00:00:10 . >> GOOD AFTERNOON THE MEETING
00:00:13 WILL COME TO ORDER. WELCOME TO THE MAY 6TH, 2026
00:00:15 MEETING OF THE BUDGET AND APPROPRIATION COMMITTEE.
00:00:18 I'M SUPERVISOR CONNIE CHAN, CHAIR OF THE COMMITTEE.
00:00:19 I'M JOINED BY SUPERVISOR DANNY SOUDER AND SUPERVISOR SHANNON
00:00:23 CHEN. >> OUR CLERK IS BRANT HALPER.
00:00:27 I WOULD LIKE TO THANK JEANETTE ATKINS OF FROM S.F. GOV TV FOR
00:00:34 BROADCASTING THIS MEETING. >> MR. CLERK, DO YOU HAVE ANY
00:00:38 ANNOUNCEMENT? THANK YOU, MADAM CHAIR.
00:00:39 JUST A FRIENDLY REMINDER TO THOSE IN ATTENDANCE TO PLEASE
00:00:42 MAKE SURE IT SOUNDS ALL CELL PHONES AND ELECTRONIC DEVICES
00:00:45 TO PREVENT INTERRUPTIONS TO OUR PROCEEDINGS AND SHOULD YOU HAVE
00:00:46 ANY DOCUMENTS TO BE INCLUDED AS PART OF THE FILING SHOULD BE
00:00:50 SUBMITTED TO MYSELF, THE CLERK PUBLIC COMMENT WILL BE TAKEN ON
00:00:54 EACH ITEM ON THIS AGENDA. WHEN YOU'RE AT A PRIVATE TRUST
00:00:57 COMES UP AND PUBLIC COMMENT IS CALLED PLEASE LINE UP TO SPEAK
00:00:58 ON THE WEST SIDE OF THE CHAMBER TO YOUR RIGHT MY LEFT ALONG
00:01:02 THOSE CURTAINS. AND WHILE NOT REQUIRED TO
00:01:05 PROVIDE PUBLIC COMMENT WE'RE DOING INVITE YOU TO FILL OUT A
00:01:06 COMMENT CARD AND LEAVE THE MONTH TRAY BY THE TELEVISION TO
00:01:09 YOUR LEFT BY THE DOORS IF YOU WISH FOR YOUR NAME TO BE
00:01:12 ACCURATELY RECORDED FOR THE MINUTES.
00:01:13 ALTERNATIVELY PUBLIC COMMENT CAN BE SUBMITTED BY WRITING
00:01:16 IN EITHER OF THE FOLLOWING WAYS HE CAN E-MAIL THEM TO MYSELF.
00:01:20 THE BUDGET AND APPROPRIATIONS COMMITTEE CLERK HAVE BEEN E.A.
00:01:24 AKL IPA HAT S.F. GOP DOT ORG. IF YOU SUBMIT PUBLIC COMMENT
00:01:29 VIA EMAIL IT WILL BE FORWARDED TO THE SUPERVISORS AND ALSO
00:01:33 INCLUDED AS PART OF THE OFFICIAL FILE.
00:01:34 YOU MAY ALSO SEND YOUR WRITTEN COMMENTS VIA U.S. POSTAL
00:01:37 SERVICE TO OUR OFFICE IN CITY HALL AT ONE DR. CARLTON BECK AT
00:01:40 THE PLACE FROM 244 SAN FRANCISCO, CALIFORNIA.
00:01:45 NINE FOR 1 OR 2. >> AND THANK YOU, MADAM CHAIR.
00:01:46 THAT CONCLUDES MY ANNOUNCEMENTS.
00:01:48 THANK YOU, MR. CLERK. >> AND BEFORE WE CALL THE ITEMS
00:01:50 ON THE AGENDA AGENDA TODAY WE WILL NEED TO EXCUSE PRESIDENT
00:01:54 RAFAEL MEN AND VICE CHAIR MAC DORSEY AS WELL AS SUPERVISORS
00:01:58 FROM WALTON. >> SO WITH THAT I WOULD LIKE TO
00:02:02 MAKE THE MOTION TO EXCUSE ALL THREE OF THEM FROM THIS MEETING
00:02:06 AND A ROLL CALL PLEASE. >> I'M SURE I WILL STILL NEED A
00:02:12 SECOND ON THAT MOTION BY CHAIR CHANCE SECONDED BY MEMBER CHEN
00:02:16 THAT WE EXCUSE VICE CHAIR DORSEY MEMBER MANAGEMENT
00:02:20 AND WALTON FROM ATTENDANCE FROM TODAY'S MEETING MEMBER SAUTER
00:02:24 SAUTER I REMEMBER CHEN CHEN I CHURCH HAN I CHARNEY.
00:02:30 >> WE HAVE THREE EYES THE MOTION PASSES AND WITH THAT MR.
00:02:34 CLERK PLEASE CALL ITEMS ONE AND TWO TOGETHER ITEMS ONE
00:02:40 AND TWO ARE HEARINGS ON THE FOLLOWING BUDGET
00:02:44 AND LEGISLATIVE ANALYST REPORTS.
00:02:45 ITEM NUMBER ONE IS ON THE REPORT TITLED PERFORMANCE OF
00:02:48 FINANCIAL INCENTIVES FOR HOUSING.
00:02:51 AND ITEM NUMBER TWO IS ON A REPORT TITLED SAN FRANCISCO'S
00:02:53 DEBT CAPACITY. >> MADAM CHAIR, THANK YOU
00:02:56 AND COLLEAGUES I AM GOING TO SAY THIS IN A CONTEXT OF THE
00:03:03 ABOUT WHY I HAVE CALL FOR THE REPORT FOR THESE TWO ITEMS THAT
00:03:10 HOW I SEE AS A BUDGET COMMITTEE CHAIR OF NOW THIS IS MY FOURTH
00:03:18 YEAR IN A CONTEXT THAT I ANTICIPATE TO STEP DOWN
00:03:22 IN AUGUST OF THIS YEAR AFTER WE WRAP UP THIS UPCOMING BUDGET
00:03:26 PROCESS IS THAT I HOPE FOR YOU COLLEAGUES ON THIS COMMITTEE AS
00:03:33 WELL AS THOSE IN THE PUBLIC TO UNDERSTAND THAT WHEN WE BALANCE
00:03:37 OUR BUDGET IT IS MORE THAN WHAT WE SEE FROM CITY DEPARTMENTS
00:03:41 AND FROM THE MAYOR PRESENTING TO ANNUAL BUDGET.
00:03:44 IT IS SO MUCH MORE THAN THAT THAT IT ALSO INCLUSIVE OF THE
00:03:49 CITY'S BOND RATING OUR ABILITY TO MANAGE OUR DEBT AND IN THIS
00:03:56 CASE ADEPT CAPACITY THAT WE YOU WILL SEE AS ONE OF THEM
00:04:00 PRESENTATION BUT I THINK THAT IN DUE TO THE RECENT YEARS WE
00:04:07 HAVE TIME AND AGAIN DEBATED BOTH ON THIS COMMITTEE AND THIS
00:04:12 BODY AS WELL AS IN A CHAMBER THAT WE GATHER AS A FULL BOARD
00:04:16 ABOUT POLICY AROUND FINANCIAL INCENTIVES FOR HOUSING, BE
00:04:22 AROUND ZONING OR BE AROUND FEE WAIVER AS WELL AS IMPACT FEES,
00:04:27 WAIVERS ALL OF THOSE IMPACT THE CITY'S ABILITY TO AGAIN BALANCE
00:04:34 ITS BUDGET AS A WHOLE. AND SO IT IS MY GOAL TODAY THAT
00:04:39 THROUGH THE BUDGET AND LEGISLATOR TO ENLIST
00:04:42 INDEPENDENT STUDIES AND INDEPENDENT RESEARCH
00:04:46 AND PRESENTATION THAT HELP ALL OF US TO BE ABLE TO PUT ALL
00:04:50 THESE POLICY DISCUSSION INTO CONTEXT ABOUT HOW DO WE MANAGE
00:04:54 OUR DEBT, HOW DO WE MANAGE THE CITY'S FINANCES AS WELL AS
00:05:00 BALANCING THE BUDGET AND TO PRODUCE HOUSING ALL TOGETHER
00:05:04 AND THAT MEET OUR NEEDS. AND I THINK THAT YOU WILL ALSO
00:05:08 SEE ONE OF THE REASON WHY THAT I'M CALLING THESE TWO ITEMS
00:05:12 TOGETHER IS NOT ONLY OUR CAPACITY FOR BOND IN PROVIDING
00:05:16 FOR INFRASTRUCTURE FOR THE CITY IN RELATION TO HOUSING
00:05:20 PRODUCTION, I THINK THAT IT DOES ACTUALLY REQUIRE A VERY
00:05:24 ROBUST CONVERSATION AND DISCUSSION AND MOVING
00:05:28 POLICIES FOR FROM THIS BODY FROM THE BUDGET AND FINANCE
00:05:32 AND BUDGET APPROPRIATION COMMITTEE.
00:05:35 >> SO COLLEAGUES, I HOPE THAT THIS IS AN OPPORTUNITY FOR ME
00:05:39 TO THROUGH THE BUDGET AND LEGISLATURE ANALYSTS TO
00:05:40 KIND OF SHARE WITH YOU WHAT I HAVE LEARNED NOT ONLY OVER THE
00:05:47 LAST FEW YEARS AS YOUR BUDGET COMMITTEE CHAIR BUT ALSO ALMOST
00:05:50 THE LAST TWO DECADES AS A POLICY A BEING USHER THROUGH
00:05:55 DIFFERENT BUDGET AT DIFFERENT FISCAL YEARS AT DIFFERENT TIME
00:05:59 AND DIFFERENT TYPES OF CONDITIONS OF LOCAL ECONOMY
00:06:02 THAT HELP ALL OF US TO THINK ABOUT THE TRAJECTORY AND THE
00:06:07 FUTURE OF SAN FRANCISCO THE NEXT TWO YEARS NOT JUST THE
00:06:08 NEXT TWO FISCAL YEARS BUT NEXT FIVE AND THEN AND LONGER SO
00:06:14 WITH THAT I'M GOING TO PRESENT TO YOU MR. NICK MINNER FROM THE
00:06:18 BUDGET AND LEGISLATIVE ANALYST .
00:06:22 >> GOOD AFTERNOON SUPERVISORS NICK BERNARD FROM THE BUDGET
00:06:26 LEGISLATIVE ANALYST'S OFFICE THANK YOU CHAIR JAN AND HELLO.
00:06:30 >> I WILL START WITH THE REPORT ON DEBT CAPACITY I THINK IF
00:06:38 THAT MAKES SENSE. SO I HAVE TWO PRESENTATIONS FOR
00:06:39 YOU. WE'VE RELEASED TWO REPORTS
00:06:41 YESTERDAY ONE ABOUT THE CITY'S DEBT CAPACITY AND ONE ABOUT THE
00:06:45 PERFORMANCE OF FINANCIAL INCENTIVES FOR HOUSING.
00:06:52 SO I'LL START WITH THE REPORT ON DEBT CAPACITY WHICH
00:06:56 EVALUATED THREE THINGS IT LOOKED AT THE IMPACT OF
00:07:00 RELAXING THE CITY'S FINANCIAL POLICIES TO ISSUE MORE DEBT
00:07:03 AND PROVIDED PROJECT DETAIL ON AUTHORIZED BY OUR INITIAL DEBT
00:07:08 AND LOOKED AT FUNDING FOR THE PART OF OUR EMERGENCY
00:07:11 FIREFIGHTER WATER SYSTEM SO THE CITY HAS TWO PRIMARY FUNDING
00:07:15 SOURCES FOR GENERAL FUND PROJECTS FOR GENERAL FUND
00:07:19 CAPITAL PROJECTS. ONE IS GENERAL OBLIGATION BONDS
00:07:22 WHICH REQUIRE VOTER APPROVAL AND ARE PAID FOR BY PROPERTY
00:07:26 TAXES AND CERTIFICATES OF PARTICIPATE IN WHICH ARE PAID
00:07:30 DIRECTLY FROM THE GENERAL FUND. AND SO UNDER POLICY ESTABLISHED
00:07:34 IN THE CAPITAL PLAN, THE PROPERTY TAX RATE USED TO REPAY
00:07:38 G.O. BONDS MAY NOT EXCEED THE 26 RATE WHICH IS POINT ONE TO
00:07:43 OH 1% OF ASSESSED VALUE OR $120 PER $100,000 OF ASSESSED VALUE.
00:07:49 AND THEN UNDER CITY POLICY AND IN THE ADMINISTRATIVE CODE
00:07:53 ANNUAL DEBT SERVICE FOR COPIES CANNOT EXCEED 3.25% OF GENERAL
00:07:57 FUND DISCRETIONARY REVENUE AND SO BUT THIS SLIDE SHOWS IS
00:08:04 THE CITY'S CAPACITY TO ISSUE GENERAL OBLIGATION BONDS FOR
00:08:07 THE NEXT TEN YEARS. THIS IS FROM THEIR AMENDED
00:08:08 CAPITAL PLAN AND IT SHOWS AND THE COLORED BARS PLANT GEO
00:08:12 BOND REQUEST TO VOTERS OVER THE NEXT TEN YEARS AND THEN IN THE
00:08:18 DARK GRAY YOU CAN SEE THE AUTHORIZED BUT UNISSUED DEBT
00:08:24 AND THEN THIS GRAPH ALSO FROM THE AMENDED CAPITAL PLAN SHOWS
00:08:30 THE CITY'S PLAN FOR CERTIFICATES OF PARTICIPATION.
