Transcripts For SFGTV Government Access Programming 20240714

When i first moved to the bay area, more than 30 years ago, i got on bart and was told to get off at the glen park bart station. It is the pleasure of fabulous architecture. You suddenly have experienced a building and you really experience that one. It is a stunning building. It is so worthy. I agree with what the prior two commissioners have said and i do wonder, at this jewel, this stunning piece of architecture is going 47 years without significant alteration and 47 years without any cleaning. [laughter] i would like to make a motion to approve adopt the resolution to adopt the approval. I seconded. Thank you. If theres nothing further, theres a motion that has been seconded to adopt a recommendation for approval. On that motion. [roll call] so moved. That passes unanimously 50. This is an informational presentation. Good afternoon, commissioners i am from planning staff. With me today are lily and alison, also with the Planning Department. The purpose of todays presentation is to provide you with information regarding the market octavia plan amendment or the hub plan with a special focus on Historic Resources. Lilly will begin with a presentation describing the plan and i will followup with the description of Historic Resources within the plant area, including those that were newly identified in preparation for the plan. Please note that they have been prepared for the plan. Good afternoon, commissioners i am with the longrange Planning Division of the department and i have been working on this effort for the last three years or so. With the draft e. I. R. Coming out next week, we have been doing updates to various Community Groups and we are at the Planning Commission last week and wanted to come to you as well. I will provide a brief overview of the project and our key recommendations, and it is a pretty broad overview so im happy to answer any questions or follow up with you after this. The market octavia plan was adopted in 2008 and that plan really set the framework for the hub. The hub was envisioned as this area for High Density Residential development. The area was rezoned to allow towers at market and van ness and mission and south venice in a special use district was created to support the development, but while the plans set the framework for development, the department did not receive applications until and so in 2016, we took a step back and took another look at the area holistically to see if there were opportunities to include the amount of housing and particularly Affordable Housing. It is not showing up. Sorry, hold on. San francisco government t. V. , can you go to the computer, please . Sorry, that is not what is on the computer screen. Talking to a ghost. [laughter] its okay, we need a little break. Okay. Ready . We are ready. Can you see the presentation on your screen . We see what the tvc his we see what the t. V. Sees. All right, we will switch to the overhead projector. Good oldfashioned paper does the job. You can see it. I will try and stay organized as i said, the market octavia plan was adopted in 2008. We received of element applications in 2012. We initiated a planning process to look at the area holistically over the course of the last three years, we had four public workshops, each focusing on different themes, doing outreach to various neighborhood organizations and we started the Environmental Review process in october of 2017. Were expecting the draft e. I. R. To come out next week with looking towards plan adoption in winter of 2020. So this work is really informed by three main goals. The first is to increase the amount of housing and Affordable Housing near transit. The second is to coordinate public realm improvements. Theres a lot of projects that are active in this area so were really looking at how the streets fit together and how those projects interface with the streets. And then the last is to update the market in octavia Implementation Plan with additional Infrastructure Projects that could be found with impact fees. So this effort will result in amending the existing plan, updating the height map, the zoning map, some of the policies , making planning code in general plan amendments and as i mentioned, updating Implementation Plan there are a number of projects in this area at different stages in the Development Process and i think sometimes that can be confusing. There is a number projects that have been entitled and are currently built. Many of these projects are on a Market Street or on van ness, including 150 venice, 100 van ness, 1600 market. Then there is other projects that are currently under construction. If you walk to our office from here, you will see screens in this guy, 30 otis with a former carpet store that is currently under construction right now. Theres a lot of activity happening. There is also a project that has been entitled and have not yet started construction. This includes 1601 mission, the carwash across the street from our office, one oh, there is a handful of these projects. And then there are three projects that we are currently reviewing right now. That includes ten south van ness , 30 venice and 98 franklin. These projects are seeking additional height. The next item i just wanted to walk through some related efforts that have been informing our work. The first is around Affordable Housing. I mentioned that a primary goal of this was to increase the amount of housing in the amount of Affordable Housing, and when we