Settings, homeless as well as First Responders and healthcare workers and those who may not want to go home because of concerns around impacting families. We have been able to because there is even with the declaration of emergency, there is still insurance to be worked out, staffing needs and security needs and support and resources. So far we have been able to this week secure at least 300 hotel rooms for selfisolating or quarantine for folks in the sro or those who are homeless. We estimate by next week we will secure at least another 3,000. Bringing on some much needed hotel rooms, and we will keep working towards making sure that those people who are in congregate settings and other places have a space to themselves so that we can reduce the transmission of the virus. That is the update that we have so far. I want to take this opportunity to especially thank the people who are here at moscone south, those working every day in the Emergency Operations center and doing the hard work, coordinating, the hospitals and ppe and testing. The stuff we are doing, the small things. Like making sure the shelters are getting food, we are getting food to seniors and other people, that we are reaching out to those businesses who still have remained open or have some real challenges financially and need help. So many people here at the Emergency Operations center have stepped up to do their part in providing information and resources to the public, and we really also want to express appreciation because we have gotten a lot of great ideas from members of the public through social media. People have made a lot of great recommendations. We take those to heart because we are all in this together, and no one is in charge or responsible for all of the great ideas. It is going to take a team effort, it will take all of us looking out for one another. I want to really express appreciation to so many people in the city because i notice that on places like next door and some of these chat rooms where neighbors are communicating with one another, i notice that so many neighbors are looking out for neighbors who are seniors and people who cant necessarily get out to get groceries or medications. There have been so many great numbers running errands for so many people who cant get out. It is just, you know, a challenging time for all of us. It is bringing out the best in us. I want to express my appreciation for so many people not only doing their part to stay at home and only go out for essential needs but also what you have done to help touch the lives of other people who cant take care of themselves in the same way. That is where we are. That is our update. A lot more work to do, but as i keep saying over and over, we are in the midst of this. It may feel like this is very challenges for all of us and how much longer can we take it . The fact is we are going to have to take it a little bit longer because it does mean that we save lives. We appreciate your patience and cooperation. We will do everything we can to provide updates as we receive them with the most Accurate Information so that the public knows what to expect because, as i said before, the last thing we want to do if someone is facing a medical emergency, the last thing we want to do is turn them away because we dont have enough beds. Lets keep that in mind as we go into the weekend, and lets try to remember that and do our very best to get through this. I am cheering for all of you. I am cheering for our city and our country. Thank you all so much for your cooperation. At this time i would like to introduce grant colfax, the department of Public Health director, to provide an update on the latest numbers, testing and other information i just touched on briefly. Thank you, mayor. Good morning. I am doctor grant colfax, director of health. Today i am bringing several important updates. I will talk about the situation at laguna hospital protecting healthcare workers and new expansions of testing. First, let me remind everyone. We need san franciscans to stay home to save lives. I understand some of us are essential workers and cannot stay home right now. However, if i could stay at home right now, i would be staying home for our First Responders and healthcare workers on the front lines. As we continue to respond to this rapidly evolving outbreak, we are always thinking about what is ahead and what is about to come next. In february, we had zero cases of coronavirus. We realized we were in an emergency situation and immediately strengthened the planning and preparedness capabilities. The day after the first confirmed cases in early march. We made aggressive social distancing recommendations. We have continued to tighten that up as we move forward with the entire bay area in shelterinplace for all residents. That was just last week. We issued 13 Health Orders in the last three weeks. Each one was designed to protect the most vulnerable populations and healthcare workers and take pressures off hospitals so they can handle an expected surge of new patients. Each one was designed to keep the Community Safe and slowdown the spread of the coronavirus. Each one was grounded in data, science and facts. As we continue to plan, predict and respond, sometimes we are ahead, sometimes we are on time and sometimes we may be a beat behind, but so far we have been preparing for just what is happening now. We will continue to use data, science and facts to be as proactive as possible to protect our community and reduce the harm that the coronavirus causes. I want to turn to the hospitals, particularly laguna honda hospital. Yesterday there was quite a bit of news in our own Public Healthcare system. Coronavirus has arrived at laguna honda. Unfortunately, this was not a surprise. The pattern of the disease clearly shows that longterm care facilities and residents are particularly vulnerable to the disease