00:08:34 >> AGAIN THE DARK GRAY OR THE EXCUSE ME THE DARK SHADED BAR
00:08:41 IN THIS CASE IS THE AUTHORIZED BUT UNISSUED COPIES AND THEN
00:08:44 THE COLORED BARS ARE THE PLANT NEW COPY ISSUANCES OVER THAT
00:08:49 TIME PERIOD. I THINK WHAT'S CRITICAL TO TAKE
00:08:53 AWAY FROM THESE CHARTS IS THAT IN THE CASE OF GO BONDS WE ARE
00:08:56 HITTING THE DEBT LIMIT IN 2032 BASED ON PROJECTED ASSESSED
00:08:59 VALUE THROUGH THAT TIME AND THEN WE'RE HITTING THE COPY
00:09:06 LIMIT IN FISCAL YEAR 2829 BASED ON PROJECTED GENERAL FUND
00:09:07 DISCRETIONARY REVENUES. >> SO WE EVALUATE IT.
00:09:15 WHAT WOULD THE IMPACT BE IF WE RELAXED THE FINANCIAL POLICIES
00:09:19 THAT CONTROL OUR ABILITY TO ISSUE THIS KIND OF DEBT?
00:09:23 SO IN THAT THIS FIRST CHART OR THIS FIRST TABLE ON THIS SLIDE
00:09:27 YOU CAN SEE WE LOOKED AT .01 PERCENT INCREMENT INCREASES TO
00:09:31 THE GENERAL OBLIGATION BOND PROPERTY TAX RATE AND WHAT THAT
00:09:34 RESULTS IN SO EACH .01 PERCENT INCREASE IS ONE FOR $110
00:09:40 MILLION GENERAL OBLIGATION BOND IN THE IN THE CASE OF COPIES
00:09:44 EACH POINT TWO 5% INCREASE IS $128 MILLION COPY WHICH OF
00:09:55 WHICH WOULD REQUIRE ABOUT $13 MILLION A YEAR IN ANNUAL DEBT
00:09:59 SERVICE. SO THERE ARE TRADEOFFS TO
00:10:03 RELAXING THESE FINANCIAL POLICIES.
00:10:06 IN THE CASE OF GEO BONDS IT WOULD REQUIRE HIGHER PROPERTY
00:10:10 TAXES AND SO FOR THE MEDIAN VALUED SINGLE FAMILY HOMEOWNER
00:10:14 A .01 PERCENTAGE POINT INCREASE IN THE PROPERTY TAX RATE WOULD
00:10:19 TRANSLATE TO ABOUT $75 A YEAR AND ADDITIONAL PROPERTY TAX
00:10:22 PAYMENTS. SO THE PAYMENT THIS YEAR
00:10:25 IN THAT CASE WOULD GO UP FROM $8,928 TO $9,003.
00:10:30 SAN FRANCISCO IS ALREADY ALREADY HAS THE EIGHTH HIGHEST
00:10:34 PROPERTY TAX IN THE STATE SO IF WE WERE TO INCREASE OUR IF
00:10:38 EVERYTHING NOW STAYED THE SAME AND THE GEO BOND RATE INCREASE
00:10:43 BY POINT OF 1% WE WOULD THEN RISE TO THE SIX HIGHEST
00:10:48 PROPERTY TAX RATE AND BASED ON DATA FROM CAPITAL PLANNING THE
00:10:52 YOU KNOW EVER SINCE THE 2006 RATE LIMIT WAS PUT INTO EFFECT
00:10:59 ,VOTERS HAVE BEEN MUCH MORE LIKELY TO APPROVE GEO BONDS
00:11:02 BECAUSE IT MEANS THAT THEIR PROPERTY TAXES WILL NOT GO UP
00:11:03 BECAUSE WE'RE NOT GOING TO EXCEED THAT DEBT LIMIT RATE
00:11:10 IN THE CASE OF COPS BECAUSE THEY'RE PAID DIRECTLY OUT OF
00:11:14 THE GENERAL FUND. ANY INCREASE IN DEBT CAPACITY
00:11:15 MEANS ADDITIONAL GENERAL FUND COSTS IN THE FORM OF DEBT
00:11:18 SERVICE AND YOU KNOW THAT WOULD EXACERBATE THE STRUCTURAL
00:11:22 BUDGET DEFICIT THAT THE CITY FACES.
00:11:25 >> IN ADDITION TO THAT IN EITHER CASE ADDITIONAL DEBT
00:11:29 COULD RESULT IN A RATING DOWNGRADE.
00:11:30 AND SO WE LOOKED AT RESEARCH TO ESTIMATE THE THE IMPACT OF
00:11:37 LOSING OF GOING DOWN ONE NOTCH AND OUR CREDIT RATINGS AND IT
00:11:41 WOULD BE IN THE CASE OF A JOB ON INSTEAD OF BEING ABLE TO
00:11:46 ISSUE ONE FOR $110 MILLION BOND WITH THIS NEW POLICY YOU WOULD
00:11:50 BE ONLY ABLE TO ISSUE A $470 MILLION BOND.
00:11:53 SO IT'S IT'S IT'S SMALL BUT THEN IT INCREASES THE FURTHER
00:11:57 DOWN YOU GO IN THE CREDIT RATING.
00:12:01 SO NEXT WE LOOKED AT AUTHORIZED BY AN ISSUE DEBT THESE ARE
00:12:04 RECENT GENERAL OBLIGATION BONDS THAT HAVE BEEN APPROVED BY
00:12:06 VOTERS FOR WHICH THERE ARE THAT ARE NOT FULLY SPENT DOWN
00:12:09 AND YOU CAN SEE ON THE RIGHT HAND COLUMN THE THE AMOUNTS
00:12:13 THAT ARE UNISSUED BY AUTHORIZATION AND THE TOTAL
00:12:16 UNISSUED AMOUNT IS $1.18 BILLION WHEN WE EXCLUDE THE
00:12:24 PAST BONDS GIVES US A VERY SPECIAL PURPOSE BONDS RELATED
00:12:28 TO AFFORDABLE HOUSING AND THE 2024 BONDS AND JUST FOCUS ON
00:12:32 THE SEAWALL AND THE ETHER AND THE HEALTH AND RECOVERY
00:12:36 BOND. THERE'S STILL ABOUT $300
00:12:38 MILLION ASSIGNED TO PROJECTS THAT HAVE NOT BEGUN
00:12:42 CONSTRUCTION. >> AND THEN THIS TABLE LOOKS AT
00:12:46 THE AUTHORIZE AND ISSUED CERTIFICATES OF PARTICIPATION.
00:12:49 YOU CAN SEE AGAIN THE REMAINING UNISSUED AMOUNTS FOR PROJECTS
00:12:53 ON THE RIGHT HAND COLUMN OF THIS TABLE AND IT TOTALS $352
00:12:59 MILLION. WE DID IDENTIFY $1.9 MILLION
00:13:02 FROM THE 2023 COMMUNITY FACILITY BOND THAT IS NOT
00:13:06 PROGRAMED AND THE NEXT WE LOOKED AT THE HALL OF JUSTICE,
00:13:10 THE HALL OF JUSTICE AS A SORT OF JUGGERNAUT IN THE CAPITAL
00:13:17 PLAN THAT TAKES UP A LOT OF SPACE AND THAT KIND OF OUTYEARS
00:13:21 OF THE PLAN. AND SO WE WORKED WITH CAPITAL
00:13:22 PLANNING THE CITY ADMINISTRATOR'S OFFICE TO
00:13:25 UNDERSTAND WHAT THE NEEDS ARE BECAUSE THEY'VE EVOLVED OVER
00:13:27 TIME AND THE PLAN IS TO ACQUIRE OR BUILD CITY A NEW SPACE FOR A
00:13:33 CITY STAFF THAT WORK IN THE HALL OF JUSTICE.
00:13:37 SO THAT INCLUDES THE SHERIFF, THE DISTRICT ATTORNEY AND THE
00:13:41 POLICE AND THE PUBLIC DEFENDER POTENTIALLY.
00:13:43 SO LOOKING AT THOSE NEEDS WE ESTIMATE THAT THE TOTAL COST OF
00:13:48 THAT PROJECT IS $367 MILLION. THAT DOESN'T ACCOUNT FOR ALL
00:13:54 KNOWN COSTS BECAUSE FOR EXAMPLE, WE KNOW THAT THERE'S A
00:13:57 PARKING NEED. WE DON'T KNOW WHAT THAT HOW
00:14:00 THAT PARKING THE COST OF THAT PARKING SOLUTION.
00:14:04 SO I THINK THAT IS A MINIMUM COST ESTIMATE AT THIS POINT.
00:14:08 BUT WE ALSO LOOKED AT THE COPIES ASSIGNED TO THIS PROJECT
00:14:12 THAT HAVE ALREADY BEEN APPROVED BY THE BOARD AND THEN ALREADY
00:14:13 IN THE CAPITAL PLAN AND YOU CAN SEE HERE THAT THERE'S ABOUT $55
00:14:19 MILLION OF AUTHORIZED BUT UNISSUED COPIES FOR REPAIRS AT
00:14:23 THE HALL OF JUSTICE AT THE CURRENT HALL OF JUSTICE
00:14:26 AND THEN $367 MILLION OF COPIES PLANNED YOU KNOW OVER THE NEXT
00:14:30 OVER THE YOU KNOW, THE NEXT SEVERAL YEARS IF THE CITY DOES
00:14:37 RELOCATE TO A NEW HALL OF JUSTICE, THERE IS ALSO A
00:14:41 BENEFIT FROM LEAVING LEASES THAT THE CITY HAS ALREADY
00:14:46 ENTERED INTO THAT ARE ABOUT $15 MILLION A YEAR MOVING THOSE
00:14:50 TENANTS INTO CITY OWNED SPACE WOULD BASICALLY FREE UP ABOUT
00:14:56 $15 MILLION A YEAR THAT'S NOW BEING SPENT ON LEASE COSTS THAT
00:14:57 COULD BE SPENT ON DEBT SERVICE FOR CERTIFICATES OF
00:15:03 PARTICIPATION AND THAT WOULD SUPPORT A ONE TIME $250 MILLION
00:15:07 COPY ISSUANCE. >> I THINK THE BASED ON THE
00:15:10 TIMELINE I'VE UNDERSTOOD FROM CITY STAFF THE THE PROJECT COST
00:15:18 WILL COME INTO BETTER FOCUS AND FISCAL YEAR 2829 ONCE THE
00:15:21 BUILDINGS HAVE BEEN ACQUIRED OR DEVELOPED AND THEN IT WILL BE
00:15:25 BETTER KNOWN WHAT THE WHAT THE RENOVATION NEEDS ARE TO YOU
00:15:30 KNOW, MAKE THEM AVAILABLE FOR CITY STAFF.
00:15:33 AND THEN FINALLY WE LOOKED AT THE PORTABLE EMERGENCY
00:15:37 FIREFIGHTER WATER SYSTEM, THE TOTAL COST OF THE SYSTEM JUST
00:15:41 FOR THE WEST SIDE IS 1.58 TO $1.78 BILLION.
00:15:47 THERE IS A $154 MILLION FROM A 2020 ETHER BOND ASSIGNED TO
00:15:53 THIS PROJECT AND THEN THE CAPITAL PLAN THAT IS COMING
00:15:56 BEFORE YOU IN A COUPLE OF WEEKS HAS ABOUT $190 MILLION OVER THE
00:16:02 NEXT TEN YEARS FROM THE WATER ENTERPRISE PROGRAM BECAUSE THIS
00:16:03 PROJECT IS JOINTLY FUNDED BOTH BY THE CITY'S GENERAL
00:16:07 OBLIGATION BOND PROGRAM AND THE CITY'S WATER REVENUE BOND
00:16:10 PROGRAM. SO THAT LEAVES THE UNFUNDED
00:16:13 COST OF 1.28 TO $1.44 BILLION THE JUNE 2026 ESSER BOND HAS
00:16:19 $130 MILLION SO IF THAT'S APPROVED THAT WOULD OFFSET A
00:16:23 PORTION OF THESE COSTS. BUT JUST KIND OF LOOKING
00:16:26 FORWARD, LOOKING AT THE CAPACITY BOTH IN THE GENERAL
00:16:28 OBLIGATION BOND PROGRAM AND THE PUC'S WATER CAPITAL PROGRAM, WE
00:16:33 THINK IT'LL TAKE ABOUT 25 YEARS TO FULLY FUND THIS EXPANSION OF
00:16:37 THE FIREFIGHTER WATER SYSTEM BASED ON THE CAPACITY
00:16:41 CONSTRAINTS IN BOTH THOSE CAPITAL PLANS UNLESS THERE'S A
00:16:45 SIGNIFICANT REORDERING OF PROJECTS WITHIN THOSE CAPITAL
00:16:47 PLANS. >> SO OPTIONS FOR THE BOARD TO
00:16:52 CONSIDER I THINK WE'VE LAID OUT THE COSTS AND BENEFITS OF
00:16:56 INCREASING THE CITY'S DEBT POLICY IS LIMITED LIMITING JOE
00:17:00 BIDEN BARTON CERTIFICATES OF PARTICIPATION WE'VE ALSO
00:17:02 IDENTIFIED $300 MILLION IN AUTHORIZED BUT UNISSUED JOE
00:17:05 BOND DEBT THAT COULD BE ASSIGNED TO NEW PROJECTS IF THE
00:17:08 NEW PROJECTS FALL OUTSIDE OF THE PROGRAMS THAT HAVE BEEN
00:17:14 AUTHORIZED BY VOTERS. THE YOU WOULD NEED TO GO BACK
00:17:19 TO THE VOTERS TO REASSIGN THAT FUNDING AND THEN WE FOUND ABOUT
00:17:22 $1.9 MILLION AND COPIES THAT COULD BE POTENTIALLY REDIRECTED
00:17:26 TO NEW PROJECTS AND THEN FINALLY JUST REEVALUATING THE
00:17:30 NEEDS OF THE HALL OF JUSTICE BASED ON THE INFORMATION WE
00:17:33 KNOW NOW THE $422 MILLION MAYBE MAYBE OVER BUDGETED AND I THINK
00:17:37 WE'LL KNOW MORE IN A COUPLE OF YEARS AND THEN YOU KNOW, THERE
00:17:41 WILL BE THERE WOULD BE SIGNIFICANT LEGISLATIVE ACTION
00:17:43 TO YOU KNOW, TO FOLLOW THROUGH ON THESE RECOMMENDATIONS.