started this work, we were looking at increasing the Affordable Housing requirement. In june of 2016, voters passed prop see which increased the requirement citywide. This table shows the column on the left and shows what the requirements where when we started this project, so if you were doing a project on site, the requirement was 12 , and now , with the changes in effect, if you are doing a project on site, it is 20 . The requirements have increased by about two thirds since we started this. The second work that we have been doing with this to strategic Economic Consulting Company Based in berkeley. We have been testing Feasibility Analysis to really see if there is an opportunity to increase fees or raise the Affordable Housing requirements for these projects. They have been doing a number of rounds of testing for us and what they have found so far is that there really is limited capacity to raise fees or increase the requirements. This is both for the Small Projects as well as the towers. This is really a trend we are seeing citywide. We are seeing Construction Cost of almost doubled since 2013 and have been increased 5 for next last year. And the Affordable Housing requirements have increased. We are trying to balance to making sure that the development happens, but also making sure we maximize Public Benefits. We will do another round of analysis with them prior to plan adoption. The other project i wanted to mention is the study of the venice station, looking at capacity, particularly vertical circulation, from the sidewalk all the way down to the platform they are working with peers and have doing counts within the station over a peak and nonpeak times. And so far there pull many results have shown that there is capacity for vertical circulation from the sidewalk to the mezzanine. It gets more crowded from the mezzanine to the platform, and the platforms, as we have all experienced, are quite crowded, they found that this is broadly due to the location of where the trains are stopping in the location of the stairways and the escalators. They are going to be developing further recommendations and cost estimates, and they will be publishing report in the fall. On the last study that i wanted to mention is the Community Stabilization strategy. So recognizing that the city is in an Affordable Housing crisis, in 2017 we initiated this strategy to really understand what the city is doing with respect to the preservation, protection and both housing and commercial tenants. We are anticipating a draft strategy to be released in the fall, and this would include recommendations to enhance or modify existing city programs. Many of these strategies could be applied to neighborhood such as the hub. So now i will quickly walk through our recommendations. The first is for land use. Currently there are two Zoning Districts in this area. N. C. T. , and c3 tee. And for the most part, the uses that are allowed in these districts are pretty similar. The biggest difference is the c3 district is also within the special use district that has a Fee Associated with it that generates money for both infrastructure and Affordable Housing. We are proposing to rezone the whole area and make some amendments to really meet some of the goals that we have been talking about. A little bit more flexibility for nonresidential uses, lower parking requirements not allowing a conditional use for additional parking, and then requirements or micro retail consistent with what we did in central soma. The next topic is height. Part of this proposal is looking at locations where we think adding a little bit more height makes sense from both an urban form standpoint and a feasibility standpoint. We are proposing to raise heights on 18 different sites. Today, towers are between 250 feet and 400 feet and are allowed at market and venice. Most of the remaining heights are around 85 or 120. We are proposing to raise heights on 18 sights. These are shown in orange. I know it is very hard to see but i can point you to where it is on the website. Towers are between 250 feet and 690 feet would be allowed at market and then ness and mission and south bend. I will just highlight for you that the biggest transformation and change that we are going to see here is the buildout under the existing zoning. The increase of height on these 18 parcels as an additional 1600 units, which is quite significant, but really the greatest transformation is the changeover what is allowed under the current controls. Given all the changes inland use that we anticipate and the increase in the number of people that will be living and working here, we wanted to look at how the streets all work, and we developed street designs for the major streets and alleys, and released a public wrong plan that has Detailed Design and all the streets are being covered in the e. I. R. So the last piece of is around Public Development with development and Developers Pay impact fees to the city to fund Infrastructure Projects. So there are five main categories in the planning code of where impact fee money gets spent or allocated. This is Affordable Housing, transit, streets, child care and schools, and open space. We are anticipating, with the rezoning of these 18 sites, about a 30 increase in Public Benefits. We have detailed recommendations for projects in each of these categories, which i can talk to if you have questions, but this is just a summary in terms of what we are projecting. I will just conclude for our next steps, the draft e. I. R. Will