and the spread. From the start, we have taken many steps to protect the patients and staff and we will continue to do so. Earlier this week th the entire campus was quarantined to protect residents and staff and reduce harm. I must say, and i am sad to say this, we do expect an outbreak. Our plan for the outbreak including testing affected staff and residents, which is already underway. We have begun bringing in Additional Resources including staff and expertise on longterm care Infection Control and infection disease from our own system but also reaching out to key partners, including u. C. S. F. And Sutter Health to strengthen our response. This will continue over the next few days and weeks. With things moving so quickly, i want to make sure you get the facts straight from the source. As of yesterday there are six Staff Members and one patient at the hospital that tested positive for coronavirus. Contact investigations are underway including testing and those units have been quarantined. Yesterday brought news of a confirmed case of a staff member at Zuckerberg San Francisco genhospital. This person provides patient care in the Emergency Department and is now selfisolating at home. We are conducting a thorough contact investigation. It is concerning to hear about these cases. It will continue to be concerning as the cases in San Francisco grow. We now have almost 300 confirmed cases in San Francisco. Each person is someone with family, friends and community who care very much about them. The Health Department cares very much about them. With regard to testing. As the mayor and i have said over and over again. Expect to see an increase in positive cases, and with regard to the increase in sections, do not be surprised because we have been increasing Testing Capacity throughout the city. Simply put, the more testing we can do, the more cases we will find. We have also taken steps to make sure we are getting the data we need to be successful as possible in our fight against the virus. On march 24th, Bay Area Health officers issued a joint health order requiring all labs to report all test results to the state and local health authority. This will help us be more precise and know across San Francisco, across our community how many tests are being done and what is the positivity rate. We need to know where we are to better understand where we may be going. This increase in data will be used to refine our models and strategies to mitigate virus spread, we are working with experts to enhance our modeling capabilities. We truly have some of the world experts on viology and disease epidemiology nationally and internationally working with us every day. As availability of commercial and academic labs have grown we are boosting our own testing capabilities. From when we started testing on march 2 until today we have increased Testing Capacity by three times through automation of certain processes. We are now running 150 tests each day, up from 50 when we began testing. I am pleased to say that by next week we are hopeful that we will surge that testing to as many as 450 tests each day in our Public Health lab alone. Our plan is to keep improving Testing Capacity further in the next few weeks. We are also continuing to work with private partners to expand more testing for the public. We have great partners as kaiser, u. C. S. F. That have been offering drive through testing. Next week, thanks to mayor breed, we are excited to add three new drive through centers through our partnerships. However, let me be clear that even today if you are a Public Health laboratory or commercial lab anywhere in the nation, there are still severe shortages of components needed in the covid19 testing process. Supplieses are in a bottleneck to increased testing. I am sad to say that from swabs to ppe, the lack of testing supplies across the nation simply means we must prioritize our testing for those who need it most. At the Public Health laboratory we have been prioritizing the limiting testing resources for those most at risk for spreading the disease, severe medical conditions and front line healthcare and First Responders. Today we have issued instruction to all labs that they must prioritize their tests in the same way. Tests should not be available for those tests should not be more available for those with resources. They must be for those on the front line saving lives and those at high risk groups that need care. Please help us prioritize those tests for those who need it most. Their lives depend on it, and to the prevention and reduction of the spread of coronavirus in our community depends on it. I now want to talk a little bit about additional steps we are taking aggressively to protect healthcare workers. Our front line workers and staff are certainly and members of our community. As the coronavirus circulates in the bay area we expect there will be more positive cases in San Francisco, including, unfortunately, among city workers, dph staff and healthcare workers at public and private facilities. Our top priority is the health of our patients, community and those who fight for them and support them. We are doing the very best we can to be as prepared as we can to fight the disease. Healthcare workers and First Responders are on the front lines every day. Yesterday we took additional steps to respond to the impact of the virus on the dph work force. Because of their jobs on the front lines, many healthcare workers cannot abide by the stay at home order. They are essential, and in some cases their workplaces do not allow for social distancing. In fact, quite the opposite. Several jobs in our Healthcare System involve close contact with other Staff Members and vulnerable populations. For example, emergency room. Psychiatric Emergency Services and Urgent Care Center at zuckerberg hospital andlugana honda hospital and other settings where staff