00:17:45 YOU WOULD NEED TO AMEND THE ADMINISTRATIVE CODE.
00:17:49 YOU NEED TO HAVE A CHANGE APPROPRIATIONS APPROVED
00:17:51 TRANSACTION DOCUMENTS. SO THIS IS NOT SOMETHING THAT
00:17:54 CAN BE DONE IN JUNE OR THAT WOULD BE VERY AMBITIOUS.
00:17:57 I THINK IT WOULD IT'S GOING TO TAKE TIME TO WORK OUT A NEW
00:18:01 PLAN FOR THIS MONEY IF THAT'S YOUR DESIRE, THAT'S THAT'S
00:18:04 OKAY. >> ANY QUESTIONS?
00:18:05 I DO BUT I THINK I DO SEE MR. BRYAN STRONG HERE.
00:18:11 >> I THINK THAT I HAVE QUESTIONS MORE FOR MR. BRYAN
00:18:13 STRONG SPECIFICALLY ABOUT THE UNSPENT BOND DOLLARS WHICH WE
00:18:22 HAVE THOSE CONVERSATION IN THE PAST WHEN YOU COME WHEN YOU
00:18:26 COME BEFORE WHEN YOU CAME BEFORE US TO ISSUE OTHER BOND
00:18:30 DOLLARS, I THINK THAT I'M GOING TO START OFF WITH LET'S GO TO
00:18:34 THE ONE THAT I THINK FAIRLY EASY IS THE PORTABLE EMERGENCY
00:18:38 FIREFIGHTING WATER SYSTEM AND I'M CURIOUS TO SEE KNOWING
00:18:46 THAT WHAT WE CURRENTLY HAVE ALREADY APPROVED AN ISSUE AS
00:18:50 WELL AS THAT WE'RE GOING TO ISSUE SHORTLY WITH THE WATER
00:18:54 REVENUE BOND AND WHAT IT'S COMING BEFORE VOTERS IN JUNE.
00:18:58 HELP US UNDERSTAND WHAT IS AND MAYBE YOU CAN'T BUT I
00:19:02 WONDER IF THROUGH YOU THAT WE CAN HAVE A BETTER UNDERSTANDING
00:19:06 OF BOTH SPACE AND AS A FIRE THEIR PERSPECTIVE OF HOW THEN
00:19:13 YOU KNOW, ARE THEY ACTUALLY LEVERAGING LOCAL BOND DOLLARS
00:19:17 TO ADVOCATES FOR FEDERAL DOLLARS OR STATE BOND DOLLARS
00:19:22 TO BE ABLE TO COMPLETE THE SYSTEM IN A MORE TIMELY FASHION
00:19:25 INSTEAD OF 25 YEARS THAT WE CAN ACTUALLY STREAMLINE THIS AND BE
00:19:30 ABLE TO FINISH IT QUICKER? YEAH.
00:19:33 GOOD AFTERNOON. MEMBERS OF THE COMMITTEE BRYAN
00:19:37 STRONG WITH THE CITY ADMINISTRATOR'S OFFICE AND THE
00:19:38 OFFICE OF RESILIENCE AND CAPITAL PLANNING.
00:19:41 THANK YOU FOR THE QUESTION. I, I CANNOT SPEAK FOR THE PUC
00:19:45 BUT MY UNDERSTAND THING IS THAT WE HAVE EXPLORED STATE
00:19:49 AND FEDERAL GRANTS FOR WHAT'S NOW FWC AND PREVIOUS TO A
00:19:57 ASSESS THEY'RE DIFFICULT TO COME BY AND ONE IS IT'S NOT
00:20:01 JUST THE SIZE THERE ARE LARGER GRANTS BUT IT IS ALSO THE
00:20:06 PROGRAMS HAVE BEEN ESTABLISHED TYPICALLY ARE BY FEMA AND SO
00:20:10 FORTH. >> THAT'S WHERE A LOT OF THE
00:20:13 FUNDS HAVE COME FROM AND FEMA REQUIRES THAT THIS BE A SYSTEM
00:20:16 THAT'S ONLY USED IN AN EMERGENCY.
00:20:17 AND THE FACT IS THAT WE USE A THE FWC WHENEVER WE HAVE A FOUR
00:20:23 ALARM FIRE OR A SIGNIFICANT FIRE.
00:20:24 >> SO IT'S NOT IT'S NOT NECESSARILY JUST BEING RESERVED
00:20:28 FOR AFTER AN EARTHQUAKE OR AFTER A MAJOR DISASTER.
00:20:31 SO THAT HAS MADE IT VERY CHALLENGING I THINK FOR US TO
00:20:35 GET AT SOME OF THE FEDERAL FUNDS THAT MAY BE AVAILABLE.
00:20:39 AGAIN THOUGH I WOULD I WOULD DEFER TO THE PUC IN TERMS OF
00:20:43 WHETHER OR NOT THEY'VE THEY'VE REACHED OUT FOR SPECIFIC GRANTS
00:20:49 OR DIFFERENT GRANT PROGRAMS. I KNOW THEY'VE GOT A PRETTY
00:20:50 AGGRESSIVE GRANT. >> YEAH.
00:20:54 YEAH. AND THE OTHER THING I WOULD
00:20:55 JUST SAY IS LIKE THE STATE DID HAVE A RESILIENT A $10 BILLION
00:20:58 RESILIENCE BOND RIGHT? BUT THAT WAS ALL THAT WAS
00:21:01 PRIMARILY FOCUSED ON WILDFIRE IN SAN FRANCISCO IS NOT REALLY
00:21:06 WE'RE NOT A HIGH WILDFIRE THE AREA WHERE I FIRE FOLLOWING
00:21:10 EARTHQUAKE AREA SO EVEN THOUGH THAT FUND THOSE FUNDS WERE
00:21:13 THERE, THEY'RE NOT REALLY ELIGIBLE FOR FWC TYPE PROJECTS.
00:21:17 >> AND THEN I'M GOING TO MOVE TO THE ONE THAT ACTUALLY WE DO
00:21:21 KNOW WE HAVE THE $13 BILLION U.S. ARMY CORP WATER RESOURCE
00:21:24 DEVELOPMENT ACT $13 BILLION FROM THE CONGRESSIONAL SPENDING
00:21:28 FROM AGAIN, WE KNOW RESOURCES WE HOPE.
00:21:32 >> YES. YEAH, WE DON'T KNOW CORRECT.
00:21:35 BUT WE'RE HOPING FOR IT AND WE'RE WAITING FOR THAT TO
00:21:36 COME AND THAT ACTUALLY SUPPOSED TO IF AND CORRECT ME IF I'M
00:21:42 WRONG AND DOES THAT MEAN THAT FOR THE ISSUE BUT APPROPRIATE
00:21:47 OR APPROVED $216.3 MILLION OF THE 2018 SEAWALL BOND IS THEN
00:21:52 THAT IS SOMETHING THAT WE ACTUALLY REQUIRE TO HAVE AND TO
00:21:57 SPEND BECAUSE THAT IS A MATCH OR LEVERAGE FOR US TO RECEIVE
00:22:01 THAT 13 BILLION. YEAH, THAT'S RIGHT.
00:22:04 I MEAN IT'S IT'S PART OF THE REASON WHY WE WE HAVE BEEN
00:22:08 CAREFULLY I THINK MOVING FORWARD WITH SPENDING THOSE
00:22:11 DOLLARS IS THAT WE HAVE THIS MUCH THIS OPPORTUNITY TO
00:22:15 LEVERAGE THOSE FUNDS TO BE ABLE TO YOU KNOW, HOPEFULLY GET
00:22:21 BETWEEN 13 AND $17 BILLION IN FEDERAL FUNDING RIGHT.
00:22:24 FOR THE FOR THE LARGER PROJECT. BUT THAT PROJECT IT REQUIRES A
00:22:28 LOCAL MATCH AND THAT LOCAL MATCH WHICH IS TYPICALLY AROUND
00:22:32 3,033% OR SO THESE TYPES OF PROJECTS WE WANT TO MAKE SURE
00:22:40 THAT THESE PROJECTS ARE ELIGIBLE FOR THAT LOCAL MATCH.
00:22:42 SO WHEN WE SPEND THAT THOSE FUNDS YOU KNOW THOSE DOLLARS
00:22:45 AND THEY DO HAVE A NUMBER OF PROJECTS THAT THEY'RE TALKING
00:22:48 ABOUT DOING ALONG THE EMBARCADERO AND SOME OF THE
00:22:52 VULNERABLE AREAS THAT THAT WE CAN DO THE BEST WE CAN TO MAKE
00:22:55 SURE THAT THOSE FUNDS WE'RE GOING TO COUNT TOWARD ARE MATCH
00:22:56 YOU KNOW, DOWN THE ROAD WHEN THE WHEN THE ARMY CORPS OF
00:23:00 FUNDS ARE APPROVED, SHOULD THEY BE APPROVED?
00:23:05 I THINK LAST BUT NOT LEAST, WALK US THROUGH EXACTLY THE
00:23:10 THINKING AROUND HOW JUSTICE THAT IS.
00:23:14 >> YOU KNOW YES. YES.
00:23:15 I MEAN IT'S TO THE HALL OF JUSTICE IS A COMPLICATED STORY.
00:23:19 I'M GOING TO DEFER TO HEATHER IF SHE'S OKAY.
00:23:22 >> I MEAN I AND SHE CAN PROBABLY GIVE A BETTER
00:23:25 BACKGROUND ON WHERE THINGS ARE. SUFFICE IT TO SAY THIS IS A
00:23:29 PROJECT THAT WE'VE BEEN WORKING ON SINCE WE STARTED THE TEN
00:23:32 YEAR CAPITAL PLAN. >> JUST TO LET YOU KNOW THIS
00:23:33 HAS BEEN A HIGH PRIORITY PROJECT FOR THE CAPITAL
00:23:36 PLANNING COMMITTEE AND PART OF THE CHALLENGE IS THAT THERE ARE
00:23:40 A LOT OF DEPENDENCIES IS IN TERMS OF BEING ABLE TO MOVE
00:23:44 IT FORWARD. SO WITH THAT I'LL PASS IT TO
00:23:47 HEATHER. >> AFTERNOON SUPERVISORS NICE
00:23:51 TO MEET YOU. HEATHER GREEN WITH THE OFFICE
00:23:52 OF THE CITY ADMINISTRATOR FORMERLY OF RESILIENCE
00:23:55 AND CAPITAL PLANNING AND NOW IN THE CENTRAL OFFICE.
00:23:56 >> YES. >> SO THINKING ABOUT THE HALL
00:23:59 OF JUSTICE LOOKING FORWARD THE WAY THAT THE CITY
00:24:03 ADMINISTRATORS OFFICE IS THINKING ABOUT THAT TODAY IS
00:24:06 THERE ARE KIND OF THREE PILLARS OF NEED FOR US TO GET OUT OF
00:24:10 THAT BUILDING THAT WE ALL KNOW IS SUBSTANDARD AND ONE ONE OF
00:24:14 OUR TOP PRIORITIES THE FIRST OF THOSE IS YOU KNOW, THAT
00:24:18 BUILDING WILL NEED TO REMAIN OPERATIONAL AS LONG AS THE
00:24:21 COURTS ARE IN THE BUILDING AND THEY HAVE BEGUN PRELIMINARY
00:24:23 PLANNING AND THEY ARE AWAITING STATE FUNDING THAT WILL BE A
00:24:27 STATE RESOURCE PROJECT AND WE ARE DEPENDENT ON D O F TEST TO
00:24:33 SOURCE TO RESOURCE SAN FRANCISCO FOR OUR REPLACEMENT
00:24:35 COURTHOUSE. BUT YOU KNOW THEY ARE EXPLORING
00:24:38 THEIR MOST FEASIBLE OPTIONS AND UNTIL THEY ARE ABLE TO EXIT
00:24:45 WE NEED TO KEEP THE BUILDING LIMPING ALONG SO WE HAVE
00:24:48 REDUCED CAPACITY OF THE BUILDING SUBSTANTIALLY.
