Campbell brought forward. And then ill go into our presentation really quickly. But id like to assure you that through the transition period and we continue to be in this phase fsha has made great strides. As it relates to the severance of our staff, we have fully funded that severance payment. That severance payment is projected for the entire two phases. There are two phases in this process with the staff of about 5 million. And that cost will be fully funded by sfha. As it relates to the unfunded tension that has been mentioned sfha continues to work through its own Financial Resources to ensure that it is able to meet those obligations as well. And i believe that it will it gives a position to do so. As it relates to the shortfall numbers that were shared in the report at that time of 16 to 18 million, i would like to be able to say that at this point our projected shortfall is 9 to 10 million as a matter of fact for this coming calendar year because it runs on a calendar year as it relates to the voucher payments. The shortfall is 8 million. We have done extensive work with hud on projecting our budget. We have a specific twoyear tool budgeting tool that is used where we work very closely with hud. We know at any given time from month to month what our projected shortfall is, and hud has committed to ensure that they fund that shortfall. This calendar year our shortfall was actually 22 million. And the calendar year for funding of vouchers ends on december 31. All those funds have been in fact funded by hud. So i think as the budget legislative analysts have come in prior with their prior report and the condition of sfha as it relates to really not understanding what its financial position was at that time, how many vouchers it could actually put out on the street and its recordkeeping reporting memorandum any of themes was really truly in a poor state. Today it is much different than what it was a year ago, two years ago. I can assure you that at the chief audit executive. As it relates to the request, the four requests that we have fundamentally disagreed with, recommendations 4, 5 and 12, the fundamental disagreement with those recommendations are that hud and the state law requires that sfha remain a separate leet entity from the from the city and the county which established it. And so in the spirit of that law, we are responding accordingly. And as it relates to recommendation 11, moving sfha, transitioning its records to the city as it relates to the financial system, we fundamentally disagree because the system today does not have a module where it can handle rental agreements rental accounting as required by hud, as required by accounting standards as well. However, what id like to say is the agency is not totally in disagreement as it stabilizes, which is very important, it will reconsider how it can transition into the citys financial system. I meet biweekly with the controller and it is a constant conversation that he and i both have. So i definitely will say as it relates also to the request that the controller actually acts as the controller of sfha while its prohibited according to law, state law the controller and i do meet, and we do talk about the financial situation our position of the sfha as well as the fact that for the single audit, that must take place annually for the city, there is information about sfha in the single audit as well. So there will be many efficiencies gained with once the m. O. U. Is agreed upon and helping ensuring the sfha is financially sound. Its able to report as it should and have the internal controls required as well as the fact that ms. Campbell also mentioned that we have a financial contractor bdo and we too, when i say we too as the city auditor as the transition lead, working with the controller, it is agreed that the agency should have financial competent staff. And today there are financial competent city staff. Theyre working on the finance team and leading the finance of the agency and actually understanding and learning the nuances of housing financial accounting. Thank you so much for all of your work during this transition process. I did have a few questions about the ongoing shortfall. Can you just describe whats causing that . So when we think about the shortfall and we think about the city and county of San FranciscoHousing Authority, it is not any different than any other Housing Authority nationally. Every Housing Authority in the United States of america has a shortfall because hud only funds at a certain level, and it does not fund the entire rent for each unit. And what it does commit and ms. Campbell did mention that in her recommendation, about the need for the organization to understand what is the shortfall at any given period in time so that it could request those funding that funding mechanism through hud in a timely manner. And what sfha what we have failed to do is understand our books know our financial position at any given time so we can make that request to receive those additional funds. And so when we think about the city and county of San Francisco we know that we are one of the highestrent rent cities and counties in america. And with that in mind, hud only funds at a certainly level per unit. And we need to predict that as well as consider what is going to be the rent increase at any given time in each year and determine or estimate or project the month to month when rent increases will happen for all the varying units that we have vouchers. Though we have our rad pros that have projectbased vouchers and in those particular units are developments, we know when the rent generally the budget cycles from january through the full you are fully funded from january through the end of september. And if you miss those time periods of making that request then as an agency, you are left with trying to figure out how am i going to pay that cost. And today i can say that we are not going to have to pay that cost because our books are now in order, if you will. Im sorry. Im just trying to understand it and the implications for the potential ongoing Financial Support