Project area to know how were doing and a summary of what were working on and a work plan in 17 and 18 which is what were in right now. Just to recap, the mission of oc ii and the Housing Division is to create Affordable Housing pursue ant to our state, the state department of finance and approved enforceable application s in our three Major Development projects mission day and trans bay and the remaining housing obligations we had after dissolution weve completed those in the fiscal 16 and 17. So as you know in 2014 the mayor rolled out a goal to create 30,000 Housing Units by 2020 onethird of those are to be affordable and ocii is a key component to achieving the plan and ociis housing obligations will result in almost 3,000 affordable units by 2020 or onethird of the mayors goal. I wanted to note in the chart you can see that the stand along funded units is 1,069 thats half of what the ocii funded units what we intend to deliver by the end of 2020 and that cat gore see what we have control over because were overseeing those as compared to the inclusion ary units which as you know are delivered by private developer so we have less control over that. So just to recap, who were serving, we are serving primarily very low and low income households and that range s from an example of 50 fourperson household just to give a sense of who were serving. Theyre the income cap there is 57,650 and we go up to moderate income for example in our trans bay one Home Ownership project were reaching folks at that level and also our inclusion ary units in the moderate income category and we get questions on how we program specifically the Affordable Housing type for the Affordable Housing parcel 740 is Family Rental in the period of 2014 to 2020 70 . In terms of doing a significant amount of affordable rental versus Home Ownership, some of that is driven by financing sources that are available and we try to leverage it as much as we can especially in the rental product where we have tax credit and tax ex em bond financing thats our main source of funding and Home Ownership we dont have that at all. So he wanted just in terms of public policy, the Mayors Office and city have been focusing on addressing Homeless Individuals and including Homeless Veterans and then just sort of a backstop during the National Recession which is pretty old now but from 2008 to 2012, a lot of them Housing Production stopped and were still really catching up so theres a partial explanation of the huge increases and market rate and were playing catch up and the strong economic rebound in San Francisco has continued and the Unemployment Rate is 3. 3 as of september. So back to the highlights that executive director was mentioning its been a strong year we delivered in 1617 we delivered 603ocii affordable units and 542 were ocii funded stand alone and 51 were inclusionary that basically touched and effected 1500 San Franciscoance so its a huge Significant Impact and its something we should feel great about. Other activities we added housing team at ocii adding a new Housing Development specialist and we also implement ed the certificate of preference survey and youve heard about in the past and will hear more about and my presentation will be followed by a presentation on c. O. P. From both pam sims and Maria Benjamin so im not going to touch a lot on the c. O. P. And marketing in my presentation and so we are continue to go accelerate Affordable Housing and we have 1400 units in construction and active Pre Development so its really a big pipeline that were working on. Touching back onto the c. O. P. We had strong results and were seeing the payoff of the early marketing out reach that weve adopted. So just a couple of just a few kind of bigger issues effecting the role that were in in terms of Affordable Housing in San Francisco, and a lot of this weve touched on in the past that you already were aware of but weve got extremely High Construction costs and as we go forward were finding its a real challenge so were spending a little bit more time getting creative on ways to address the high costs and so the youve heard we have the cost caps, the state ride cost caps in place by thats the Tax Credit Allocation Committee and california debt limit allocation committee. One thing that is live and in play at the moment is tax reform the house bill includes the elimination of private activity bonds and those of our tax ex em bonds and the way that we can access 4 tax credits so its, were hoping that was a oversight because they left the 4 tax credit in the house bill however in the senate bill, private activity bonds were left alone so were hoping during the reconciliation process that private activity bonds will be maintained and its a big scramble with a lot of the deals that are using which are basically all our deals that are using tax ex em exempt and they hope that fire drill will be for not because its a huge impact. I can talk more about that if you are interested but we should find out in the next couple weeks. So in the event that we lose that as a Funding Source that will have a big impact on us and well have to essentially make up that difference and that subject to future legislation, you know, there could be some other fixes that we dont know about yet. I touched on this a bit before and just cutting it in a slightly different way the clients we serve are low and low income rental and low in moderate Home Ownership and very low income seniors and formally Homeless Veterans and developmentally disabled folks and transition aged youth and this pie chart shows the break down about the percent of its a low number and Family Rental