be coming out next week. We are going to be refining the Public Benefits package based on the feedback that we here. Will be drafting the planning code amendments and the general plan amendments, we are continuing to work with the active Development Projects that we are reviewing right now to make sure that there street improvements are consistent with this plan, and we are expecting adoption in winter of 2020. I will now turn it over. Thank you. Now to go over the Historic Resources briefly, the planner contains numerous Historic Resources as depicted on this map. If you can see the boundaries of the area, they are shown in red. Sequel Historic Resources are shown in yellow, and the historic districts are shown in a variety of shades as described in the legend. Several of the individual resources and historic districts within the plant area were designated under articles ten and 11 of the planning code. The area also contains Historic Resources that were identified in past adopted surveys that covered all or part of the area including the here today survey, the market and octavia area plan Historic Resource survey, the automotive support structure survey, the central freeway replacement project and the south of market Historic Resources survey. Several Additional Resources were identified through the sequel project review process. A new survey was prepared in conjunction with the hub area plan e. I. R. This survey, the Historical Resource survey or the hub survey was conducted between 2018 and 2019 to develop a comprehensive inventory of all Properties Within the hub plan area, along with the california register of Historical Resources and eligibility findings. A plenary analysis of the hub plan area determine 27 buildings within the area require new evaluations. This was either because the buildings had not been preselected for intensive level evaluation and past surveys, or not age eligible at the time of the surveys, meaning they were not yet 45 years old. New information has come to light indicating potential new areas of significance and this usually had to do with either lgbt queue history or modern architectural history, or they had designations or evaluations that were not determined to be submission sufficient. Of the 27 buildings evaluated, five are identified as individually eligible Historic Resources and this includes the San Francisco womens center, brady street and this building hows the San Francisco Womens Centre and San Franciscos women s switchboard in the 1970 s, was determined eligible under criterion one as an embodiment of the San Francisco Womens Movement during a period of which the physical imprints on the building environment were exceedingly rare. The peer to significance as 1973 to 1979. The San Francisco cannabis buyer s club at 1438 to 1434 Market Street. This building was determined eligible for listing in the california register under criterion one as a site of the country his first medical marijuana dispensary, which occupied the building during a significant time in the medical Marijuana Legalization movement. It is also significant under criterion two for some association with prominent Marijuana Legalization activists 1618 to 24 Howard Street is significant under criterion three. It is an intact example of the relatively rare flat type of residential building executed in the edwardian area of classical revival style. The period of significance is 1910, the year of the buildings construction. And then finally, the San Francisco Human Services Agency Building at 170 otis street was determined eligible under criterion three as a high style example of the brutalist style, which is comparatively rare in San Francisco. The period of significance is 1978, which is the year of the buildings construction. It should be noted that three of these new Historic Resources assume their significance less than 50 years ago under california register criteria. Property less than 50 years old maybe identified as a Historic Resource if it can be demonstrated that sufficient time has passed for scholarly perspective to inform to have formed on the buildings significance. The Planning Department is found this to be the case for these three buildings. This concludes this presentation please note that the draft e. I. R. For the area plan will be presented to this commission for review and comment at its his august 7th hearing. Thank you. What any member of the public wish to comment on this item . Close Public Comment and bring it back to the commission. Any comments or questions . I have a couple. Are there any of these Historic Resources that we might want to consider adding to our landmark Designation Program . Are there any that are on it . I dont think so. I dont believe so. The full list of Historic Resources that were reviewed in conjunction with the hub survey were included digitally in your handouts. So if you like to take a look and recommend some for inclusion in the work program. I might want to have a look at that and see. And then the boundaries, so the market and octavia, the eastern boundaries are the same. Okay. And then do you have any sense on why some of the projects that have been entitled have not Broken Ground . I can answer that. I think what we hear is just rising Construction Costs, labour costs. I know one oak was one. I can also contribute to that you have a mistake in the entitled projects. You have 42 otis street, which is my project. So it is also not entitled yet, which we are hoping to entitle in the next few