from the city for these programs. So once the shortfall is assessed and documented, you can request from hud to sort of cover that . Yes. So let me restate. On a monthtomonth basis we work with hud. We have a special team at hud that we are assigned to work with. So that we are discussing monthly what our shortfall is projected to be at any given time. And through their own process, they are setting aside those dollars specifically for the city and county of San FranciscoHousing Authority to ensure they are making a concerted effort and commitment that we will receive those funds. As an example, again this year we had a 22 million shortfall. And throughout the entire year, it was known that we would have that 22 million shortfall and those funds were committed to the Housing Authority, and they have been paid to ensure that the agency did not have to figure out how to meet those obligations or even come to the city for those funds. And thats the continued process. And as it relates to the tool, this is a little more detailed than maybe you would like to have. But as it relates to the budget tool that we use that tool has been designed specifically to deal with the different attributes that the city and county deals with as it relates to the high rent cost and so forth and on. Great. Just one question on this. Yes. So that sort of ongoing shortfall figure that the budget and legislative analyst presentation cited, 16 million to 18 million annually your 2031 and that looks like a figure from the Housing Authority financial consultant. You mentioned you feel like its a lower amount. But whatever the amount, is that amount eventually going to get paid back . Paid by hud . Or is that an annual amount that the city is going to have to to answer your question no the city will not have to pay those funds. And that amount is much lower than what has been projected at that time by the bla in its report. Today we say that that amount is anywhere from 8 9 to 10 million annually, which will be funded by hud. Its a commitment from hud to do so. And that commitment is made on the basis of all the work that we have done collectively, hud and sfha together to design a tool that will help us all know where we are at any given time in terms of costing of our units. And im very confident about the numbers. And im very confident about the work and the tools that have been designed to actually project out these numbers. And this tool and this work has also been vetted at the National Level of hud as well. And on top of that on a monthly basis since ive been there i meet monthly with the regional director of hud going through the various reporting mechanisms that we need to as an agency and ensuring that we are tracking things appropriately and we really are on point with our Financial Reporting and understanding our financial position and the number of vouchers that we can actually issue and so forth and on. So we really have a set of really good processes and controls in place that i believe are sustainable. Thank you so much thank you. Supervisor brown, do you have anything . We were just presented some amendments to the resolution approving the m. O. U. For the Housing Authority transition. I was wondering if somebody from the Mayors Office of housing might want to go over the amendments to the resolution. So the redline amendments to the resolution first clarification of the Housing Voucher Program as its known commonly as section 8 program and collectively under on page 3, whereas sfha will implement a transfer of the site to developers, this makes reference to hope sf and collectively those are called developments. And they are under a development agreement. And also a Master Development agreement. So those clarifications were added. More significantly theres language beginning on page 5 that makes clear that the board of supervisors may by ordinance declare itself to the board of commissioners. And also there is now reference as was mentioned earlier during the discussion during the bla report that the mayor was submitted a letter in which she confirms she will make three appointments to the board of commissioners based on the recommendations from the board of commissioners. Excuse me board of supervisors. And the board of supervisors desires to make such recommendations to assist the oversight of sfha. Continuing on page 6 there is a reference to the already approved Master Development agreements. Those were approved by the board of supervisors and board of commissioners some years ago and those are still in effect. And then just some cleanup language in the subsequent whereas clause stating that the m. O. U. Will enable the Housing Authority through the sfha default and reorganize the Housing Authority consistent with the letter and the memorial letter. Thank you. Are there any members of the public that would like to testify on these items . Seeing none, Public Comment is closed. Id move that we approve the amendments as presented. And i move that we move this item to the full board with positive recommendation without objection. Thank you. Mr. Clerk, please call items 10, 11 and 12 for closed session. Agenda item numbers 10 through 12 are two ordinances and a resolution authorizing lawsuits. Are there any members of the public that wish to testify on the items that will be heard in closed session . Seeing none Public Comment is closed. Do we have a motion to convene in closed session . We are now in we are now back in open session for the november 21 meeting. The Committee Recommended both ordinances and the reds lucian to the board of supervisors the resolution. Do i have a motion to not disclose the proceedings from the closed session . Great. Is there any further business . Yes there is one more bit of housekeeping agenda item number 9 is a hearing that was related to the Housing Authority and the budget legislative analysts review of that item. Is hearing is still before us. We havent taken Public Comment on the matter. Thanks for the reminder. I move that we close the hearing for item number 9. The matter will be filed. There is now no further