the 07 and supportive at 15 and home opioid at 11 . This is what the housing team does all day so we attend Community Meetings and we work on Schematic Design rerioux and approvals just like the last item you heard and we negotiate Development Agreements and on Marketing Activities and we have a housing asset protocol as we finishish our projects and transfering over to ocd and here is just a list of the Affordable Housing financing tools that we use on many of our projects. This mentions the past fiscal years so you can see the stand alone projects and this year its 552 units and this is the strongest year weve had for the past four years so were happy to theres a nature to Housing Development so its never like kind of constant and it depends on the status of the things so it does tend to fluctuate a fair amount these are projects that make up the Housing Projects delivered through the fiscal year so theres the 206th street or the hugo in south of market and this was going to have a dedication in about two weeks so hopefully you folks can come and then theres hunters view 2a is which is 106 units and the Mission Block is seven west or 588 mission bay which we already had the opening dedication and Alice Griffith phases 1 and 2 which is actually really exciting, thats the first delivery of new housing and the phase 2 of the shipyard and Candlestick Point. The following chart is our inclusionary portfolio and this shows the 51 units delivered and its shown by project area. And these are the inclusionary projects that make up the 51 units and theres known as mission bay by windsor and then 1550 frank len from the western edition and two projects on hill top at the shipyard phase 1. And these are a couple of charts just showing our obligations for the ocii funded units. And these are over our obligations so the majority of what weve got the largest amount son the shipyard in candle stick which is mission bay follows at 32 . This chart shows a break down of the deliveries in the ocii funded units by project area. If i push things out further we have photos and a summary sheet of the projects completed and this again is bill, Community Formally known as the hugo and that was finished in december of 2016 and here is hunters view phase 2a finished in february of 2017. And this is 1450 franklin it has the nine inclusionary units. And that was finished in december of 2016. Now project area by project area the candle, Hunters Point shipyard and candle stick point in phase 1 we have 27 of the total Housing Units will be affordable and in phase 2 its 32 . This is just a map at which ive seen many times. A big component of this plan is to revitalize the Housing Project and its well under way. So theres charts for each of the different project areas and essentially it is showing what the opera gays is up obligation up front and affordable to the total number of and percentage of Housing Units delivered so for example in this case, what the obligation is 27 in that shipyard phase 1 and the numbers are exactly 27 so were right on track in that case. And in phase 1 here is a couple of project sheets for the in collision ary projects delivered in phase 1 and block 53 and also block 54. And then weve got the shipyard phase 2 Candlestick Point the same charts are included and you can notice on the build out that the plan calls for 32 afford able this chart to the right is showing all thats been delivered to date is affordable at alice give and no market rate housing that started construction in phase 2 or Candlestick Point. A couple of slides showing alice phases 1 and 2 which are complete. We will have a dedication ceremony in february, so were looking forward to that. And then Alice Griffith phase 3 is under construction and it is actually finished we have the temporary certificate of ok occupancy last month so thats super excited and moving on to mission bay, as you know theres two plans mission bay north and south and weve got about 30 of the combined plan areas will be where this residential units that will be affordable. And then this chart lists other amenities and other parts of the neighborhood. In mission bay north our Affordable Housing, all of the market rate housing is finished and its built out and these two charts show what it was going to be at build out and what it is now and theyre the same because its done. So that achieved 24 affordable. Ok and then the last, the final inclusionary project in mission bay north and this is the one that was known as aviva and now its mission bay at windsor and we have Median Income finished in november of 2016. And moving on to Mission Bay South, these two charts, this is telling in that the goal is to have 35 of the units affordable at build out and on the chart on the right you can see where were at 15 this is a reflection of a couple of things and one is the rapid pace of the market combined with the pause that we took due to dissolution but were catching up rapidly and we have 6 east under construction and there is 3 east that you just approved the gap loan and ground lease thats going to Start Construction this month and then you will see the sematic design for that in march and then theres mission day south block nine and you will be seeing that loan request in about two months. So Mission Bay South west 7 west this is one of the completions and then Mission Bay South 6 east under construction i just mentioned. And 3 east this is the project thats going to have both low income families and formally veterans and expected to start in a couple of weeks and then 6 west which is going through a semantic design process right now. Ok, the last project area bun least is trans bay and so this is going to have 4100 units and 35 will be affordable at build out. And this chart shows the right now were at 32 over all is affordable and renee was the first project that was finished and thats 100 affordable and theres soleair which say market rate project and trans bay 6 is also finished. And trans bay 7 is very close to being finished thats supposed to get a certificate of occupancy in february. 