00:24:50 MANY DIVISIONS AND DEPARTMENTS HAVE EXITED DISTRICT ATTORNEY
00:24:53 THE LARGEST ADULT PROBATION ALSO SOUTHERN STATION WAS
00:24:56 RELOCATED. CITY MEDICAL EXAMINERS THE LIST
00:25:00 GOES ON. WE HAVE BEEN DOING A GOOD JOB
00:25:01 AND IT WAS ACCELERATING UP UNTIL COVID.
00:25:04 IT WAS A VERY HIGH PRIORITY AND SO YOU KNOW, WE HAVE
00:25:08 REDUCED CAPACITY OF THE BUILDING WHICH IS GOOD LESS
00:25:11 STRAIN ON THE SYSTEMS. THE SYSTEMS IN THE BUILDING
00:25:13 CONTINUE TO FAIL THE ELEVATORS OR YOU KNOW, CAPPING OUT
00:25:18 REGULARLY. WE HAD LEAKS THAT BROUGHT ON
00:25:19 OUR GRIEVANCES. AND SO YOU KNOW, WE ARE TRYING
00:25:24 TO KEEP THE BUILDING GOING WITHOUT OVER STRAINING IT WHICH
00:25:27 IS WHY WE KEEP IT AT REDUCED CAPACITY IN LARGE PART.
00:25:30 FORTUNATELY THE JAILS HAVE CLOSED SO THAT'S PILLAR ONE
00:25:34 KEEP THE BUILDING LIMPING ALONG IN THE MOST COST EFFICIENT WAY
00:25:39 THAT WE CAN. THE SECOND PIECE IS THE 4 TO 5
00:25:44 SEVENTH STREET FACILITY FOR A SHERIFF.
00:25:45 THE JAIL OVER THERE SOME OF THOSE BUILDINGS SYSTEMS ARE
00:25:49 DEPENDENT ON SYSTEMS WITHIN THE HALL OF JUSTICE, MOST NOTABLY
00:25:52 THE BOILERS. AND THERE'S ALSO A CONNECTED
00:25:55 WALKWAYS BETWEEN THE JAIL AND THE COURTS THAT GO THROUGH
00:25:57 THE HALL SOME STORES SUPPLIES HOLDING AND THESE ARE FUNCTIONS
00:26:03 THAT WE NEED TO FIGURE OUT HOW TO SEVER FROM THE HALL OF
00:26:07 JUSTICE AND MAKE 45 SEVENTH STREET WHICH IS A BUILDING WE
00:26:11 WILL CONTINUE TO NEED TO MAKE THAT BUILDING INDEPENDENT
00:26:17 AND PLANNING IS UNDERWAY ON AS MANY FRONTS AS WE CAN DO
00:26:21 SIMULTANEOUSLY AND BOILERS AND HOLDING FIRST UP AND THEN
00:26:24 THE THIRD PART IS RELOCATING THE FOLKS WHO ARE STILL IN THE
00:26:28 BUILDING. >> SO THIS IS YOU KNOW, IT'S
00:26:31 ALL EXIT BECAUSE IT'S ALL GOING TO GET US OUT OF THE BUILDING.
00:26:33 BUT THIS IS ACTUALLY LIKE RELOCATING PEOPLE FROM WHERE
00:26:36 THEY ARE TO A SOME PERMANENT FUTURE STATE AND THERE WE HAVE
00:26:39 THE LARGEST TENANTS ARE POLICE POLICE UNITS MOSTLY POLICE
00:26:43 INVESTIGATION AND THERE'S ALSO THE ID BUREAU, SOME OF THE
00:26:47 UNITS THERE AND SHERIFF WARRANTS AND RECORDS SHERIFF
00:26:51 PRISONER LEGAL SERVICES SOME OF WHAT'S IN THE BUILDING HAS TRUE
00:26:54 CAUGHT ADJACENCY AND SOME OF THOSE WILL BE PART OF A
00:27:02 REPLACEMENT COURTHOUSE. SO WE'RE BEING WANT TO BE
00:27:03 MINDFUL ESPECIALLY WHEN IT COMES TO HOLDING WHICH COULD BE
00:27:07 A VERY EXPENSIVE PROJECT. THE REPLACEMENT COURTHOUSE ONE
00:27:10 DAY WILL CONTAIN THE HOLDING FUNCTION INCLUDING TRANSPORT
00:27:14 SALLY PORT ALL OF THAT AND SO TRYING TO THINK ABOUT HOW WE
00:27:18 CAN SOLVE FOR TODAY'S NEEDS IN A MEDIUM TERM WAY SO THAT WE
00:27:26 DON'T BUILD OVERBUILD WHEN THE COURTHOUSE WILL EVENTUALLY
00:27:29 SERVE THAT WARRANTS AND RECORDS AND POLICE ID WHICH INCLUDES
00:27:34 FINGERPRINTING AND RECORDS THOSE FUNCTIONS NEED TO BE
00:27:38 COURT PROXIMATE AND IT'S A LITTLE BIT HARD TO SOLVE FOR
00:27:42 THOSE IN A PERMANENT WAY WITHOUT KNOWING EXACTLY WHERE
00:27:45 THE COURTS ARE GOING TO GO. WE HAVE SOME IDEA BUT NOT FIRM.
00:27:49 THE COURTS WILL NEED TO GO THROUGH THEIR SITE ACQUISITION
00:27:52 PROCESS AND SO YOU KNOW, WE CAN PLAN BUT CANNOT SOLVE FOR THAT
00:27:57 QUITE YET. POLICE INVESTIGATIONS INCLUDING
00:28:01 OUR TECH THOSE ARE FUNCTIONS THAT THERE ARE ADVANTAGES TO
00:28:08 HAVING IT COURTS PROXIMATE BUT DOESN'T NEED TO BE RIGHT NEXT
00:28:09 DOOR AND YOU KNOW THE DISTRICT ATTORNEY IS AND THE LARGEST OF
00:28:12 THE LEASES LIKE NICK MENTIONED THAT WERE YOU KNOW PART OF THE
00:28:16 EXIT PRE-COVID. SO WE ARE DEVELOPING SCOPE LIKE
00:28:23 RIGHT NOW TO GET SO WE'VE ALREADY DONE A SCAN OF
00:28:26 PROPERTIES ON THE MARKET PUBLICLY AVAILABLE ON THE
00:28:27 MARKET LOOKING FOR WHAT'S AVAILABLE.
00:28:31 YOU KNOW VERY LITTLE TURNED UP THAT'S THE RIGHT SIZE POLICE
00:28:35 HAS A VERY CHALLENGING FLEET NEED FOR PARKING AND SO WE ARE
00:28:41 LOOKING WE'RE GOING TO HELP US WILL ENGAGE A BROKER TO LOOK TO
00:28:45 TRY TO GAUGE THINGS OFF MARKET. >> WHAT IS THE TIMELINE YEAH
00:28:49 SEEKING SCOPE COMING TOGETHER FOR BROKER SERVICES NOW ALREADY
00:28:53 WANT TO LOOK AT A SITE THIS WEEK OR LAST WEEK MONDAY IS FOR
00:28:58 SPEED OR IS IT FOR THE REMAINING LIKE INCLUDING
00:29:01 INCLUSIVE OF THE COURT AND THE HOLDING CELL BECAUSE FOR
00:29:05 EXAMPLE YOU ALREADY HAVE SOLD STATION ALREADY MOVED OUT YEARS
00:29:08 BACK YOU ALSO HAVE THE DISTRICT ATTORNEY ALREADY ALSO MOVED OUT
00:29:12 AND INCLUDING YOUR MEDICAL EXAMINER ALSO MOVED OUT AND I
00:29:14 SAY DOES WITH THAT PERSONAL EXPERIENCE ACTUALLY HAVE BEEN
00:29:17 HAVE ACTUALLY WORK IN THAT BUILDING YEAH I WAS 25 I'M 48
00:29:23 SO I UNDERSTAND WHAT THAT MEANS AND I'VE BEEN THROUGH I WILL NO
00:29:27 LONGER GO TO A RESTROOM SHOULD I EVER VISIT HALL JUSTICE
00:29:31 AGAIN. YEAH SO I DO UNDERSTAND THAT
00:29:35 PERSONALLY AND DEEPLY THE CONDITION THAT IT WAS EVEN
00:29:39 THEN. SO WHAT IS YOUR TIMELINE?
00:29:42 I THINK THAT I WANT TO TALK ABOUT SPECIFICALLY THOUGH
00:29:46 BECAUSE RIGHT NOW THAT BE AT THE ARCTIC IT'S NOT AT HARD
00:29:50 JUSTICE THE INVESTIGATIVE UNIT ALSO NOT IN ARE THE
00:29:54 INVESTIGATIONS ARE AT THE INVESTIGATION UNIT IS BUT
00:29:58 SOUTHERN STATION IS IN AND PLUS THE HEADQUARTER AS PD ARE NOT
00:30:01 THOSE WERE RELOCATED YEAH AND SO LET'S WALK BREAK IT DOWN
00:30:05 A LITTLE BIT BECAUSE I UNDERSTAND WHAT YOU'RE ALSO
00:30:06 SAYING IS LOOK EMPHASIZE PICTURE WISE LIKE BOILER IT IS
00:30:10 RELATED TO SEVEN STREETS LOCATION WHICH IS THE SHERIFF'S
00:30:14 LIKE HOLDING COUNTY JAIL LIGHT SPACE.
00:30:17 SO THEN THE BUILDINGS ACTUALLY ARE INTERCONNECTED.
00:30:21 SO LET'S BREAK THAT LIKE LET'S PIN THAT ONE FIRST.
00:30:24 >> LET'S ACTUALLY TALK ABOUT THE COURT AND THE HOLDING CELL.
00:30:28 WHAT IS A TIMELINE THAT LOOKS LIKE FOR RELOCATION?
00:30:32 >> YEAH. SO THE COURT'S PRIOR DID THEIR
00:30:35 OWN STATEWIDE ASSESSMENT OF COURT FACILITIES AND RANKED
00:30:40 EVERYBODY IN ORDER OF OF NEED URGENCY OF NEED SAN FRANCISCO
00:30:44 THIS WAS IN 2020 SAN FRANCISCO WAS IN THE SECOND TIER THEY'VE
00:30:49 BEEN MAKING THEIR WAY THROUGH THE THE LIST TOP DOWN AND WE
00:30:53 HAVE NOT JUMPED AND WE ARE APPROACHING THAT WE THE COURTS
00:31:00 RECEIVED MONEY. IT'S IN TWO PHASES THEY
00:31:01 RECEIVED MONEY FROM DOA FOR ACQUISITION AND DESIGN AND THEN
00:31:04 CONSTRUCTION DOLLARS FOLLOW YOU KNOW TO YEARS LATER.
00:31:08 >> SO YOU KNOW THE EARLIEST SAN FRANCISCO SAN FRANCISCO APPEARS
00:31:12 IN THE COURT'S FIVE YEAR INFRASTRUCTURE PLAN FOR
00:31:15 ACQUISITION AND DESIGN FUNDING .
00:31:19 >> THE EARLIEST IT COULD COME WOULD WOULD BE I THINK IT'S
00:31:22 FISCAL 28 I CAN DOUBLE CHECK AND CONFIRM BUT SO THAT WOULD
00:31:26 BE ACQUISITION AND DESIGN BUT THAT IS ALL SUBJECT TO STATE
00:31:30 AVAILABILITY AND SO YOU KNOW IF THAT SLIPS A YEAR OR TWO THEN
00:31:33 THERE'S USUALLY A TWO YEAR GAP TO CONSTRUCTION FUNDING WHICH
00:31:37 CAN BE IT CAN BE FOR A LARGE PROJECTS THAT ARE SPLIT INTO
00:31:41 YEARS AND BUT THEN SORRY I DON'T MEAN TO YOU KNOW I JUST
00:31:44 KIND OF WANT TO MOVE THIS ALONG THIS CONVERSATION ALONG SO HELP
00:31:46 ME UNDERSTAND THOUGH THAT WHILE THAT MAY BE TRUE IF 2028 WE
00:31:49 WON'T KNOW UNTIL 2028 AND FURTHER OUT THAT PORTION IS
00:31:53 SPECIFICALLY CAN BE REIMBURSED AND PROVIDED BY STATE?
00:31:56 >> WELL YES THAT WOULD BE ALL STATE MONEY.
00:32:00 >> OKAY. SO I'M GOING TO PIN THAT PART
00:32:03 PARTS OF THAT WHICH IS A STATE COURT LET'S ACTUALLY TALK ABOUT
00:32:05 THE INVESTIGATE OF UNITS BY CPD AND THEN WE CAN ACTUALLY GO
00:32:09 INTO THE PORTION OF THE SHERIFF'S INFRASTRUCTURE A BIT
00:32:13 TOO BECAUSE THOSE ARE THE PORTION THEN ACTUALLY IS ON THE
00:32:17 RESPONSIBILITY OF SAN FRANCISCO .