business. Thank you. We are adjourned. Is our United States constitution requires every ten years that america counts every human being in the United States which is incredibly important for many reasons. Its important for preliminary representation because if Political Representation because if we under count california we get less representatives in congress. Its important for San Francisco because if we dont have all of the people in our city if we dont have all of the folks in California California and San Francisco stand to lose billions of dollars in funding. Its really important to the city of San Francisco that the federal government gets the count right so weve created count sf to motivate all sf count to motivate all citizens to participate in the census. For the immigrant community, a lot of people arent sure whether they should take part whether this is something for u. S. Citizens or whether its something for anybody whos in the youUnited States and it is something for everybody. Census counts the entire population. Weve given out 2 million to over 30 communitybased organizations to help people do the census in the communities where they live and work. Weve also partnered with the Public Libraries here in the city and also the Public Schools to make sure there are informational materials to make sure the folks do the census at those sites as well and weve initiated a campaign to motivate the citizens and make sure they participate in census 2020. Because of the language issues that many Chinese Community and families experience, there is a lot of mistrust in the federal government and whether their private information will be kept private and confidential. So its really important that communities like bayviewhunters point participate because in the past theyve been under counted so what that means is that funding that should have gone to these communities, it wasnt enough. Were going to help educate people in the tenderloin, the multicultural residents of the tenderloin. You know any one of our given blocks theres 35 different languages spoken so we are the original u. N. Of San Francisco. So its our job is to educate people and be able to familiarize themselves on doing this census. You go online and do the census. Its available in 13 languages, and you dont need anything. Its based on household. You put in your address and answer nine simple questions. How many people are in your household, do you rent, and your information. Your name your age, your race your gender. Everybody is 2,000 in funding for our child care, housing food stamps, and medical care. All of the residents in the city and county of San Francisco need to be counted in census 2020. If youre not counted then your community is underrepresented and will be underserved. Good morning. This is wednesday november 20, 2019 meeting of the budget finance committee. I am chair fewer. I would like to make a motion to excuse supervisor. Four from this meeting paid if i can take that without objection madame clark do you have any announcements for us today . Make sure to silence all cell phones. [inaudible] can you please call item number one. Item one, 191033. Ordinance amending the administrative code to create an office of emerging technology within the department of public works; amending the public works code to require a permit to obstruct the public rightofway within public works jurisdiction; amending the administrative code to codify the public works Directors Authority to take official actions, as defined herein including adopting regulations for the pilot operation of emerging Technology Devices; amending the public works code and police code to provide for administrative, civil, and criminal penalties for unlawful obstruction of the public rightofway, including operation of emerging Technology Devices without a required permit; and affirming the planning departments determination under the California Environmental quality act. We have with us today president yee. I am actually excited to have this legislation to be heard in committee today. This is the culmination of nearly two years of work expanding over several pieces of legislation. The technology and trends are changing the way we work communicate and live today. I will argue that we are in and industrial revolution. One which were the speed, scope and pervasiveness of technological advances are unprecedented. Industrial revolutions of the past came with many benefits. Including increased job opportunities. Increased production levels. Inspired innovation allowing for faster communication and reducing the influence. However, before regulations of these benefits that took place there were a lot of unintended consequences that had profound negative impacts on the public including the use of child labor, unsafe working conditions, unregulated hours with no minimum pay and the list goes on. This was the past. This is because the pace and impact of technological changes is ever increasing while the speed of government is considering adopting regulatory legislation did not keep pace at the time. Today there are softwares and businesses and tech work philosophies that adopt to these environments. They allow the reassessment of plans because that is what is required in order to be successful. No longer function with blinders meant to protect justifications rather than cross functionality. Things like share rides such as uber and lyft are super examples of companies that remain unregulated and became powerful enough to refuse to cooperate with the city and now only do so when they are forced to. This is what has happened in San Francisco. Today with the office of emerging technology the unintended negative consequences stop. Early in 2018 when they tried to ban delivery robots it was seen as anti tech or solving for something that was not a problem. A few weeks later after my attempt to regulate the robots there were hundreds of scooters out there that were dumped on our sidewalks. And suddenly everyone understood what i was talking about. This city and our residents demanded action in order to control what was taking