119 affordable units and were excited, marketing as well under way on that project theres been the lottery and efforts. This is a work place summary in fiscal 2017 and 2018 which were in right now and were going to be transfering the alice one and two project over to mocd and phase 3 is completed already and phase 4 is under construction and well start the initial Pre Development planning for phases 5 and 6. And Candlestick Points block 10a and 11a and you know about 10a in detail and 11a is coming foray approval in january or february. And the developer selection for 52 and 54, we anticipate that for february. We got sub submitals and well work on a draft for block 56 and that wont be issued until the following fiscal year. And mission bay were going to transfering the assets for block seven west and i went over and i think i already went over most of these already. And then i will say part of our work plan in transbay to get an r. F. P. Four blocks to east and west and well do the same thing were doing more for the two separate projects or thats the plan right now. So we are accelerateing the housing plan through the use of our bond proceeds we were able to access through s. D. 107 we have a few r. F. P. S well work on in fiscal 2017 and 2018 and any r. F. P. We issue will be the next one commission all i see is a draft for that. And then well start a draft of block 9a in mission bay and here is a map of where that is, its a really great site across from a park. And here is a context map for block 56 and shipyard and theyre working on that site. The transbay to east and west youve got transbay block one across the street under construction and block 6 on the other side which is finished. And then transbay block 4 we are working on in negotiations right now with the developer on that project. So a little couple of slides kind of providing an overview of the s. B. E. Program and weve got in fiscal 1617 this was 453 afforded contracts and nine projects with ocii developer partners and over 154 million or 35. 7 were awarded to sbes and the my chart disappeared. Someone ate it. And just women and minority on firms the received 48. 7 of professional services and construction contracts. Nice. And so you are going to be hearing more about the c. O. P. In just a minute and as a reminder we have an merve dumb of understanding ocii does with the mayor Housing Development development and the out reach and marketing ocii sponsored projects and the as i mentioned before, ocii has a senior Development Specialist working as a marketingly a on and its been really helpful and impactful. The ok pack soon preferences which we talked about the cop holders are always have first preference and we have affirmative out reach to cop holders and strong results in fiscal 1617 and we have followed by a preference and if pending the discussion neighborhood residents preference and after that theres San Francisco residents or workers. Maria can give you the update on dalia, we got to use dalia on transbay block 7 with a lot of success to date. Just to mention, just to remind awful us the housing team which were grateful, for the work of jayna cyst ant Development Specialist and elizabeth senior Development Specialist and gretchen heckman, kim, Development Specialist and pam sims senior Development Specialist of marketing so with that, im happy to take any questions. Do we have any speaker cards madam secretary . Yes, madam chair we have two speaker cards, oscar. Oscar james. It was for the next item. With the certificate of preference. That was my card so im sorry for putting it in for that. Oh, ok. You can call me on the next item please. Ok. Aish washington ace washington. Listen, this is quite interesting and im going to try to do this all in three minutes and make it a para sell so when i get to speak on what i speak i dont have to just hammer down hoping we can have a Common Ground on record to say well this could be the first of its kind and speaking on the issue, Affordable Housing, which is one of your obligations that youve had with the Governor Brown but you dont hear nothing, i keep repeating myself because thats the way it is. You have nothing indicating nothing about the west edition and the housing. Your obligation from 1948 when Justin Herman came and wiped himself clean. But then here we are in 2017, what does this mean . You all skipping all over town. You regained a new identity. Ocii. But thats a big lie, you are still that same agency and please its not you personally im just doing this practices, excuse me, because it may be im so serious i might, when i talk i rhyme and i go joking because this stuff is so serious. You dont have to be curious. Anyway. So getting back to what you talking about housing thing its really going to have to be rearrangeed once i get our identity and this housing thing with ed lee. I mean he boast about this years ago and escalate housing whatever it is but you got to remember, that stuff was before he came on board, that was best ppp, that was before a lot of things, it was the revitalization and it was a lot of things, and oh by the way before there was a c. A. C. , there was h. C. E. Because you know who put all the c. A. C. S together after the