weeks. Okay. But optimistic from the Planning Department. It also says 16 units but it is 24 units. Okay. I will make that change. And the reason it is not going up yet because it is not entitled yet. [laughter] it will go as soon as he gets entitled. [laughter]. Anything else . Are we done . Meeting adjourned. Thank you. The hon. London breed good morning, everyone. Im london breed, and im the mayor of San Francisco, and im so excited to be here with you today to talk about what we are doing to provide more Affordable Housing to the residents of San Francisco. [applause] the hon. London breed when i first became mayor last year, i noticed that in the capital plan for the city and county of San Francisco, there were no plans for Affordable Housing, and that was not okay. We made changes, we made adjustments, and we started off with a 300 million Affordable Housing bond, and that 300 million has turned into 600 million, the largest Affordable Housing bond in the history of this city. [applause] the hon. London breed without raising property taxes. We did this in a collaborative way. We did this with the leadership of the president of the board of supervisors, norman yee. We did this with our community partners, including four amazing people who led the Community Working group consisting of so many stakeholders. Folks from labor were at the table. People from the community were at the table. Folks from the housing community, from Public Housing, from all sectors of the community from this city because when we know we need to do something this big, we need to come together. And yes, it was not easy, but i want to thank everyone because the people at the table were openminded, provided feedback, fought for what they believe in, and now we are here united to make sure that the voters pat this bond in november november. [applause] the hon. London breed thank you so much to the folks who led this effort, including myrna melgar, tamika moss, malcolm young, and annie chung. Because we knew how much money we had, but we also had to make sure that we provided the resources for the things that we needed the most. And as someone who grew up in Public Housing in this city, there was no way that i was going to allow an Affordable Housing bond to happen without providing the kind of support that would help residents of Public Housing, and i want to thank all of you for being unwaivering in your public support for delivering Public Housing in San Francisco. [applause] the hon. London breed this Affordable Housing bond has something for everyone, including our seniors. And president yee was such a true advocate, not because hes a senior himself, but because [laughter]. The hon. London breed i thought you were proud of that, president yee . President yee i am. The hon. London breed but let me tell you, no one does salsa like president yee. But he knew it was important, that fact. You knee it was important that we do good investments, and thats what were doing with this bond. In addition to providing senior support, well be providing housing for our teachers, for down payment assistance, so theres something for everyone. It was a compromise. And again, i want to thank all those on the working group who came together to help make this possible. But you know what . Theres also a need to make sure that these Affordable Housing units that preservation and the rehabilitation of Affordable Housing are done with our brothers and sisters of labor. And so i want to thank the Labor Community, including the leadership of larry mazzola, jr. Who sat at the table to make sure that labor was an important part of this effort. [applause] the hon. London breed so many amazing people, so much incredible work and time went into this effort. Thank you to president yee again and all the members of the board of supervisors who are very supportive of this Affordable Housing bond. As i said, this is the largest Affordable Housing bond in the history of the city without raising property taxes, and so now, the real work begins. Once the board passes this bond and places it on the ballot for november, were going to be looking to all of you and the voters of San Francisco to make sure that we pass this ballot measure. We need at least two thirds of the votes of san franciscans, and so were going to be working out there and stomping and doing everything we can to get it done, and im going to be counting on each and every one of you. Thank you all so much for being here today, and now i want to turn the mic over to my partner in this amazing effort, president of the board of supervisors, norman yee. [applause] president yee thank you very much, mayor breed. This has truly been a partnership. Its almost like a model where we start with another end, and another end, we talked to everybody we could talk to, we figured it out. What is the collaboration that we need . What are the elements that we need . How do we serve all the people in San Francisco . Whether youre a teacher, whether youre a senior, whether youre someone who lives in Public Housing, whether you just simply cant make it because of the salary that youre living on, well, i think weve done it. Weve done it. Its a start. Is this going to answer every question . Probably not, but this is going to be a big, big achievement for San Francisco for us to put 600 million for Affordable Housing for our residents. [applause] president yee ill tell you this right now. I wont outline what mayor breed what she had already outlined. It was a battle. We had to fight, we