place on our streets. City and states are fighting and working to pass legislation requiring companies to identify their workforce as employees in order to be compensated. Data breaches are common with role companies pirating personal information for financial gains. In hong kong we were seeing Technology Surveillance used against protesters and in China Technology based social Credit Systems are being rolled out by be roared or punishing people according to their scores. Surveillance is being used to track individuals and some places protests in ways that were unimaginable just a few years ago. To address this by being reactive and legislating after the technology our devices already launched is not Good Governance nor sustainable. To address this we need to be as innovative in our policies as emerging tech is in adapting and launching products. San francisco will be the first in the nation i believe may be the first in the world that will create a Regulatory Framework i will establish an office of emerging technology. It will allow the city, and the public to effectively evaluate emerging technologies before it operates in our Public Infrastructure or our public space. I support innovation and technology. But, our residents are not guinea pigs and our Public Infrastructure are not a freeforall for unregulated spaces. San francisco welcomes and encourages emerging technologies and the office will ensure that the technologies provide common good measure and identifiable ways and that they are safe and appropriate. Emerging technologies are new and potentially useful. They work better or have unique applications when they do not arrive without a need for accommodation. Many emerging technologies impact the public. They utilize our Public Infrastructure or write a wave. Our airspace or our data. I want to be clear that the objective is not to control these technologies but to balance the Public Service of innovation with the public good and safety. This is why i am proud we had a robust thorough and collaborative process through my emergency technology. City administrative kelly will present more details. It is worth noting over 200 people and organizations participated including small startups well established tech firms, advocates, labor and merchant and neighborhood associations. Multiple departments and academics. The recommendations from the report then formed this legislation for the office of emerging technology was born from that effort. The office of emerging technology is uncharted territory that we now have a realistic framework and i am confident in the process that has brought us here. As a reminder of most examples of emerging technologies today our mobility focus. The office will be inclusive beyond mobility tech to anywhere there is a nexus between an unregulated technology and Public Infrastructure and public space. Whether this is hover boards on the water facing public collection. Biometrics on the public rightofway. Anywhere there would be an impact to resources. The office of emerging technology is charged to analyze potential impact. For the first time emerging tech will have a clear streamlined process for approval. It is imperative that departments move away from working in silos and collaborate with the office of emerging technology. The office of emerging technology will be the front door in the Central Point of contact because it is our responsibility as a city to evaluate benefits costs and risks to our residents safety. Their privacy impacts seniors children and label. Before a new technology is allowed and be launched in public. The Office Creates a streamlined process supporting innovation by facilitating approvals from all departments that are impacted by emerging technology. Not currently regulated. The office will also be charged with forecasting variation so that our city can be proactive with what may be coming down the pipeline. I will just stop at that. I want to say sometimes when we look at regulations. One of the things i found in the past is that we create regulations then lo and behold whos going to enforce these regulations. It could be our Police Department it could be our department of public works and yet we are paying a city for enforcing these regulations and something seems to be wrong when new technology is costing the city more. I think that needs to be part of the analysis to analyze what the cost of the permits should be. For the committee, you know, i would like to have city administrator kelly, share more details and background. I want to recognize the director of the committee of Informational Technology and also who oversaw the emerging Technology Workgroup is here as well. They are here to answer any questions if you have them. Good morning. Naomi kelly, city administrator. Thank you for having me today to talk about the office of emerging technology. As you heard, this process got kick started in earnest on april 27, 2018 when the board of supervisors passed a resolution asking the City Administrators Office to convene a working group to focus on San Franciscos response and emerging technologies. The resolution enacted 12 principles for regulation emerging technologies. You can see these principles on the slide here. The creation of the open working group was instrumental in order to engage the many players in the space. As you heard president yi talk about the tech companies. And government agencies. The working group also informs recommendations on our regulatory and permitting processes. It provides a foundation of framework on how it could also become how are permitting and regulations process could be nimble and also protecting our infrastructure in residence. Also the working group resulted in final recommendations to myself, the board of supervisors and the mayor. The working group had a five official meetings. Let me tell you that doesnt really capture how much work went into this process. There were 478 rsvps to these different meetings. 