way pack, when i came back willie brown put c. A. C. S the first one that failed everybody was in the western edition. The c. A. C. , but there was placed everywhere else buffer your development. Were going to have to replace ment that and theres a place called community reform. Dont rule that out later. I got solution to and solution. Anyway, housing, thats a big issue. Yall going to have to take kaur right gform you do anything. Peter cohen. Good afternoon, with the council of Community Housing and organizations and i just came today to compliment you again on a good end reports its helpful dodge and i want to thank staff for the hard work and i think our organization pushed for this and speak to its value and theres a lot of information but a couple of thoughts, the track ing charts, which think jeff white attributes specifically to my push of track ing the progress overtime and these very, very large Re Development areas and this is how we can keep track of institutional memory, these are stories that are being told about the success if you will of these very large redevelopment areas and its one way to kind of not forget that this is a long story and keep track and each individual project but we argued we need to have the small stories, each one is human scale and it is something that makes us feel the value of our work but the big picture is how are we doing so i want to emphasize the value of those tracking charts and see where Market Trends like in Mission Bay South are setting up the situation where were not able to keep up with the Affordable Housing and it raises questions about can we do more to make sure that the percentage of 30 or 27 is achieved at a sustained level so we dont have bottom points so were down to 15 but it allows you to use that as a metrics, what do all these numbers mean, mr. James made an interesting point, its who is doing the development. This is about building and sustaining capacity of Community Based organizations. We have something still very special in San Francisco with a whole cohort of communitybased developers. And Affordable Housing developers those that have the capacity to be a lead developer but also the local partners that they work with like the y. C. D. S , that is really the hallmark of San Franciscos Affordable Housing movement and the numbers are one thing and we put up a lot of numbers the best in california and arguably the best in the nation and numbers are different than both the people who benefit from the work but also the organizations that were investing in that are Community Based local organization thats have history in the neighborhoods and are accountable to city hall and to the neighborhoods and i want to emphasize to you folks this agency puts out most of our city s Affordable Housing right now and its an opportunity for you to see who you are invest north to do this work institutionly as well as the folks benefitting from the housing itself so thank you for the good work. Madam chair i have no speaker cards. Thank you. Are there any comments from fellow commissioner singh . On page 32. The report . 40 acres. Yes. Can you explain that to me . The former owned state parcels . For transbay . You know, affordable units obligations status. And theres a first 40 acres in downtown neighborhood. Sure, yeah. So this is the transbay the Re Development project area of transbay and theres two zones and theres zone one and zone two. Zone two is where ocii has district purview and where the formally owned state parcels are and those are the parcels that are being turned over to ocii for development of Affordable Housing and its the total of the stay on parcels are about 1d over all is 40 acres and thats where the transit terminal also is. We have lots of work. I want to clarify zone one. I do not see 40 acres, lots of acres in downtown you know. I never see that. Its a lot, i know. We own them. [laughter] we hold them in trust. Ok. Ok. Thank you. You dont understand me 40 acres are. I think yeah and theyre identifying what is geographically. We have a great a map to you and if you like that map bev a perfect map that describes the whole area. So in 40 acres were going to go and theyre the only 4100 units. Thats right, over zone one and zone two. The 4100, so with the zone one and zone two you will have 4100 russ den shall units and out of that number, 35 , are going to be affordable. Ok . Yeah. The redevelopment incorporates existing built out downtown and our work program is not going to be impacting those blocks and those are fully developed blocks and the focus of ocii is just primarily on the formerly stateowned parcels and but our work is the ten acres in own one and it happens to include existing downtown so its a larger geographic district where we are doing focused work. We have the locate of that. So those are mainly along foal some if you can picture back to the freeway those were these are cal trans parcels used to support the freeway and its infrastructure and after the 1989 quarterback earthquake those why taken down with a few that kind of are north of that and some of the most northern once were parcel where the sales force is on and parcel s and on Howard Street and trance map and identified where all these are but a lot of our work and before court and main street of this neighborhood. Folsom between essex going down spear or main all the way to second. Ok, thank you. I want to echo the comments by mr. Cullen, this is a very well put together report what i enjoy about it that where all the pieces come together and you begin to see this collective effort of staff with the policy of the commission as its implemented its very