had to claw, we had to prove our point. This came from labor, it came from everybody. Even the middleincome folks to came in and say we need help also, we hear you. We will put something in there for the middleincome, as well as lowincome. I am so proud of the process that we that we took to get to where we are today. Today is going to be a historical vote where the board of supervisors will vote on this bond measure, this measure for housing in San Francisco. And then, once we get it on the ballot, its going to be another historical moment in november, because all of us, all of you will fight for this and make sure that we get 17 , right . And i cant thank the staff and the supervisors enough for their part because the community weighed in early, and we needed to figure out what are the issues that we needed to address. All my supervisors weighed in on the whole process. I want to thank them personally. Almost every one of them. Thank you supervisors. Give them a hand. [applause] president yee and i really want to thank their staff who did a lot of work. Please join myself, mayor breed up here, labor, and just say to you just talk to 20 people, all your neighbors, and say this is the most important thing you can do to help our residents in San Francisco. We need Affordable Housing, yes we need Affordable Housing, right . Thank you very much. The hon. London breed thank you. Thank you, president yee. And as he said, this was a collaborative effort, and i just want to recognize, theres so many people here today. I cant start naming names because you guys will get mad at me if i forget somebody. But i do want to say to the nonprofit Housing Developers here that work in the community, whether its tndc, Mission Housing and others, who continue to provide this muchneeded Affordable Housing, ccdc and others, thank you so much for being here today for your advocacy and Affordable Housing in San Francisco. Thank you to the yimbys in San Francisco. It means a lot. Now i want to bring up one of the cochairs of the committee to help bring forth this amazing 600 million Affordable Housing bond. Tamika moss spear headed the effort. I remember a couple years back when we discovered we had empty Public Housing units. We worked with thenmayor ed lee to come up with 200 million to rehabilitate those units. And because of those services, we were able to place 179 formerly homeless families in Public Housing, and so tamika moss, come on up [applause] thank you so much, mayor breed. Good morning we are here on this momentous occasion to acknowledge the leadership of our mayor and our president of this board of supervisors, mayor breed and president yee. I have had the Incredible Opportunity of leading one of the working groups with my cochairs, malcolm young, annie chung, and myrna melgar to make sure how the community has a voice in this bond . How do we make sure that every single san franciscan has access to permanent, supportive, Affordable Housing in their communities . And we have been able to come together and bring folks together around this bond, and i am so honored to be a part of it. This bond, as the mayor said, as the president said, is something for everyone. We have to make sure that the residents of Public Housing are supported. We need to make sure that the seniors in our community have a place to age with respect. We have a responsibility to make sure that we take care of our First Responders and our teachers. The mayor and the board of supervisors didnt just talk about an Affordable Housing crisis, they did something about it, and i am so excited to stand with them and support this and get this over the finish line in november. Guess what, folks . We have a lot more work to do. This is our first attempt to making sure we have Affordable Housing in San Francisco. We have a lot of work to do. Lets get to work. Thank you so much. [applause] the hon. London breed thank you, tamika. Now many of you know this, when we talk about Affordable Housing, often times when we found in the past in San Francisco, you basically make too much for Affordable Housing but not enough for market rate in San Francisco. A couple years well, not even a couple years. Maybe two years, we worked with a number of folks to change the affordability rates to level the Playing Field because i wanted to make sure that teachers and people of our Labor Community were able to have access to the Affordable Housing that we build in san francis francisco, to the down payment assistance loans and other things, because thats what makes San Francisco a great place is when we have true diversity from various economic levels. So what im really excited about in this bond is the amount of support it will provide for Affordable Housing for middleincome residents. We have here someone who is a beneficiary of the Teacher Next Door Program who provides down payment assistance to teachers for the purpose of purchasing housing in San Francisco. With us is a sevenyear employee of the San Francisco unified school district, and she has been working as an educator in our schools with our kids. And now because of this program, shes going to be within a short walking distance of the school that she works at. And so ladies and gentlemen, please welcome cheryl lu. [applause] hello, everyone. Thank you for letting me share my story with you today . As mayor breed mentioned, i am an educator, i am a teacher, and i have actually been teaching for 13 years now. Eight years of it seven, eight years of it was in San Francisco, out