200 active participants and when i say not just official meetings there are many subcommittee meetings. With many Different Community groups and from Labor Industry the disability industry. The tech, pedestrian advocacy groups. Representatives from the private sector, local government and nonprofits. They focused on the following areas. Collaborate and partnership, to have agile permitting unaccountability. To have Community Engagement and city priorities. To have equitable benefits. You accessibility and safety to have, and i dont have the others, thank you. Accessibility and safety, and forecasting. What is going to happen in the future so we are not caught left footed. At the end of the process the working Group Published a final report from the emerging Technology Open working group. With five final recommendations to ultimately help the process of drafting the office of emerging technology ordinance. The first thing that everyone recommended was created front door to provide a Central Point of contact. The second thing was to improve communications with the community by informing Technology Companies of best practices to engage local residents and businesses. Third was to do safety tests and evaluations of new technologies with clear evaluation criteria. Fourth was the support of responsive policy development in areas such as equity, sociability, privacy and data ethics. And finally foster smart forecasting through expert collaboration. At the end we decided to have the front door, to be the office of emerging technology, be in the department of public works. It was for good reasons. I would say three very important reasons, because we can hit the ground running. The department of public works and their project Management Department already has an existing permitting system. We are not creating the ball from scratch. They already collaborate with many of the different city agencies and the different permitting agencies. They have regular collaborations. To his example of the robot, that robot wasnt just in the streets but it was on the sidewalks. It was delivering medicine or food. You need a permit from public health. You need a permit from public works. And you need to make sure that you are not blocking access to those that are disabled or those who walk slower. They already have the existing collaboration with the multiple city departments and also public works has existing relationships with community advocates, and community nonprofits. They are not creating these lists from scratch. Before i invite deborah up to talk about public works and how they plan to roll out the office i just want to say thank you to matthias from hoyt to take the bull by the horns and facilitating the working group deborah from public works use and mapping. Good morning. I want to say thank you to city administrators. What do we mean by emerging technologies . How do we define it . Emerging Technology Means one or more physical objects that are mobile or stationary that constitute or incorporate new electronics, mobile technologies applications of technology which are proposed to use a pond, above or below City Property within the public rightofway. This includes beta tests or pre products, software, failing to have written analysis meant to be met by any regulatory body of the United States the state of california or the city. [reading notes] generally this is something that is in the testing phase. It is not consumable at market and does not have a permitting structure or process in existence. A question we spent a lot of time discussing and working through his what fits into the emerging technology . This discussion led us to anything that does not have a defining permanent structure. This allows for a testing environment and with consideration for equity accessibility, privacy sustainable use of data among all of the other city requirements that need to be considered throughout a process like this. What does the process look like . This graphic is a representative of the permitting and engagement process. It all begins with an idea. An idea for a new or repurposed meant of a technology with ability to impact the public rightofway. The ideas brought to the front door so potential applicants can engage with the city early. During the application process the office would facilitate and support the applicant answering questions, providing guidance and setting expectations. During the application review and analysis timeframe the office would facilitate engagement with all impacted city departments which may vary depending on the technology. Would coordinate the interagency discussions regarding a referral organizations to ensure the applicant was working to procure any associated or necessary permits and ensure all of the agencies were integrated. The office would also ensure Public Engagement and lead those efforts. If there is support for a Technology Proposal than the office would issue a notice to proceed for a limited duration pilot. At the end of each pilot the o. E. T. Would issue a report evaluating the technology during the pilot. And give recommendations. [reading notes] the office will provide an annual report to the board of supervisors. That concludes our presentation. I am available if theres any questions. Could we have the bla report please . Good morning. This legislation actually approves the establishment of the office of emerging technology in the Public Works Department the permitting requirement it sets the permit amount and the applicable penalty for fines if the permit is not followed. And then it gives the director of public works the right to set the rules for the pilot operation of emerging technologies. The board of supervisors appropriated 250,000 for this office. Public works would use it to offset the cost of existing staff positions in the department. We would consider approval to be a positive recommendation from the board of supervisors. Lets open this up for Public Comment. Any members of the public like to comment on item number one . Good morning supervisors. I am with a San Francisco. I am very happy to say that walk San Francisco was a participant in the working group that supervisor he put together. Not only was our participation important for our