00:32:20 >> YES. AND WHAT IS YOUR PROJECTED
00:32:21 TIMELINE FOR SOLVING THAT AS WELL?
00:32:24 A PROJECTED BUDGET TO SOLVE FOR THAT?
00:32:28 >> YEAH, THESE ARE SUCH GOOD QUESTIONS.
00:32:29 SO I THINK YOU KNOW IN TERMS OF TIMELINE TO IDENTIFY A SITE WE
00:32:34 ARE LOOKING IN THE MARKET NOW OBVIOUSLY THE MARKET IS WHAT IT
00:32:36 IS. WE WANT TO TRY TO TAKE
00:32:39 ADVANTAGE OF IT. YOU KNOW BENEFITS THE CITY'S
00:32:42 BUDGET CANNOT MAKE A SITE COME FORWARD AND SO THE SCOPE WE'RE
00:32:46 DEVELOPING WILL BE TO LOOK AT BOTH PROPERTIES WE COULD BUY
00:32:53 AND THOSE WE COULD LEASE TRYING TO CAST A WIDER NET AS POSSIBLE
00:32:55 JUST TRYING TO MAKE THE BEST USE OF OUR FUNDS IN TERMS OF
00:32:58 HOW LONG SO THERE'S A CONTRACT REQUIRED FOR THAT THAT WILL
00:33:03 TAKE SOME MONTHS TO GET GOING AND THEN THE WORK ITSELF YOU
00:33:06 KNOW, I DON'T WE'LL SEE HOW LONG IT TAKES TO COME BACK BUT
00:33:11 WE ARE TRYING TO MAKE THE DECISION ABOUT A PURCHASE
00:33:14 LEASE, YOU KNOW, IN THIS BUDGET CYCLE SAY WE KNOW THAT THE
00:33:18 FUNDS ARE AVAILABLE IN A PLANNED COPY IN THE COMING YEAR
00:33:25 . WE WANT TO BE ABLE TO MOVE IT
00:33:27 IF SOMETHING GOOD COMES UP TO SITE.
00:33:30 I LOOKED AT THIS WEEK IT'S POSSIBLE BUT THE TENANT
00:33:34 IMPROVEMENTS LIKELY REQUIRED THERE UNFORTUNATELY WOULD BE I
00:33:38 EXPECT SIGNIFICANTLY HIGHER THAN WHAT YOU HAVE IN THE
00:33:41 REPORT LIKE THAT IS A REASONABLE NUMBER IF WE ARE
00:33:43 CONVERTING PRETTY GOOD OFFICE SPACE INTO A PRETTY GOOD OFFICE
00:33:47 SPACE FOR THE CITY BUT IT WOULD NOT COVER LIKE AN INDUSTRIAL
00:33:50 GUT AND REBUILD WHICH IS WHAT THE KINDS OF SITES WE'RE SEEING
00:33:55 TO HAVE THE PARKING NEED. >> SO YOU KNOW THE GOAL FOR I'D
00:34:01 SAY LIKE THE COMING YEAR IS TO UNDERSTAND WHAT'S AVAILABLE
00:34:05 AND MAKE A COURSE DECISION. >> TECHNICALLY YOU REALLY HAVE
00:34:08 SIX MONTHS BECAUSE YOU ACTUALLY HAVE TO ALSO DECIDE ARTICLE
00:34:13 ARCTIC'S LEASE IS ENDING BY THE END OF THIS YEAR CALENDAR YEAR
00:34:17 DECEMBER 2026 IS THE END OF ARCTIC.
00:34:18 SO I'M GOING TO ASK THIS NEXT QUESTION IS THAT IT SEEMS WOULD
00:34:22 YOU CONFIRM AND CAN YOU CONFIRM WHAT THE BUDGET AND LEGISLATIVE
00:34:28 ANALYST HAS PROPOSED IS THAT THE REALITY OF THE ENTIRE SCOPE
00:34:33 THAT'S DEDICATED TO OUR HALL OF JUSTICE WHICH IS A LITTLE BIT
00:34:37 OVER $400 MILLION IS ACTUALLY OVER BUDGETED DOLLAR AMOUNT AT
00:34:42 THE MOMENT. >> SO I GIVEN THE PLAN I DON'T
00:34:45 EXACTLY AGREE WITH THAT. NO, I UNDERSTAND THE LOGIC
00:34:49 AND USING THE NUMBERS THAT ARE THERE THAT IS HOW IT ADDS UP.
00:34:53 >> BUT THAT TIE DIFFERENTIAL IS REALLY MEANINGFUL.
00:34:57 >> SO YOU KNOW WHAT IS TIMELY TENANT IMPROVEMENTS?
00:34:58 I'M SORRY. SO THE TENANT IMPROVEMENT
00:35:01 ALLOWANCE IN THE REPORT IS $450 A SQUARE FOOT WHICH LIKE I SAID
00:35:04 IS CONVERT AS A REASONABLE PUBLIC WORKS DELIVER DOLLAR PER
00:35:08 SQUARE FOOT FOR PRETTY GOOD OFFICE TO PRETTY GOOD OFFICE.
00:35:12 >> BUT WE'RE LOOKING AT LET'S SAY THE THE BUILDING OF
00:35:15 80,000FT2 WHICH IS KIND OF MID RANGE OF THE POLICE'S SIZE NEED
00:35:19 FOR ITS INVESTIGATIONS AND OUR TECH THOSE IF IF THAT IS MORE
00:35:23 OF AN INDUSTRIAL SITE WHICH IS MORE LIKE SAY LET'S SAY EVEN
00:35:30 $700 A SQUARE FOOT WHICH I MEAN I AM MAKING THAT NUMBER UP IT
00:35:33 COULD BE HIGHER LIKE WHEN WE DID ANIMAL CARE AND CONTROL
00:35:35 THAT WAS OVER 1100 DOLLARS PER SQUARE FOOT, YOU KNOW WHAT I'M
00:35:38 SAYING? >> SO IT'S REALLY GOING TO IT'S
00:35:39 VERY HARD TO COME UP. >> SO BUT LET'S SAY YOU KNOW,
00:35:42 EVEN IF IT'S $700 A SQUARE FOOT ON 80,000FT2 NOW WE'RE TALKING
00:35:47 ABOUT $56 MILLION AND THERE GOES YOUR DIFFERENTIAL.
00:35:50 >> SO WE DO WE DO NEED TO HOLD THE BUDGET UNTIL WE KNOW A
00:35:54 LITTLE BIT MORE ABOUT OUR DIRECTION.
00:35:58 SO MY HOPE IS THAT THIS COST AS LITTLE AS POSSIBLE.
00:36:00 OF COURSE. >> BUT THANK YOU YOU KNOW THAT
00:36:03 I THINK THAT THAT SOURCES EXCEEDING USES IS THE BEST CASE
00:36:09 SCENARIO. >> THANK YOU I APPRECIATE IT.
00:36:10 I WANTED TO EXPRESS MY THOUGHTS ON SPECIFICALLY ON THIS REPORT
00:36:17 AROUND THE COPY BOTH FOR THE MAYOR AND HIS TEAM AS WELL AS
00:36:21 FOR OUR CONTROLLER. >> MY APOLOGIES.
00:36:22 I, I THINK I BRIEFLY MENTIONED IS BUT TO THE MAYOR HIMSELF BUT
00:36:25 I HAVE YET TO BE ABLE TO HAVE DIVE DEEPER INTO THE DISCUSSION
00:36:31 . I HAVE EXPRESSED MY INTEREST OF
00:36:33 SEEING AND UTILIZING IN THIS UPCOMING BUDGET THAT USING THE
00:36:36 COPIES APPROVE OR AUTHORIZE BUT AN ISSUE OR THAT WE CAN PLAN TO
00:36:43 DO TWO THINGS. SO PRIORITIZE TWO THINGS
00:36:46 AND ONE IS REALLY THE FIRE APPARATUS IS THAT WE HAVE YET
00:36:51 TO BE ABLE TO RAISE FUNDS FOR AND I'M INTERESTED TO USE TWO
00:36:55 COPIES TO ACTUALLY HELP US STARTING PURCHASING THE
00:37:01 APPARATUS THAT'S BEEN REALLY AGE OUT MORE THAN TWO DECADES
00:37:05 AND THREE DECADES. OF COURSE IDEALLY IS THAT WE
00:37:08 COULD BUY THEM WITH CASH. THAT'S NOT THE REALITY OF THE
00:37:13 CITY. SO I'M INTERESTED IN USING THE
00:37:14 COPIES THAT IS AVAILABLE TO US TO BE ABLE TO DO SO IF
00:37:20 POSSIBLE. AND THE SECOND PIECE THAT LIKE
00:37:23 WHAT I'M INTERESTED IN SEEING IS I WONDER IF SUPERVISOR
00:37:27 SHARON CHEN AND SUPERVISOR DENNIS SOUDER WOULD AGREE WITH
00:37:31 ME. >> YOU KNOW, I THINK THAT THERE
00:37:32 IS AN ONGOING DIALOG AND CONVERSATION ABOUT THE API
00:37:35 EQUITY FUND THAT CONSISTENTLY TO CONTAIN TO SUPPORT AAPI
00:37:39 COMMUNITY THROUGHOUT THE CITY AND PARTICULARLY THAT WHAT I'M
00:37:43 INTERESTED IN SEEING IS THE CHINATOWN PRESERVATION FUND
00:37:47 THAT IS TO SAY THOUGH WHAT I'M ALSO LOOKING FOR IS NOT ONLY
00:37:54 THE COPY THAT IS CURRENTLY LISTED INCLUDING THE HALL
00:37:55 JUSTICE BUT ALSO ALL THESE LISTED ALL THE BOND PROJECTS
00:38:02 THAT HAS BEEN YOU KNOW HOW OFT SINCE 2016 WHAT I'M EAGER TO
00:38:05 SEE IS A MORE ROBUST CONVERSATION AND DISCUSSION
00:38:09 IN THE UPCOMING JUNE FOR ALL OF US TO TALK ABOUT WHY WE HAVE
00:38:13 AND MOVE FORWARD WITH SOME OF THESE PROJECTS AND AND I DO
00:38:17 BELIEVE THAT THE TIME IS NOW ESPECIALLY GIVEN I THINK AS
00:38:23 OPPOSED WILL COME BEFORE US NEXT WEEK AS ONE OF THE
00:38:27 ENTERPRISE AGENCY TO TALK ABOUT WHY WE HAVE TO ACTUALLY GET THE
00:38:31 CONSTRUCTION PROJECT GOING NOW BECAUSE THE COST WILL ALWAYS BE
00:38:38 HIGHER DOWN THE ROLL AND SO I LOOK FORWARD TO HAVING THOSE
00:38:41 CONVERSATION ABOUT LET'S MOVE FORWARD WITH WHAT IT'S ALREADY
00:38:46 AUTHORIZED BUT AN ISSUE GEO BONDS AND LET'S MOVE FORWARD
00:38:50 WITH THOSE PROJECTS. LET'S DISCUSS SOME OF THESE YOU
00:38:54 KNOW COPIES THAT HAS BEEN SITTING FOR FAR TOO LONG LIKE
00:39:00 THE $10 MILLION OF THE 2013 TREASURE ISLAND IMPROVEMENT
00:39:01 PROJECT WHICH WE ALREADY KNOW THAT WE ISSUE A $65 MILLION OF
00:39:07 COPIES FOR TREASURE ISLAND. YES, I HAVE QUESTIONS AROUND
00:39:13 THE $39 MILLION OF LIKE ALMOST $40 MILLION OF THE 2019 HALL
00:39:17 JUSTICE RELOCATION PROJECT ESPECIALLY WE KNOW THAT COURTS
00:39:21 AND HOLDING CELLS COULD BE REFUNDED AND REIMBURSED BY
00:39:24 STATE. I WANT A MORE ACCURATE
00:39:28 AND SHOVEL READY ACCOUNT FOR THESE BOND DOLLARS AND COPIES
00:39:32 AND TO BE ABLE TO OFFSET SOME OF THE URGENCY THAT WE HAVE FOR
00:39:36 FIRE APPARATUS WHICH WE KNOW WE NEED TO HAVE RIGHT NOW AND YET
00:39:40 WE DON'T HAVE FUNDING FOR SUPERVISOR SOUDER THANK YOU.
00:39:44 CHAIR CHEN AND I SHARE THAT SENTIMENT OF GETTING THIS MONEY
00:39:49 MOVING TO MR. MINARD DID YOU DID YOU LOOK INTO THAT IN TERMS
00:39:53 OF ALL THE YOU KNOW, SOME $300 MILLION AUTHORIZED BUT UNISSUED
00:39:58 DO YOU HAVE A SENSE WITHIN THAT WITHIN THIS 300 MILLION HOW
00:40:01 MUCH IS MOVING FORWARD BUT MAYBE SLOW AND BEHIND VERSUS IS
00:40:06 THERE A POT IN HERE THAT IS I DON'T WANT TO SAY FORGOTTEN
00:40:10 ABOUT BUT BUT IT'S KIND OF FORGOTTEN ABOUT OR IS NOT GOING
00:40:13 TO BE USED AS ORIGINALLY INTENDED.