at star king elementary school, which is out in potrero hill. Its always been my dream to live in the city that i serve and to eventually buy a home. And because of the down Payment Assistance Loan Program and the Mayors Office of housing and community and development, i am actually living the impossible San Francisco dream right now. As of last week, i closed on a property in San Francisco, yeah. [applause] pretty exciting, and it all worked out. And as with any buying process, you face a couple of challenges. Along the way, we made it happen, and there was low inventories when we were looking we were getting out bit. But thank you to the Mayors Office of housing and Community Development and assistance down Payment Assistance Loan Program, i was able to i was able to buy a place, and im a teacher, so its pretty amazing. So i really do thank the support for what the we can do on the lowincome, middleinco middleincome, teachers, First Responders, and the labor industry. If i can do it, and i can live the impossible San Francisco dream, many of you can, also. Thank you. [applaus [applause] the hon. London breed thank you, cheryl. And our final speaker is someone who grew up in the bayviewhunters point community. She started as a carpenter and is now working as a plumber. Shes in fact working at 1950 Mission Street on that project, and this is why this program was created to make sure that local residents of our city have access to the trades so they could provide the opportunity to help to build this city and also get good wages in the process. But more importantly, she has a daughter entering college this fall. We are so proud of the work that shes doing to help build the city. And so ladies and gentlemen, please welcome stacey provost. [applause] thank you, mayor london breed, for having me. I am a proud member of the pipe fitters and Plumbers Union local 38. [applause] i was born and raised in hunters point, and i began making my living as a cosmetologist. I owned my own business. I opened a hair salon, which i had to close due to rising rent. Being a single mother with a daughter going to college, i needed to find a more stable career. At that point, i had found the city build program. Throughout city build, i learned the skills required to be a to have a successful construction career. I have benefited from Affordable Housing which is how i was able to provide and support my daughter during the city build process. After i graduated, i became a carpenter, working for Carpenters Union local 22. Before having the opportunity and the blessing of joining local 38, which is the plumbers and Pipefitters Union of San Francisco. Living here in San Francisco in the 94124 has given me the benefit and a stable career to be in and pay rent in San Francisco. Thats why we need more Affordable Housing. We need more Affordable Housing for all of the reasons stated above. We also need this bond to create union jobs for all unions to build more Affordable Housing. Right now, im working for obrien mechanical in the Mission Street housing at 1950 mission where we are building 157 100 Affordable Housing units. [applause] so what im really trying to say is we need to build this housing so we can support more people like me, more stacey provosts. The hon. London breed thank you, stacey, and thiank you to all the members who came out today. And thank you to all the supervisors who came out today. I know youve got to run back to get back to business. I know we are all looking for a unanimous vote at the board. Right, supervisor mandelman . You heard it from supervisor mandelman and president yee first. Were going to get a unanimous vote and were going to get it on the ballot. Were going to knock on doors and talk to people so they know how important this is for the future of San Francisco. We know we have a number of challenges, and the longer we wait to get this housing built, the more delay it is for so many people we know are struggling in San Francisco. Yes, sadly, people who are homeless but also people who are living paycheck to paycheck, people who are losing their housing. This is more than just building Affordable Housing, this is also about preserving our existing Affordable Housing for the people who are here who are struggling to survive. Thank you all so much, and lets get this ballot measure passed [applause] my son and i was living in my car. We was in and out of shelters in San Francisco for almost about 3. 5 years. I would take my son to school. We would use a public rest room just for him to brush his teeth and do a quick little wipeoff so it seemed he could take a shower every day. It was a very stressful time that i wish for no one. My name is mario, and i have lived in San Francisco for almost 42 years. Born here in hayes valley. I applied for the San Francisco Affordable Housing lottery three times. My son and i were having to have a great happened to have a great lottery number because of the neighborhood preference. I moved into my home in 2014. The neighborhood preference goal was what really allowed me to stay in San Francisco. My favorite thing is the view. On a clear day, im able to see city hall, and on a really clear day, i can see salesforce tower. We just have a wonderful neighborhood that we enjoy living in. Being back in the neighborhood that i grew up in, its a wonderful, wonderful experience. Now, we can hopefully reach our goals, not only single mothers, but single fathers, as well, who are living that. Live your dream, live your life, hi. My