organization as a pedestrian advocacy organization, but also because we lead the Vision Zero Coalition and particularly the senior and Disability Working Group of the Vision Zero Coalition. This look at how our emerging Technology Impacts our sidewalks is very important to us. I believe one of the most important outcomes of the office of the emerging technology is alerting the public in groups like walk San Francisco about an application process. Because we do want to be able to work with these companies its really good for us to have a notice that these applications have been submitted. Its really important. I think what we really did learn is a lesson with the sidewalk robots. I just want to voice my support and our support as an organization that we would love to see this go through and hope this group passes this office of emerging technology. Thank you. Thank you very much. Good morning. Cami blackstone from at t. I do appreciate all the work that has gone into this legislation. I want to reiterate that it is my understanding that this ordinance refers to new technologies that dont already have a Regulatory Framework and permitting process in place either at the local state or federal level. Just for the record i want to confirm that although telecom 5g network to have a robust review process so would probably not be subject to this additional review. Thank you. Thank you very much. Next speaker, please. Good morning. Rudy gonzalez with the San Francisco labor council. It has been great to see the process unfold. I really appreciate and our unions appreciate the equity lends that board president yee brings to, and all of you under your leadership the equity lends about our children our disabled, the elders in our community and particularly around the workforce. This conversation has historically come up in our movement. I think it is really important that we approach these conversations from the perspective of frontline workers and from the perspective of the city staff that are charged with dealing with a very real social impacts that play out. Not only in the Administration Enforcement and permitting, but in the real effects they see on our city streets every day. We appreciate the thoughtfulness and collaboration towards taking the city administrator and we look forward to seeing this passed unanimously at the board of supervisors. Thank you. Next speaker, please. Good morning. I want to think the city administrator and president yee for the leadership on this. As a company i am with post mate, a company that was involved with very early on. It has been awesome to see how we can create a Regulatory Framework i think were one of the only companies that has applied for and complied within that framework. But also to see now the development of this office which we think will go a really long way in getting the last speakers remarks. When we champion and want to celebrate this office, we have a couple of thoughts based off of our today. One, when it comes to the selection to the director of this office i think this is an Incredible Opportunity of someone that has only worked in the Public Sector prior to coming to the private sector. I think having somebody that brings a perspective from both fronts would be really important. This is an era in which government needs to build empathy for technology. The second concept on the front door approach that kelly spoke to i think it is really important. We were new to the conversation was city hall. In some that can help connect a company to the desperate stakeholders in the conversations that they would have. We know it would go incredibly long way to make sure they are good stewards of the community. To see that actually in there. One area of consideration is on the data sharing site. I think we are very keen and interested in sharing data with the city. Right now we are going dpw on the robotic side. One flag i would have is sometimes data sharing can involve proprietary information and trade secrets. One consideration would be to make sure the way we are sharing data is aggregated and anonymized that does a compromise some of those various if it pacific trade outs for the Company Along the way. Thank you again for the leadership. Any other speaker . Seeing them. Public comment is now closed. Any comments or questions . I think that was pretty thorough. I would like to make a motion to move this to with a positive recommendation. We can take that without objections. Thank you very much. Adam clarke can you call item number two. Item two, 191013. Ordinance amending the transportation code to establish a violation for operating a shared Mobility Device Service without a permit or other authorization from the municipal transportation agency, and to repeal certain parking restrictions related to stationless bicycle share programs and powered scooter share programs; and affirming the planning departments determination under the California Environmental quality act. Good morning. I am the director of taxis and Accessible Services for the sfmta. We are excited to be here collaboration and partnership with the office of emerging this is a continuation of this conversation and we are aligned with the work that has been ongoing. We are going to be discussing mobility will mobility permanent harmonization. What does that mean . Its a plan we have been working on for quite some time to require all new Mobility Service operators that are under mta jurisdiction to have authorization before starting operations and to streamline the authorization process. We have many goals with this effort. We want to shift from a reactive to a proactive regulatory approach. We want to allow for innovation but through a clear path for the new Mobility Services. Again very similar to the office of emerging technology. We want to standardize our processes and tools to administer and monitor, and enforce and we want to coordinate data reporting, and understanding the transportation network. Again very clearly partnering with the office of emerging technology with this very important city family approach. Why do we regulate . If you