units proposed and 110 below market rate is cited a a goal. and i know that we're looking at middle income residence as well. but i'm wondering if you can comment on the tremendous need for below market rate units and what you're doing to ensure that we're going to have enough to that, for example, workers from good will would be able to afford to live in the building they used to work in. >> supervisors, olson lee, director of mayor's office of housing. as director updike men

mr. updike. no other questions? mr. rose, we'll go to your report, please. >> mr. chairman, member of the committee, a shown in table 2 on page 8 of our report, dph will pay empress between 7 million 9 47 069 dollars to 8 million [speaker not understood]. that's over the course of the first year lease extension. we recommend that you approve the resolution. >> okay, thank you very much ~. no questions, we'll open this up to public comment. anybody wish to comment on aye item number 2? you don't have to raise your hand. please just come on up for public comment. >>> [speaker not understood] public comment. in doing this structure wise, [speaker not understood]. [speaker not understood]. historical tradition of [speaker not understood] city beautiful forever for you. >> thank you. anybody else wish to speak in public comment on item number 2? seeing none, public comment is closed. [gavel] >> motion to send this item forward? >> yes, i recommend we move approval for the extension of the lease for th

mr. updike. okay, no questions for mr. rose, we'll move to your report on item 15. >> yes, mr. chairman, supervisor mar. on page 58 we know the total rent over the ten-year lease term is 35,256,045. that's shown on table 2 of page 59 of our report. we also report, supervisors, on page 60 that in the first three years of the lease the sfusd and hsa will also spend up to $6 million on capital improvements. sfusd will contribute up to 3.5 million and hsa will contribute up to 2.5 million and that's described on page 60 of our report. we recommend that you approve this resolution. >> okay, thank you, mr. rose. no other question, we'll open this up to public comment. anybody wish to comment on item 15? seeing none, public comment is closed. [gavel] >> supervisor mar? >> yeah, i just wanted to thank mr. grasielli, the chief operating officer for the school district. i know the ten years i was on the school board, the cleaning up of the fiscal health of the school district really it's like night and day compared to 10, 15 years ago in the school district. but i think this is a great w

mr. updike ha already stated, that this legislation would authorize nonrefundable payment of the city $1 million toward land acquisition costs and up to 250,000 for initial schematic design costs. on page 81, we have our recommendations. we recommend that you amend the proposed resolution [speaker not understood] prior to the date the board of supervisors must endorse the purchase and sale agreement on october 31st, 2014. and that report should provide details on the space requirements of the city debtsv and the proposed uses such as training board room, space for occupying the new office building, including long term staffing [speaker not understood], also explain the option for big filling [speaker not understood] allowing them to relocate to the new office building and provide details on the space requirements and recommend poe tension project alternative if the increase in space is not required by dpw, dbi, city planning or other city departments slated to occupy the new office building and describe the real estate [speaker not understood] to be a policy matter for the board of super