impressive and when you see its rewarding for me as a Commission Er to see that how many years has it been . At least five years now right. Many of these policies that are being implemented that were seeing the fruits of that were born out of the thinking of this commission. And were engaging the local workforce, were engaging the local business and community but it will be interesting to know and i dont have all the list of smaller Affordable Housing developers i mean i know in areas we dont have jurisdiction over but it would be interesting to see how many of those partners we are engaging. Because thats the neighborhood anchor if you will of this program. Those of my comments. Thank you, again, congratulations. I think you must be very proud of all the accomplishments and just like what commissioner rosa les was saying, i have one question and how do we determine how many are of the aint are for 50 of a. M. I. Or 30 of a. M. I. . How do we determine that . We made a policy shift where we had always been serving never say always but almost always serving households that were earning 50 of the very Median Income or less and i think we were finding that we take those to 60 area medicine yan income and to and this is a result of Commission Input over the couple of years to make sure certificate of preference holders have maximum chances of getting in to the projects that weve asked the Affordable Housing developers to do some income tiering so theres some percentage at maybe 30 and 40 and we dont have a fixed amount , we base that on the number of c. O. P. Holders that typically apply and we try and match that up, its not an exact science. So usually the majority of going to be at 60 and 50 and theyll be some smaller number or percentage at lets say 30 and 40 . The 60 also just as a affordable rental we cant exceed that because that is the limit that the Tax Credit Program has and so if we go beyond that we cant access equity through the Tax Credit Program. So c. O. P. First and then you figure out who are searching the number of units for either 30 or 450 or 60 . You sort of just snow theres no necessary leah policy within oci i . I will say that were doing this and i think were leading the way and were requesting or were requiring actually some income tiering like that. You are requiring the developers. Thats right. Like in our r. F. P. And when we are interviewing, and were reviewing submit als and during the interview process its something that we highlight if theyre committed to incorporating that as we require as they typically open to it and 50 or 60 . Theyre open to it and just so you know, you include units and its more expensive and if you have units are at that lower commit you have less cash flow to play for a loan on a project. Thank you. Sure. Any other comments from fellow commissioners . Madam secretary would you like to call the next item . The next order of business is agenda item 5c certificate of preference marketing and out reach report fiscal year 2016 2017 from the Mayors Office of housing and community development. Discussion. Madam director. Thank you. This item is a continuation of the earlier jun as a reminder the early this year the commission heard on the update on the survey and so youve heard different variations of Affordable Housing policies and programs so this is just the annual report as it relates to the certificate of Preference Program and coming back to you in the spring will be the results of the survey and final recommendations to the commission. But this is an inter looed to that so ill turn it over to pam to lead the discussion and we have maria as well. Good afternoon chairperson. Commissioners, director. Im pam sims and im a senior Development Specialist for the c. R. P. Program and marketing lie a son at ocii and i am here today with Maria Benjamin director of Home Ownership for the Mayors Office of count economy and delment and sonia m cdonald with the mayor office of housing to pre provide with you an interesting c. O. P. Update for fiscal year 1617. We have have the numbers of c. O. P. Hold worse have a employed and housed and information on households who have applied and have been un successful. She will talk about the program and its impact on the sub market ing phase of and she will give you a preview on going at the end of fiscal year 1617 and the c. O. P. Hold worse have been housed in those lease ups and items that well work on in 2018 and after shes finished with her presentation ill be back to wrapup. Thank you. Good afternoon commissioners. Good afternoon. Maria benjamin. Its always a pleasure to be here and im glad to have been able to hear that great report. Ocii staff is great and its a pleasure to work with them on all of these projects together and boy there are a lot of projects. Lets get started, so, just to remind you how marketing works for tell and the redevelop and open ok pantie preferences and and the Development Agreement outline the marketing requirements and the development and the marketing planned is put on a template we provide the developers with a template they complete and all of the rules about the lottery and the housing preferences are all detailed in a lottery and lease up preferences manual. And we had a ton of projects this year and its not going to get any less next year and there are many more to report to you and when you had her position come on it was in my opinion one of the best decisions that had been made and pam coordinates all of the cats and there are its working and people paying attention in ways that they had not before and theyre more in tune with things and theyre asking questions that