00:40:16 >> YEAH FOR THE CHAIR THE SO THIS IS THE LIST THAT ADDS UP
00:40:21 TO THE 309 FOR THE GO BONDS. THERE'S A KIND OF DIFFERENT
00:40:24 STORY FOR EACH PIECE OF IT WITH THE ETHER BONDS.
00:40:28 I THINK SOME OF THE PROJECT COSTS WERE UNDERESTIMATED OR
00:40:31 THERE'S BEEN LIKE A SHUFFLING OF THE TIMELINE OF STARTING
00:40:33 SOME OF THE PROJECTS WITH THE $29 MILLION FOR ACH FROM THE
00:40:39 2020 HEALTH AND RECOVERY BOND THAT WAS ORIGINALLY INTENDED
00:40:40 FOR ADULT PERMANENT SUPPORTIVE HOUSING.
00:40:43 THE DEPARTMENT HAS BASICALLY PUT THAT PLAN FOR ACQUIRING
00:40:47 ADDITIONAL HOUSING ON HOLD SO THERE'S NO IMMEDIATE PLAN FOR
00:40:52 THAT MONEY. AND SO I THINK THAT COULD BE
00:40:56 REDEPLOYED WITHOUT WITH MINIMAL SERVICE IMPACT THE SEAWALL BOND
00:40:59 I THINK HAS YOU KNOW THAT'S FROM 2018 THAT I THINK THE PORT
00:41:06 FRANKLY HAS JUST BEEN SLOW TO GET THE PROJECTS OFF THE
00:41:10 GROUND. WE DIDN'T REALLY EVEN GET A
00:41:11 PROJECT LIST FOR THAT $200 MILLION.
00:41:14 I KNOW THAT THEY'VE JUST HIRED A CONSULTANT TO HELP THEM
00:41:18 DEVELOP A MORE LIKE A MORE ROBUST CAPITAL PLANNING PROCESS
00:41:21 FOR THOSE SORT OF PROJECTS. BUT I THINK THAT THAT IS JUST A
00:41:28 DELAY ON THE PORT'S PART. AND THEN WITH THE SECOND PARK
00:41:31 THERE'S ABOUT $10 MILLION IN FUNDING FOR THESE PROGRAMS.
00:41:34 THEY THEY EXPLAINED TO ME THAT THEY THEIR BOND HAD ADDITIONAL
00:41:38 FUNDING FOR THEM WHERE THEY WHERE THERE WERE NAMED PARKS
00:41:42 AND THE BOND THAT THEY FELT AN URGENCY TO DELIVER IMPROVEMENTS
00:41:46 TO SOME OF THOSE PARKS WHEREAS THESE PROGRAMS ARE GENERAL
00:41:53 AND MULTI-YEAR PROGRAMS AND THAT THEY'RE PURPOSEFULLY
00:41:57 SPENDING THE MONEY DOWN OVER THE NEXT COUPLE OF YEARS TO
00:42:01 ALLOW FOR SOME OF THE POSITIONS IN THEIR DEPARTMENT TO BE PAID
00:42:02 FOR OUT OF BOND FUNDS AND HOW MUCH FLEXIBILITY DO WE HAVE TO
00:42:10 IF THERE IS MONEY THAT HAS BEEN DESIGNATED FOR SOMETHING THAT
00:42:14 ISN'T GOING FORWARD, HOW MUCH FLEXIBILITY DO WE HAVE TO
00:42:15 CHANGE VERSUS WHERE DO WE PASS THE THRESHOLD WHERE WE HAVE TO
00:42:18 GO BACK TO VOTERS? SO IT DEPENDS ON THE
00:42:21 LEGISLATION THAT'S APPROVED BY VOTERS LIKE TO TAKE AN EXAMPLE
00:42:25 FOR LIKE THE SEAWALL BOND THERE WAS A PRETTY GENERAL
00:42:31 AUTHORIZATION FOR A SEAWALL PROJECTS WITH WITH THE PIECE OF
00:42:36 THE HEALTH AND RECOVERY BOND THAT IS SPECIFICALLY FOR ADULT
00:42:40 PERMANENT SUPPORTIVE HOUSING. SO IT WOULD IT DEPENDS ON LIKE
00:42:46 THE ORDINANCE APPROVED BY VOTERS BUT ONCE YOU I THINK
00:42:47 FALL OUTSIDE OF THE KIND OF BLACK AND WHITE OF THE
00:42:52 LEGISLATION THEN YOU WOULD NEED TO GO BACK AND GET VOTER
00:42:55 APPROVAL. >> OKAY.
00:42:56 THANK YOU FOR THAT. THANK YOU.
00:42:59 AND SO WITH THAT I THINK WE'RE READY FOR THE NEXT PRESENTATION
00:43:16 . OKAY.
00:43:17 SO THIS NEXT PRESENTATION IS ABOUT OUR REPORT ALSO ISSUED
00:43:21 YESTERDAY ON THE PERFORMANCE OF FINANCIAL INCENTIVES FOR
00:43:25 HOUSING WHICH LOOKED AT THE IMPACT OF REDUCTIONS TO
00:43:29 INCLUSIONARY REQUIREMENTS DEPARTMENT IMPACT FEES RECENTLY
00:43:32 ESTABLISHED INFRASTRUCTURE FINANCING DISTRICTS AND OTHER
00:43:36 FINANCIAL INCENTIVES THAT HAVE ALL BEEN IMPLEMENTED SINCE 2023
00:43:41 TO INCREASE HOUSING PRODUCTION IN SAN FRANCISCO PARTICULARLY
00:43:46 MARKET RATE HOUSING. SO I WANT TO START WITH THE
00:43:51 MACRO PICTURE WHICH YOU CAN SEE HERE.
00:43:54 THE BLUE LINE SHOWS INTEREST RATES FROM JANUARY 2019 TO
00:44:00 SEPTEMBER 2025 WHICH YOU CAN SEE INCREASED FROM 2.7 TO 4.1%
00:44:03 AND THEN THE RED LINE IS THE CONSTRUCTION COST INDEX
00:44:07 IN CALIFORNIA WHICH INCREASED BY 53% AND THAT IS BASICALLY A
00:44:13 KIND OF COMPOSITE OF LABOR AND MATERIAL COSTS FOR
00:44:17 CONSTRUCTION IN SAN FRANCISCO AND LOS ANGELES DURING THAT
00:44:21 TIME. AND THE INTEREST RATES ARE JUST
00:44:22 AS IMPORTANT AS LABOR COSTS BECAUSE IT MEANS THAT
00:44:26 DEVELOPERS FACE HIGHER HIGHER BORROWING COSTS FOR LOANS
00:44:31 AND HAVE HIGHER HURDLE RATES FOR THEIR INVESTORS TO INVEST
00:44:35 IN THEIR PROJECTS. >> THE THIS SHOWS MEDIAN ONE
00:44:42 BEDROOM RENTS IN SAN FRANCISCO AND THE BLUE LINE AS WELL AS A
00:44:46 CONDO PRICE INDEX AND THE RED LINE AND THE TAKEAWAY FOR ME
00:44:50 FROM THIS CHART IS THAT BOTH RENT AND CONDO PRICES HAVE BEEN
00:44:54 FLAT IN NOMINAL TERMS BETWEEN 2025 AND 2020 EXCUSE ME BETWEEN
00:45:01 2019 AND 2025 WHICH MEANS THAT AT THE SAME TIME THAT COST OF
00:45:06 DEVELOPMENT HAS GONE UP LIKE THE REVENUES THAT DEVELOPERS
00:45:10 GET FOR THEIR PROJECTS HAS NOT GONE UP.
00:45:13 SO THAT HAS MADE MOST DEVELOPMENT FINANCIALLY
00:45:17 INFEASIBLE IN SAN FRANCISCO UNLESS IT'S PUBLICLY FUNDED.
00:45:20 AND SO IN RESPONSE THE BOARD OF SUPERVISORS HAS TAKEN NUMEROUS
00:45:25 ACTIONS TO IMPROVE THE FEASIBILITY OF DEVELOPMENT
00:45:29 IN SAN FRANCISCO STARTING WITH IN SEPTEMBER 2023 THE BOARD
00:45:33 APPROVED AN ORDINANCE TO REDUCE INCLUSIONARY REQUIREMENTS WHICH
00:45:37 AT THE TIME RANGED FROM 15 TO 33% TO THEY REDUCED THE
00:45:43 LEGISLATION, REDUCED IT BY 18 TO 68% DEPENDING ON THE
00:45:47 LOCATION AND CHARACTERISTICS OF THE PROJECT DEVELOPMENT IMPACT
00:45:51 FEES WERE ALSO REDUCED BY 33% AND THEN FOR ADAPTIVE REUSE
00:45:54 PROJECTS, DEVELOPER IMPACT FEES, INCLUSIONARY REQUIREMENTS
00:46:01 AND TRANSFER TAXES HAVE BEEN WAIVED FOR DOWNTOWN ADAPTIVE
00:46:05 REUSE PROJECTS AND IN ADDITION TO THAT THE BOARD HAS ALSO
00:46:09 APPROVED ABOUT $3.8 BILLION IN FUNDING DIRECTLY FOR LARGE
00:46:13 DEVELOPMENT PROJECTS. THERE WAS $115 MILLION FOR
00:46:16 COPIES FOR INFRASTRUCTURE AND TREASURER ISLAND 56 MILLION
00:46:19 ARE LOANED TO THE BALBOA RESERVOIR DEVELOPER FOR
00:46:23 INFRASTRUCTURE AND THEN THREE INFRASTRUCTURE FINANCING
00:46:27 DISTRICTS ESTABLISHED IN THE PAST COUPLE OF YEARS TO SUPPORT
00:46:30 INFRASTRUCTURE AND AFFORDABLE HOUSING COSTS IN THESE AREAS.
00:46:34 IN TERMS OF THE INFRASTRUCTURE FINANCING DISTRICT'S POWER
00:46:38 STATION AND CALIFORNIA STREET, THOSE PROJECTS HAVE YOU CAN SEE
00:46:42 BUILDING ACTIVITY SINCE THE DISTRICTS WERE FORMED STONE
00:46:45 TOWN THERE HAS NOT BEEN ACTIVITY WITHOUT OR WE HAD
00:46:50 REPORTS THAT THEY ARE PLANNING TO START DOING SOME
00:46:54 PREDEVELOPMENT WORK IN THE COMING MONTHS.
00:46:59 THIS GRAPH SHOWS BUILDING PERMIT ACTIVITY OVER TIME 2022
00:47:06 THROUGH 2025 AND YOU CAN SEE THE TIMELINE OF THE VARIOUS
00:47:10 LEGISLATION THAT I WAS JUST TALKING ABOUT KIND OF IN THERE
00:47:14 AS WELL AS THAT DOTTED LINE ON THE TOP IS THE AVERAGE NUMBER
00:47:17 OF BUILDING PERMITS ISSUED IN 2019.
00:47:20 AND SO FOR ME THE TAKEAWAYS FROM THIS CHART ARE THAT THERE
00:47:24 IS NOT AN IMMEDIATE OBSERVABLE IMPACT AT LEAST JUST LOOKING AT
00:47:28 THIS TIMELINE FROM THE LEGISLATION THAT TRANSLATES
00:47:31 INTO BUILDING ACTIVITY AND THAT THERE'S BEEN AN ONGOING DECLINE
00:47:34 BOTH FROM 2019 AND THEN ALSO FROM 2020 TO WE ALSO LOOKED AT
00:47:41 CHANGES TO THE PIPELINE WHICH IS SHOWN HERE.
00:47:45 >> SO THIS SHOWS THE GOOD NEWS IS THAT THERE'S 18% MORE
00:47:52 PROJECTS IN THE PIPELINE IN LATE 2025 AS THERE WERE
00:47:55 IN LATE 2023. BUT A LOT OF THE INCREASE IS
00:48:00 REALLY IN PROJECTS SEEKING ENTITLEMENT APPROVAL FROM THE
00:48:04 PLANNING DEPARTMENT. THERE'S ACTUALLY BEEN A
00:48:05 DECREASE AND BUILDING PERMIT REQUESTS RETRIEVALS AND FOR
00:48:08 UNITS UNDER CONSTRUCTION. SO THAT AT LEAST SUGGESTS TO ME
00:48:14 THAT THERE IS A KIND OF LONG TERM OPTIMISM IN ABOUT SAN
00:48:19 FRANCISCO THAT RENTS WILL RECOVER AND BE SUFFICIENT TO
00:48:23 PAY FOR DEVELOPMENT COSTS AND MARKET RATE RETURNS ON
00:48:27 THOSE INVESTMENTS. BUT THEY'RE NOT NOW READY TO
00:48:31 BUILD IN SAN FRANCISCO. NEXT WE LOOKED AT PROJECTS THAT
00:48:39 WERE STALLED IN 2023 AT THE TIME THAT ALL OF THIS
00:48:42 LEGISLATION BEGAN TO BE ENACTED AND THEN WHAT WAS THEIR STATUS
00:48:46 NOW? AND WE ONLY LOOKED AT PROJECTS
00:48:49 THAT WERE NOT 100% AFFORDABLE BECAUSE THE LEGISLATION DIDN'T
00:48:53 REALLY ADDRESS THOSE AND FOR PROJECTS THAT HAD TEN OR MORE
00:48:59 UNITS AND THAT WERE NOT UNDER A DEVELOPMENT AGREEMENT.
