the mta did not complete the necessary overhauls. staff would have provided the authority with the explanation of why these overalls were not completed. item seven, this motion was passed by the cac and there was concern that the cac be consistently asked to support the allocation of funds. the full fund grant payment is in place. the authority assured the cac that having the local match was essential to receiving the federal funds. item eight, this item was passed unanimously by the cac. this concludes my report. thank you very much. commissioner avalos: thank you. any question for mr. flanagan? ok, we'll go to public comment. is there anyone from the public that would like to comment on this item? seeing none, public comment is closed. that is an information item. we will now move on to item for. >> item 4. recommend approval of the fiscal year 2012/2013 transportation fund for clean air program of projects. this is an action item. commissioner avalos: this is an item that we have before us last month and we're getting updates. >>

the proposal has it with them getting $150,000 and the mta getting $150,000. pose we amend it to the medallion holder getting two- thirds of the sale price subject to a cap of $200,000. we know that the $200,000 figure has proven a valuable incentive for people to do this under the pilot program and brings the number in line with the pilot program. if we do that with the cap it will stay. the remainder of the money would go to the mta as previously proposed. >> let's get a second on that one. is there a second? >> i will second. >> the second proposal is a similar thing bringing us in line with the pilot project. that is the back end transfer fee. this is when someone sells it. separate from the initial transition. this is one the medallion is being sold down the line. your proposal has a 30% chance for a fee which was blessed by the finance years and it was something that would work financially. i wonder if the goal here is to expedite the sales, complete this transition process. we might want to heed both the programs' previous mark which was tied%. i suggest

to tack on to existing contracts that the state has already procured. mtaent the existing contracts allow for mta to accommodate san francisco's lead with some minor tweaks. this will allow for an expedited procurement process. the total cost of the procurement project is approximately $36 million and it will be funded by fta funds leveraged by prop k. we have a few recommendations i wanted to highlight for the committee. there are approximately $50 million in unallocated prop k funds in the mta vehicle category. these funds are available through fiscal year 2013-2014. the mta has three upcoming procurements scheduled for its hybrids and trolleybuses. the fypp amendment would allow the board to schedule a budget for the procurement as well as the funding plan. this particular program was originally entertain to procure the vehicles for the van ness brt project. to to the timing, it may not work for that project, but two of the upcoming three procurements in the next three years will actually accommodate the van ness brt project. that is something we will lo

you are the director of the mta board of directors. have you ever gone to your computer and typed in a global search, the transfer fee on a medallion in seattle or chicago or boston? have you ever done that? director reiskin: this is your time to talk to us. >> it is nothing close to 20%. the national standard is between 4% and 7%. this proposal plans to keep the profiteering status quo of 20% and act like you are bringing it down. it is ludicrous. it is crazy. if you want people to sell the medallions, they have to have some sort of incentive to do so. $150,000, $200,000 -- that is not enough money to retire on, frankly. it just will not happen. fáwhat is going to happen if you all vote on this is these old guys will hold on to this until the bitter end. the mta is taking too much of a cut. there is no way to retire on that. what do you do when you are 70 years old and have $150,000? what if you live to be 100? finally, to the medallion holders in the room or those people on the waiting list -- put your medallion where your mouth is? y

this will create a revenue source for the mta. eople decry that but there are significant financial needs of this agency including tax enforcement and other changes that will allow taxis and other cars to move about the city more freely. to get to the point that one of the speakers made about the limited impact of service, this will allow us to have a stable system in place as we proceed to the extent where believe in the room -- reform package which is how we can assess whether we have enough taxicabs on the street how to meet the demand and how to meet the dispatch needs. i favor the proposal for all those reasons and would be happy to move at. chairman nolan: as the recession -- a second? discussion? >> i thought a lot about the idea of of postponing this. i am not convince that more time will change a lot of this. the proposal allows for areas i am concerned about. Ñiit is an important item. the drivers fund is something we have not paid nearly enough attention to and we should. i am ready to call the vote. all in favor? oppose

the proposal has it with them getting $150,000 and the mta getting $150,000. i propose we amend it to the medallion holder getting two- thirds of the sale price subject to a cap of $200,000. we know that the $200,000 figure has proven a valuable incentive for people to do this under the pilot program and brings the number in line with the pilot program. if we do that with the cap it will stay. the remainder of the money would go to the mta as previously proposed. >> let's get a second on that one. is there a second? >> i will second. >> the second proposal is a

the program manager for the mta is also available. commissioner avalos: thank you for the presentation. the biggest question i have is what are the conditions for getting the full grant agreement finalized? what is in play to finally come to that decision? >> right now we are in a period which we call radio silence. we know the full funding grant agreement was supported by the fta to the secretary of transportation. we understand it has gone on to the office of management and budget, but as i said, we're in a radio silence. they are really keeping very mum about the process, the way they operate. commissioner avalos: we submitted the application, have not heard back. any communication? >> we heard back that it was approved by the fta, signed off, moved on to the secretary of transportation for his signature. we are receiving indication that the secretary has signed off on it, and it has gone to the office of management and budget. however, we do not have official confirmation that that has happened. commissioner avalos: so september is