are that are going to get them housed and so were really excited about that and the c. O. P. Maleings that we send out are Getting Better and better and were working with developers to decrease the unnecessary information on some of the materials and they were did the out reach materials so that our ser ser ser certificate of preference holders are not tuned off about sheets and sheets of words about ami and all those things that they do need to know , they need to know how much it will cost and they need to know about what the minimum income is and the rent is and i think were really making big improvements. We send out our email blast its now going to over 30,000 folks interested in rentals and over 30,000 folks interested in Home Ownership opportunities here in the city and we are really monitoring the lottery process and ways, its hard to monitor and its easier to machine ter now with the electronic now that weve come to the 21st century with our electronic lottery and our Electronic System than the circus tickets and so its really coming to prove to be fruitful as well and now when a developer accidentally leaves out an application, we know exactly where to go and who it was and how to put it back in and what all of these steps are and where as before, if a developer accidentally left out an application it was like oh, well, sorry we cant find your application and well that no longer happens. So i feel like were really able to step up this year and how were delivering these units and weve increased the number of developer and leasing agent trainings and were helping close their learning curve on the new way and and. The Customer Service timing that they have to have to accept applications by hand and or to pass out applications rather than having access to them all over the city so its really i think ever developer we speak with that uses the electronic trotly comes away with saying why didnt we do that before and and making sure we review each and ever disqualified household, to ensure that they were disqualified for the reasons that are in the marketing plan that are detailed in the market ing plan and we spot check the qualified households just to make sure that they are actually qualified households and this is helping our developers as well with their com ployance issues and its helping our tenants who , our potential tenants that might not have felt like they had a place to go when they were disqualified or anybody that was going to look at their stuff again and their information again and i believe that now they understand especially primarily especially the certificate of preference holders that most c. D. And ocii are going to be there for them to even if its just to explain to them why they didnt qualify and in a way that they can understand and get resources to fix. We closed three projects this fiscal year and dr. Davis Pacific Point and the shipyard 53 and 54 but we worked on, we brought online five projects so we were doing a little bit of juggleing here and bringing five on and actually closing out the three and its never a dull moment. I just want to take this time to actually show you value. There we go. Good. So when you see this and if you scroll council there are Home Ownership opportunities theyre here can you sign up for the email housing alert and if youve clicked here and put in your income it will tell you if theres any available units for you right now today and you click c listings and it will show you all of the listings that are currently available and currently available weve got Alice Griffith apartments phase 3 and it lifts the units and how many the minimum income is and thats what people want to know what is the minimum income and how much is the rent. The details of it, are going to give you all of the more detailed information about the units and maximum income limits, for twoperson households, mack mum income is 38. 45 a month and 46, 150 a year it tells you how many people you have to have in your household to qualify for these bedroom sizes and it tells you what the lottery preferences are for these units and certificate of preference, displaced tenants. Live work and San Francisco and it tells you if they allow rental assistance and it gives you anything else that you need to know about the eligibility rules. Its pretty sweet. Very sweet. It else you everything you need to know about your Credit History and if you click it will give you more information about Credit History and it will take you to the fair chance ordinance so you know your rights under article 49 in the police code and it goes down to the amenities of the building and the project and it tells you how much the application fee it s and what is expected in to for a deposit and tells you about the neighborhoods and gives you a map and details and it gives you information what you need to come in and after should you be lucky what theyre going to call you to bring in and it was all there and important, well, to know how many elemented Parking Spaces there are so that you can it is comprehensive and its helping and helping our councillors as well because theyre able when they have someone sitting in front of them theyre able to look and see what weve got going on i just wanted to quickly go in and i know im going to go quickly, one more again and one more again and go back again the Home Ownership opportunities are listed here. The home opioid are on the website theyre not currently on dalia theyre set to come early next year in the First Quarter so right now theyre listed in a separate place and im thrilled weve been able to bring dalia online and people are gaining from it and we will be