00:49:00 SO THIS IS THE KIND OF SUBSET OF PROJECTS THAT IS REALLY
00:49:03 TARGETED BY THE INCENTIVES WE'VE BEEN TALKING ABOUT.
00:49:05 SO THERE ARE ABOUT 113 PROJECTS STALLED IN 28 LATE 2013 SORRY
00:49:12 LATE 2023 AND BY START I MEAN THERE HAD BEEN NO ACTIVITY ON
00:49:20 THEM IN THE PAST YEAR WHEN WE LOOKED AT THE PROJECTS IN LATE
00:49:23 2025 WE FOUND THAT 65 OF THEM SOME MORE THAN HALF WERE
00:49:27 DELETED FROM THE HOUSING PIPELINE BECAUSE THERE WAS NO
00:49:31 ACTIVITY. >> AND THEN SO WHAT THIS TABLE
00:49:34 SHOWS IS THE REMAINING STATUS OF THOSE PROJECTS AND YOU CAN
00:49:39 SEE THAT 37% MOVE FORWARD IN THE DEVELOPMENT PROCESS.
00:49:43 31% HAD NO CHANGE AND THEN 23% WERE CANCELED NOW BECAUSE SOME
00:49:50 OF THE INCENTIVES ARE HAVE NOT EXPIRED THIS IS A SORT OF LIKE
00:49:57 A TWO YEAR CHECK IN ON THEM SO WE WON'T KNOW THE FULL IMPACT
00:50:01 OF THE INCENTIVES BECAUSE FOR EXAMPLE, IF YOU WERE A
00:50:05 PREVIOUSLY APPROVED PROJECT IN 2023 YOU HAVE UNTIL MAY 2029
00:50:12 TO SEEK REDUCTIONS IN YOUR INCLUSIONARY REQUIREMENTS
00:50:14 BEFORE YOU GET YOUR CERTIFICATE OF OCCUPANCY SO THAT INCENTIVE
00:50:20 WILL REMAIN IN EFFECT FOR SEVERAL YEARS.
00:50:23 >> WE ALSO LOOKED AT OTHER CITIES WITH THIS THIS SHOWS THE
00:50:27 TEN LARGEST CITIES IN CALIFORNIA AND THEY'RE
00:50:28 BUILDING PERMIT ACTIVITY PER CAPITA AND THIS IS NOT NUMBER
00:50:32 OF BUILDING PERMITS IT'S A UNITS THAT HAVE ISSUED BUILDING
00:50:39 PERMITS AND SO THERE'S A COUPLE OF INTERESTING TAKEAWAYS.
00:50:44 FIRST, SAN FRANCISCO HAD THE LOWEST NUMBER OF UNITS ISSUED
00:50:49 BUILDING PERMITS PER CAPITA AND SHOWING JUST 127 AND 2024
00:50:55 MANY. BUT YOU CAN ALSO SEE THAT MANY
00:50:59 OTHER CITIES HAVE EITHER RECOVERED THEIR TOW TO THEIR
00:51:04 2019 LEVELS OF BUILDING ACTIVITY OR THERE'S BEEN AN
00:51:06 INCREASE IN BUILDING ACTIVITY OVER THE PAST COUPLE OF YEARS
00:51:11 EVEN IF THEY HAVEN'T FULLY RECOVERED TO THE 2019 LEVEL.
00:51:14 >> MOST OF THOSE CITIES DID SEE INCREASE IN RENTS OVER THE PAST
00:51:18 SEVERAL YEARS WHICH COULD I THINK LARGELY EXPLAIN THE
00:51:25 BUILDING ACTIVITY OR THE INTEREST IN DEVELOPMENT
00:51:26 IN THOSE AREAS BECAUSE THE RENTS HAVE BEEN GOING UP.
00:51:29 SO THERE'S BETTER ECONOMIC CONDITIONS IN THOSE CITIES FOR
00:51:34 DEVELOPERS. OTHER CITIES MAY ALSO HAVE
00:51:36 LOWER FEES, FEWER LAND USE REGULATIONS AND LOWER LABOR
00:51:41 COSTS WHICH YOU KNOW ALL OF WHICH WOULD MAKE DEVELOPMENT
00:51:45 LESS EXPENSIVE IN THOSE CITIES WHICH HELPS MAKE THEM MORE
00:51:48 FINANCIALLY FEASIBLE. OAKLAND AND SAN JOSE DID REDUCE
00:51:52 THEIR INCLUSIONARY REQUIREMENTS AND OTHER FEES RELATED TO
00:51:57 HOUSING DEVELOPMENT BUT THAT HAPPENED AND OUTSIDE THE WINDOW
00:52:01 IT HAPPENED AFTER 2024 SO I DON'T THINK COULD EXPLAIN THESE
00:52:05 BUILDING ACTIVITY CHARTS THAT YOU SEE HERE.
00:52:11 OTHER RESEARCH BY THE PLANNING DEPARTMENT I THINK CONFIRMS
00:52:15 THESE FINDINGS. THERE'S YOU KNOW, MOST RECENTLY
00:52:20 THE TRIENNIAL TRIENNIAL REVIEW OF THE ECONOMIC FEASIBILITY OF
00:52:23 INCLUSIONARY REQUIREMENTS THAT WAS ISSUED BY THE COMPTROLLER'S
00:52:27 OFFICE JUST ON FRIDAY FOUND THAT THERE'S A FEASIBILITY GAP
00:52:33 OF 80,000 TO $308,000 PER UNIT IN SAN FRANCISCO RIGHT NOW
00:52:37 AND THAT'S CONSISTENT WITH ANOTHER ANALYSIS UNDERTAKEN BY
00:52:41 THE PLANNING DEPARTMENT AND MAY 2025 ON HOUSING CONSTRAINTS.
00:52:45 NOW AS WE KNOW JUST FROM THIS CHART THERE HAVE BEEN SOME
00:52:49 PROJECTS DELIVERED SO THESE CONDITIONS DO NOT APPLY TO
00:52:53 EVERY SINGLE PROJECT BECAUSE EACH PROJECT SPONSOR HAS A
00:52:56 DIFFERENT COST OF CAPITAL BUT IT DOES APPLY TO MOST PROJECTS
00:53:00 UNDER THIS ANALYSIS AND I WILL ALSO SAY THERE ARE SOME THE
00:53:05 ANALYSIS THAT HAS BEEN DONE DID NOT LOOK AT AREA SPECIFIC
00:53:09 INCLUSIONARY REQUIREMENTS. IT DID NOT INCORPORATE
00:53:12 FORECASTS OF HOME PRICES IN ITS ANALYSIS.
00:53:16 IT JUST LOOKED AT CURRENT CONDITIONS AND IT DID NOT
00:53:17 COMPREHENSIVELY EXAMINE DEVELOPMENT IMPACT FEES.
00:53:20 >> SO JUST TO KIND OF PULL THIS ALL TOGETHER IN ONE NICE CHART,
00:53:24 THE KIND OF STATUS QUO WE FACE IS A FINANCIAL FEASIBILITY GAP
00:53:31 OF 80 TO $308,000 PER UNIT. THE MACRO CONDITIONS ACCOUNT
00:53:35 FOR A SUBSTANTIAL PORTION OF THAT FEASIBILITY GAP.
00:53:39 YOU CAN SEE PRIOR ANALYSIS OF ESTIMATED THAT AS HIGH AS
00:53:43 $232,000 PER UNIT AND THEN THE LEVERS THAT THE CITY HAS DIRECT
00:53:48 CONTROL OVER SUCH AS DEVELOPER IMPACT FEES AND INCLUSIONARY
00:53:51 REQUIREMENTS AT TIMES ARE SIGNIFICANT BUT ARE NOT ENOUGH
00:53:55 TO CLOSE THAT GAP. THE DEVELOPMENT IMPACT FEE
00:53:58 DISCOUNTS THAT HAVE ALREADY BEEN APPROVED BY THE BOARD YOU
00:54:02 KNOW IN A SAMPLE PROJECT WE LOOKED AT SAVED BETWEEN 4
00:54:05 AND $16,000 PER UNIT IF YOU IF YOU WERE TO WAIVE THEM ALL IT
00:54:09 WOULD BE 8 TO $33,000 PER UNIT. SIMILARLY THE THE INCLUSIONARY
00:54:16 REQUIREMENTS ARE A MORE SUBSTANTIAL COST ON DEVELOPERS
00:54:20 AND UNDER CURRENT POLICY THERE ARE ABOUT 40 TO $90,000 PER
00:54:23 UNIT UNDER EXISTING CITY POLICY .
00:54:27 >> SO IN CONCLUSION THE FEE REDUCTIONS HAVE NOT BEEN
00:54:32 SUFFICIENT TO ACCELERATE HOUSING PRODUCTION SINCE 2023
00:54:34 IN THE FACE OF BROADER MACROECONOMIC WINS THE FEE
00:54:38 WAIVERS YOU KNOW FOR PROJECTS THAT WERE DELIVERED DID REDUCE
00:54:42 CITY REVENUES FOR THOSE PROJECTS THOUGH SOME OF THEM
00:54:44 MAY NOT HAVE MOVED FORWARD WITHOUT THE WAIVERS WE HAVE
00:54:47 RENTS HAVE RECENTLY GONE UP IN THE IN THE PAST SEVERAL
00:54:50 MONTHS THEY'VE BEEN NOMINAL TERMS RETURN TO THEIR 2019
00:54:54 LEVELS SO THAT MAY INDICATE A RECOVERING MARKET.
00:54:57 AND SO AS WE AS THE BOARD I AM SURE WILL DEBATE ADDITIONAL
00:55:02 DISCOUNTS TO THESE FEES, I THINK IT'S IMPORTANT TO ALSO
00:55:06 HOLD THAT THE THAT FUTURE RENTS AND CONDO PRICES MAY BE
00:55:11 DIFFERENT THAN THEY ARE NOW AND ALSO RECOGNIZE THAT FURTHER
00:55:17 FEE REDUCTIONS COULD. GOING BACK TO THIS CHART PUSH
00:55:19 MORE PROJECTS INTO FEASIBILITY SOONER AS THE MACRO CONDITIONS
00:55:22 CHANGE SO WE HAVE SEVERAL OPTIONS FOR YOU TO CONSIDER.
00:55:26 >> ONE IS REQUESTING THAT CONTROL IN THE PLANNING
00:55:29 DEPARTMENT TO DO A BROADER ANALYSIS OF DEPARTMENT IMPACT
00:55:33 FEES AND AREA SPECIFIC INCLUSIONARY REQUIREMENTS
00:55:36 AND TO DETERMINE THE EXTENT TO WHICH THEY RESTRICT HOUSING
00:55:40 DEVELOPMENT AND DO THAT ON THE SAME CYCLE THAT THEY ARE
00:55:44 ALREADY DOING. THE EVALUATION OF THE BASELINE
00:55:45 INCLUSIONARY REQUIREMENTS. ALSO TO REQUEST THE PLANNING
00:55:49 AND BUILDING DEPARTMENT TO REPORT EVERY THREE YEARS ON THE
00:55:52 PERFORMANCE OF THE FEE WAIVERS THEY HAVE ALREADY APPROVED OR
00:55:57 MAY APPROVE IN THE FUTURE AND HOW THEY'VE IMPACTED THE
00:56:00 HOUSING PIPELINE ALSO TYING ANY FUTURE FEE REDUCTIONS TO AN
00:56:04 IMPROVEMENT IN MACROECONOMIC CONDITIONS AND NOT MAKING THEM
00:56:08 PERMANENT AND ALSO THIS ANALYSIS LOOKING AT HOW
00:56:15 PROJECTS MIGHT CHANGE THEIR STATUS OVER TIME WAS A VERY
00:56:19 LABOR INTENSIVE PROCESS THAT NO ONE HAD DONE BEFORE BECAUSE IT
00:56:23 WAS IMPOSSIBLE TO DO UNDER THE EXISTING PLANNING DEPARTMENT
00:56:27 SYSTEM WITHOUT MANUALLY GOING THROUGH EACH PROJECT.