name is carmen chiu, San Franciscos elected assessor. Buying your first home is a big deal. For many of us, its the single largest asset that well own. Thats why its really important to plan ahead for property taxes so that there are no surprises. A typical question new homeowners ask is what is a supplemental tax. So understand supplemental tax, we need to start with proposition 13. Under californias prop 13 law, the value we use to calculate your property tax is limited to a 2 growth peryear, but when ownership changes, prop 13 requires that we set a properties assessed value to market value. The difference in value between the previous owners value and the new value is the supplemental assessment. How does the supplemental assessment translate to the tax you need to pay . Supplemental tax is calculated by applying the tax rate to the value and then prorating it for the amount of time that you owned it in that tax year. In generale, the tax rate is roughly 1 . Lets walkthrough an example together. Here dan is the original owner of a home with a prop 13 protected value of 400,000. With a tax rate of 1 , he pays 4,000. Dan sells his home to jennie at a market rate of 700,000. In this case, jennies home will be reassessed to 700,000, and jennie is responsible for paying property taxes at that level from the time she first owns it. Many times, people might have already paid their property taxes in full by the time they sell their home. In that case, dan has paid 4,000 in taxes already for the full year. Jennie would likely payback dan through escrow for her share of the 4,000, depending on the proportion of the tax year she owns the home. However, shes also responsible for paying taxes at the higher market value from when she begins to own the home. How does that work . Lets say jennie owns the property for nine months of the first tax year, which is approximately 75 of the year. During the escrow process, shed pay dan back 75 of the 4,000 he already paid, which is 3,000. On top of that, she would owe taxes at the higher rate for the proportion of the year she owned the house. In this case, she owes the amount not already billed through dan or 700,000 minus 400,000, multiplied by a tax rate of 1 , and multiplied again by 75 to reflect the time she owned the home in that tax year. Here, jennies supplemental tax is roughly 2,250. Going forward, jennie will be billed at her new reset prop 13 value. Are you still with us . If this isnt complicated enough, some new owners might receive two supplemental tax bills, and this has to do with the date that you transfer property. But before we get to that, you first need to understand two concepts. First, what is a fiscal year . In california, local government runs on a fiscal year. Unlike the calendar year, where the year begins on january 1, a fiscal year begins in the middle of the year, on july 1. Property tax follows the fiscal year cycle. Second, state law requires property be valued as of january 1 every year, in other words, new years day. The value as of january 1 is used to calculate property taxes for the upcoming fiscal year. This means Property Value as of january 1, 2018 will be usedtor fiscal year 18 used for fiscal year 1819 covering july 2018 through june 2019. Similarly, the value of january 1, 2019 will be used for the fiscal year covering july 2019 through june 2020. Now back to whether you should expect to receive one or two supplemental tax bills. The rule of thumb is that if the property transfers happens in the first half of the fiscal year, in other words between july and december, then you should expect only one supplemental tax fill. If the transfer happens in the second half of the fiscal year or between january and june, you should expect two supplemental tax bills. Heres the reason why. Using dan and jennies example again, dans 400,000 value as of january 1 is used to set the tax bill for the following fiscal year beginning july through june of the next year. Jennie buys the property from dan in october. The taxable value is reset to 700,000 as of october, but the bill issued still reflects dans lower value. In this case, jennie would expect to receive one supplemental or catchup bill to capture the difference between her assessed value and begans fr begans dans from october through june. Because of january 1 we already know of the sale, we would have used the following year to set jennies property taxes and no other supplemental bill should be received. However, if dan sells the property to jennie in march, instead, jennie should expect two supplemental bills. Like before, jennie would receive one supplemental bill to cover the time in which she owned the home in the current tax year from march to june. But because as of the next january used to set the tax base for the following tax year, dan still owned the home, the following years entire bill still reflects the values not updated for jennie. In this instance, jennie receives a second supplemental for the following year covering july through june. After the supplemental tax bills, new owners should receive only one regular tax bill peryear going forward. Remember our office values the properties, but billing and collections are handled by another Organization Called the treasurer and tax collectors office. If youd like to learn more, please visit our website at sfassessor. Org. Thank you for watching. [gavel]. Chair fewer good morning, everyone. This is the july 17, 2019 regular meeting of the budget and finance committee. Im sandra lee fewer