medallion holders who want to get out of the industry now, they're offered less money and the mta wantso sell the permits for twice as much. i just think that this whole thing has been a facade and you need to listen to some of these concerns and not just look at medallions of the taxi industry as a revenue source for the mta. it is not serving the public. cabdrivers are not making a decent living if they feel they have no future, there will be less safe drivers. it is a public safety issue. if nothing else. >> thank you. >> good afternoon. in 2008 and 2009, my income dropped roughly 50%. there was a recession nationwide. i and 10 and 11 we picked up something and we were ok. 2012, this year there are no tourists. no europeans in america, no europeans in san francisco. go and look at the taxi stand. they are jammed packed with cabs. over the city taxis are looking for any customers for $5. and you're looking at 300,000, $500,000. i'm not talking about that item. what are you looking? hoover cap is cutting as. business is not there. and your looking to put the hands in my pocket and take

what they have is a permit, still controlled by the mta. still money going into your checking accounts and not ours. i thank you for your time. l!x>> the last person who has turned in a speaker card. is there anyone else who wishes to speak -- director nolan: ok, ok, ok, let's go. >> when i first came up to present, i was a little bit flustered. the whole procedure today was not really clear. i was not aware i would be speaking because i did not see it on the agenda. there is a lot i could say and a lot of folks have already said. as an industry member, as a company owner, i want to say at the very least, you should postpone this vote until next meeting. the taxi advisory council has spent countless hours getting recommendations from people who have spent decades in the industry and know what they are talking about when it comes to what the industry needs. the reason i am asking you to postpone your vote is at the very least, this is the first you have received a draft of our proposal and our assessment. at the least, have a chance to read o

way -- the biggest, the theme of this section really was that the mta have a smaller revenue stream from this program and any revenues that were taken out to have some amount reinvested in the industry for the betterment of the industry. there are issues the industry faces. today, i do not believe any funds have been reinvested in the industry to help it out with its needs. other than that, the change of the surrender fee and the post- transfer fee back to 20%, we're in line with what we have recommended. their numbers that entice folks to sell their medallions and allowed drivers to get to a hundred thousand dollars purchase price, that is a lot of conducive -- incentive. we will leave this of you guys -- up to you guys to make the changes. and the next recommendation is to lower the age. the second recommendation which we took subsequent to the first is to open a sales to anyone and everyone who wanted to sell. this is different from the other proposal were folks above the age of 60 would be allowed to sell. i think the director's recommendations are in line. the biggest departure year

if anything should be turned around, it is the management of the mta. >> jeff johnson. is mr. johnson here? no, ok, christopher fulkerson. >> good afternoon, directors. i would like to make some observations about the political process chorion year. first, i would like to thank the director forxd selecting directr kobayashi. we must realize that today is the establishment is the new george 3. your tactics are deplorable. there are so basic to methods that the public cannot approve, if they know them, that you really ought to change what you are doing. the town hall meetings are an absolute sham. they have never met through any number of town hall meetings that terminate in one week, they all be reversed -- get reversed, at your direction. the tax advisory council has now told you in a structural way that they can no longer go along with a sham. there is not political representation here. we do not have the most basic american freedom. this is really as profound as taxation without representation. you are taking our livelihoods and restructuring the entire way our world works wi

a permanent sales program can be put in place that meets the needs of the industry, the drivers, the mta the public that uses this valuable transportation system. we came prepared to this meeting to offer of some suggestions. they have been proposed in the amendments and we prefer those amendments as proposed. the other amendment that we would like you to consider is to look at a program to provide downpayment assistance to those that are purchasing medallions. having strong industry support and readily available market for purchasers will strengthen the loan underwriting process and we urge the board to carefully consider the amendments as proposed. thank you. >> next speaker, please. >> i would like to commend the director for being opened to thd and i concur completely with those proposed changes. i think that the outrage has been simmered, that was caused by the initial proposal. the old saying if it ain't broken, don't fix it applies here with some minor tweaks. we strive=v quite hard to comep and put the pilot program that it was rolling really well. i do not think that we need to

i think that the mta is so desperate for money they will take it from dubious sources. asically, the 11 south van ness compound and its employees have to start thinking outside of the muni bus. it is unfortunate. basically, maya understanding is that the revenue will go to the -- my understanding is that this revenue will go to the human rights commission. basically, it is blood money. the mta has nothing to gain from this ad. and now you have public protest in a town hall meeting. let's hope this never happens again. the anti-defamation league, the interfaith council, everyone is concerned about this. mr. be a lesson to all of you. you have to get money -- this should be a lesson to all of you. you have to get money legitimately. and you cannot get it by a taxicab drivers or installing parking meters all over the city. there has got to be a better way. maybe a basic -- a better way would be to break up the municipal transit authority as a separate body and have the municipal railroad by itself. [tone] and that way you can generate money independently >>. >> and the form