00:56:31 SO WE DO RECOMMEND THAT THE PLANNING DEPARTMENT CREATE A
00:56:34 UNIQUE PROJECT IDENTIFIER TO ALLOW BETTER TRACKING OF
00:56:38 PROJECTS THROUGH THE PIPELINE OVER TIME WHICH THEY ARE
00:56:42 PLANNING TO DO. >> AND THEN FINALLY, YOU KNOW
00:56:46 MOST OF THE FEES THAT WE'RE TALKING ABOUT HERE THEY ARE
00:56:47 DEDICATED TO AFFORDABLE HOUSING OR OTHER COMMUNITY FACILITIES
00:56:52 SO AS TO THE EXTENT THAT THE BOARD CONTINUES TO APPROVE
00:56:56 REDUCTIONS IN THESE FEES, IT MAY MAKE SENSE TO BACKFILL THAT
00:57:03 REVENUE SO THAT THAT INFRASTRUCTURE CAN CONTINUE TO
00:57:04 GET BUILT AND THAT THOSE COSTS ARE NOT CONCENTRATED ON A SMALL
00:57:11 GROUP OF PAYERS SUCH AS DEVELOPERS BUT INSTEAD ON A
00:57:14 BROADER BASE OF TAXPAYERS. >> HAPPY TO ANSWER ANY OTHER
00:57:19 QUESTIONS? >> I THINK MY QUESTION IS THAT
00:57:23 SORT OF WHY EVERY THREE YEARS TO REPORT BACK LIKE WHY NOT
00:57:29 TIMELINE AND AND AND BECAUSE I THINK OFTEN TIME WHEN WE TALK
00:57:33 ABOUT FEE WAIVERS WE HAVE SEEN WAIVERS FOR 5 OR 10 YEARS
00:57:38 SOMETIMES OR JUST IN DEFINITE AND I GUESS WHAT I'M TRYING TO
00:57:42 SAY WHAT I'M TRYING TO ASK IS THAT EVEN ONCE WE WAIVER FEES
00:57:49 WITHOUT A SUNSET DATE IT JUST CONTINUE ON BECAUSE IT'S TOO
00:57:54 EARLY TO IMPOSE A NEW FEES AS OF TODAY BOTH POLICY STATE
00:58:01 POLICY PREEMPTIVELY RESTRICTING THE CITY TO BE ABLE TO IMPOSE
00:58:05 FEES LIKE THE WAY WE HISTORICALLY HAS IN THE PAST
00:58:08 NOW THEY NOW A LOT OF TIMES THESE FEES WILL THEN HAVE TO GO
00:58:12 TO THE VOTERS INSTEAD OF BEING ABLE TO ALLOW THE CITY TO
00:58:16 REALLY SET UP FEES. NOT ALL BUT SOME.
00:58:19 SO HELP US UNDERSTAND YOUR LOGIC OF REPORT BACK OF THESE,
00:58:26 YOU KNOW IMPACT IN EVERY THREE YEARS WHY WHY EVERY THREE BIG
00:58:33 EVERY THREE YEARS FELT LIKE A GOOD CADENCE FOR A COUPLE OF
00:58:37 REASONS. ONE THERE IS AN EXISTING
00:58:38 PROCESS ALREADY ESTABLISHED IN THE PLANNING CODE FOR A
00:58:41 REVIEW OF THE BASELINE INCLUSIONARY REQUIREMENTS EVERY
00:58:45 THREE YEARS. AND SO I THINK PIGGYBACKING ON
00:58:48 THAT PROCESS WHERE THERE'S ALREADY A CONSULTANT IN PLACE
00:58:52 AND POLICY MAKERS ARE KIND OF THINKING ABOUT THESE FEES
00:58:55 AND THE BROADER MACROECONOMIC CONDITIONS AFFECTING HOUSING
00:58:59 FELT REASONABLE TO ME. AND THEN IN ADDITION TO THAT I
00:59:00 ALSO THINK I, I FELT LIKE EVERY YEAR WOULD BE TO TOO SOON I
00:59:06 THINK THERE'D BE TOO MUCH NOISE AND YOU WOULDN'T REALLY HAVE A
00:59:10 SENSE OF A TREND BECAUSE THERE'S ALWAYS A BUNCH OF NOISE
00:59:14 HAPPENING RIGHT? BUT IF YOU WERE TO LOOK AT A
00:59:16 COUPLE OF YEARS OF DATA I THINK YOU COULD HAVE MORE CERTAINTY
00:59:19 ABOUT WHERE CONDITIONS ARE. >> THANK YOU.
00:59:22 I REALLY APPRECIATE THIS REPORT, COLLEAGUES.
00:59:26 >> I THINK THAT THIS IS WE'VE BEEN HAVING ALL SORTS OF
00:59:30 NEGOTIATION AND DEBATE ABOUT ALL THESE IT IS MY GOAL THAT
00:59:34 THIS BECOMES A FRAMEWORK OR A PROVIDING A FRAMEWORK
00:59:38 AND CONTACTS FOR US TO HAVE ONGOING CONVERSATIONS.
00:59:41 >> SUPERVISOR CHEN THANK YOU CHAIR AND I DO HAVE A QUESTIONS
00:59:45 ON THIS. MY NUMBER IN A NUMBER NINE YOU
00:59:49 MENTIONED THAT ON SLIDE NUMBER EIGHT THAT THE PERCENTAGE
00:59:55 CHANGE OF 18% TO THE TOTAL 18%. NICK SO YOU MENTIONED SOMETHING
01:00:00 ABOUT IT'S PROBABLY DUE TO ENTITLEMENT INCREASE OF THAT
01:00:08 MEANS LAND BANKING SOMEONE IS DOING LAND BANKING IN A CITY
01:00:11 THAT THAT IS A WAY TO CHARACTERIZE IT.
01:00:16 YEAH. OKAY.
01:00:16 SO THE BOTTOM LINE IS 18% OKAY. >> AND THEN ON PAGE NINE I JUST
01:00:22 WANT TO UNDERSTAND HOW TO READ AND TO CHECK THE CHART SO WE
01:00:26 HAVE CANCER ON IT AND REDRAWING PROJECT WHAT YOU SAY ABOUT
01:00:32 22.9% SO DOES DOSE CANCEL A PROJECT THEN BACK TO THE
01:00:37 PERCENTAGE CHANGE OF THE 18% ARE THEY COMPLETELY OUT OF THE
01:00:41 PICTURE FOR YOUR CALCULATIONS? >> SO IT'S A MIX OF BOTH MANY
01:00:46 OF THEM ARE JUST DEAD. THE DEVELOPER GAVE UP ON THEM.
01:00:50 >> SOME OF THEM THAT THEY GAVE UP ALSO MEANS THAT THEY THEY
01:00:55 DON'T OWN THE LAND THAT THAT ENTITLEMENT AND THAT THEY BACK
01:00:59 TO THE MARKET ON SALE BY SOMEONE STILL OWNS THAT CORRECT
01:01:02 BUT WOULD THEN BE THAT 18% BE CALCULATED IN YOUR 18% SO THEY
01:01:06 ARE THESE ARE TWO DIFFERENT I THINK LIKE THIS TABLE WHICH IS
01:01:13 SHOWING THE CHANGE IN THE STALLED PROJECTS IT'S REALLY A
01:01:16 SUBSET OF THE PROJECTS SHOWN ON THIS TABLE SO SOME OF THEM WILL
01:01:21 APPEAR IN THE 18%. >> OKAY.
01:01:24 SO YEAH, SO THEN THEY BACK TO THE PIPELINE BASICALLY CORRECT
01:01:27 ? >> OKAY.
01:01:28 AND SO RATHER THERE'S ONE OTHER EXPLANATION I WANTED TO SHARE
01:01:32 WHICH IS FOR SOME OF THE CANCELED PROJECTS BUT THE
01:01:35 PLANNING DEPARTMENT SAID IS THAT BECAUSE THERE HAS BEEN
01:01:39 SOME CHANGES IN THE STATE DENSITY BONUS OR AND THE FAMILY
01:01:42 ZONING LAW THAT WENT INTO EFFECT RECENTLY THAT SOME
01:01:46 PROJECTS HAVE CANCELED THEIR ENTITLEMENTS TO SEEK PROJECTS
01:01:50 WITH DIFFERENT ATTRIBUTES SO SOME OF THOSE CANCELLATIONS ARE
01:01:55 ACTUALLY IN THE NEW PIPELINE. >> GOT IT.
01:01:58 YEAH. THANK YOU FOR THAT EXPLANATION.
01:02:01 UM, THAT HELPS ME. >> THANK YOU.
01:02:07 THANK YOU. I LOOK FORWARD TO USING THESE
01:02:12 AS A FRAMEWORK FOR US TO HAVE CONVERSATION ABOUT.
01:02:15 I THINK AS INDICATED BY THE REPORT HAVE SHOWN US THERE ARE
01:02:21 TWO LEGISLATION RIGHT NOW THAT ARE PENDING.
01:02:24 ONE IS THE TRANSFER TAX THAT WAS INTRODUCED A TRANSFER TAX
01:02:29 WAIVER. I BELIEVE THE THERE ARE A FEW
01:02:33 ACTUALLY. >> YOU KNOW THERE'S THE
01:02:34 TRANSFER REAL ESTATE TRANSFER TAX CHANGES THAT IS COMING
01:02:37 BEFORE US AS WELL AS THE FORECLOSURE TRANSACTIONS
01:02:47 TRANSFER TAX. I THINK THAT THIS WILL BE ALL
01:02:52 AND ALSO THERE IS THE FOR CONVERSATION THAT'S COMING
01:02:58 BEFORE THIS BODY. >> I WOULD LOVE TO NOW HAVE
01:03:01 THESE AS CONTACTS AND FRAMEWORK FOR THOSE CONVERSATION.
01:03:09 THANK YOU FOR THE BUDGET AND LEGISLATOR ALLAS THANK YOU
01:03:10 MR. MINER FOR YOUR ANALYSIS TODAY I WANT TO SAY THOSE
01:03:17 COLLEAGUES YOU WILL SEE IN THE UPCOMING BUDGET CONVERSATION
01:03:20 INCLUSIVE OF SOME OF THESE CAPITAL IMPROVEMENT FUNDINGS
01:03:27 THAT IS PART OF THE BUDGET FOR THESE SOME OF THESE CHAPTER SIX
01:03:32 DEPARTMENTS FOR DEPARTMENTS THAT THAT ACTUALLY HAVE
01:03:36 APPROVED BUT UNUSED UNSPENT BOND DOLLARS AS WELL AS FOR OUR
01:03:47 PLANNING DEPARTMENT MERGING WITH DEPARTMENT OF BUILDING
01:03:51 INSPECTION AS WELL AS OFFICE OF ECONOMIC AND WORKFORCE
01:03:55 DEVELOPMENT AND THE MAYOR'S OFFICE OF HOUSING AND COMMUNITY
01:03:58 DEVELOPMENT WHEN THEY COME BEFORE US FOR THEIR BUDGET THIS
01:04:03 COMING ONE COMING JUNE DAY SOME OF THESE CONVERSATION WILL
01:04:06 ACTUALLY BE FRAME WITHIN THESE TWO REPORTS ABOUT THEIR BUDGET
01:04:13 AND AND SORT OF ABOUT THEIR ADVOCACY AROUND FEE WAIVERS
01:04:17 INCLUSIONARY WAIVERS AND IN ASSOCIATION OF THEIR
01:04:22 PERFORMANCE FOR WORK WHICH IS THE HOUSING PRODUCTION PIECE
01:04:26 AND THEN OF COURSE EVERY OTHER CITY DEPARTMENT ACTUALLY HAS
01:04:30 BOND DOLLARS THAT ARE UNSPENT BUT ISSUE AND AUTHORIZE
01:04:33 AND THEIR REPORT BACK ON THOSE WHICH INCLUDES OF SOME OF THE
01:04:40 ENTERPRISE AGENCY INCLUSIVE OF SUPPORT SO WITH THAT LET'S GO
01:04:44 TO PUBLIC COMMENTS ON THESE TWO ITEMS.
01:04:48 YES. IF WE HAVE ANY MEMBERS OF THE
01:04:49 PUBLIC WHO WISH TO ADDRESS THIS COMMITTEE REGARDING EITHER THE
01:04:52 HEARINGS AND OUR ITEMS 1 OR 2, THAT WAS YOUR OPPORTUNITY,
01:04:59 MADAM CHAIR. >> WE HAVE NO SPEAKERS SEEING
01:05:00 NO PUBLIC COMMENTS PUBLIC CARMEN IS NOW CLOSE COLLEAGUES
01:05:07 ,I WOULD LIKE TO ACTUALLY HAVE THESE TWO ITEMS HEARD IN FILE
01:05:11 IF I MAY SECOND BY SUPERVISOR SOUDER AND WITH THAT LET'S HAVE
01:05:20 A ROLL. >> LET'S ROLL CALL PLEASE.
01:05:21 AND ON THE MOTION THAT BOTH HEARINGS AND ARE ITEMS ONE
01:05:25 AND TWO HOW MOVED BY CHURCH AND SECONDED BY MEMBER SAUTER
01:05:28 WOULD BE HEARD AND FILED. MEMBER SAUTER SAUTER I REMEMBER
01:05:35 CHEN CHEN I CHURCH CAN I CAN I WE HAVE THREE EYES THE MOTION
01:05:40 PASSES AND I WANT TO CONCLUDE THIS MEETING TO SAY THAT I'M
01:05:44 GLAD THAT ALL THE PEOPLE THAT NEED TO KNOW ABOUT THIS
01:05:47 ACTUALLY ARE IN THE ROOM AND SO I SO THIS WILL NOT BE A
01:05:51 SURPRISE SHOULD JUNE COME. SO I APPRECIATE EVERYBODY'S
01:05:54 PARTICIPATION IN THIS HEARING. AND WITH THAT, MR. CLERK, DO WE
01:05:58 HAVE ANY OTHER BUSINESS BEFORE US TODAY?
01:06:01 >> MADAM CHAIR, THAT CONCLUDES OUR BUSINESS.
01:06:02 THE MEETING IS ADJOURNED