have prolonged contact with each other and high risk patients. They come to work every day at risk for transmitting the virus to each other and exposing the high risk population they serve. We have issued new guidance above and beyond cdc recommendations to provide isolation masks for people working in these settings in our Healthcare System. We will provide isolation masks to workers and patients in many at risk settings. This is another way to protect both groups. We are doing our best to balance keeping the workers safe in the high risk areas and being constrained by a limited supply of masks. We will continue to advocate on many fronts for more masks and other personal protective equipment or ppe. I feel it is essential to move forward with these additional protections today. I cant stress enough that every Healthcare Provider in the city from hospital c. E. O. S to doctors and nurses wants there to be enough ppe for the patients and the healthcare staff. Ppe is in short supply everywhere. We are working hard to make sure supplies are here when we need them. That includes state and federal advocacy working with large donors to secure the ppe we all need. Our top priority is the health of our patience and the patients and the people who care for them and ppe is important to do it right. Finally, i want to remind all san franciscans of the importance of following the Stay Home Order to protect yourself, your loved ones and our entire community. If you arent be performing an essential task to keep the city running right now, then you only have one job. Stay home and keep yourself safe. Thank you, and i would like to introduce commander scott chief scott, excuse me, who is a great partner in this work, a great partner with his team on the front lines helping us keep our city safe. Chief scott, thank you for your leadership, partnership, and please we look forward to your remarks. Good afternoon. First of all, i want to thank our mayor london breed for her leadership during this Public Health crisis. I speak on behalf of the men and women of the San FranciscoPolice Department we are extremely grateful to mayor london breed and doctor grant colfax that they made us a priority. Our citys police officers, sheriff deputies, firefighters and First Responders provide the first line of Public Safety in San Francisco, and we need to keep them safe and keep them healthy. I want to thank mayor breed and doctor colfax for making First Responders a priority in testing for covid19. We are constantly on the front lines. We are expected to always be there. By providing the testing, we can help slow the spread of covid19 among our First Responders so they can continue to provide Public Safety and protect the health of the public atlarge. I would also like to thank the citys hotels who stepped forward to offer rooms to First Responders who may have to quarantine because of the covid19 virus. With the support from the leaderses and the city atlarge strengthens moral and health and resolve. We know that we will need to have resolve during this crisis. We dont know how long we will be in this position. The mayor mentioned some of the areas where we have seen gatherings over the past week. I want to lay out what you will be expected to see this weekend from us, from law enforcement. This weekend we will have people out that there probably be a lot of people outside, as there were last weekend. Please be smart and go by the social distancing. I cannot emphasize that enough. Use common sense, be smart and expect to see us out there. It doesnt make sense for people to be out and not Pay Attention to the social distancing requirement six feet as laid out by our Health Officials. We have seen in other cities that are having a harder time than we are. We have seen gatherings in this industry putting others at risk. We need everyone to think who you are putting at risk when you do not adhere to Public Health warnings. Think of your grandfather, grandmother, sick child. Think of the people you are putting at risk by not adhering to this Public Health order. We will be out this weekend. Places where we had issues with gatherings the embarcadero and the marina green, panhandle, stern grove, exercise facilities in the park will likely be closed in many of your parks. We have seen by and large excellent compliance from the people in San Francisco. We want that to continue. As we have laid out in Previous Press conferences we have enforcement protocols for those interested you can find them on the San FranciscoPolice Department website. Our approach is progressive. We started with education and we will still educate the public. When this Public Health was put out on march 16th. We had a lot of people who didnt get the message. As we have educated that number has gotten smaller and smaller with the people who have not complied. We do think that education has worked. However, education can only go so far. There will come a time where we will have to enforce. Our officers have been very patient. They understand what is at stake here. They understand we are looking at the end game of compliance. This is not a count of how manyy tickets we write or how many people rearrest. We dont want to create problems by enforcing the law. The sheriff is charged with reducing the jail population. We dont want to make the problem worse. Please, i cant emphasize enough. Please listen to the Public Health officials. Social distancing, stay six feet apart. We want people to go out to get air. Officers will engage. They will communicate for those warned repeatedly, there will come a time where we have to enforce. That is a fact of life. We hope we can avoid that, and by and large people have been compliant. Please listen to the Public Health orders. I cannot emphasize that enough. We want everyone to use common sense, stay six feet apart. If you are going to exercise have respect for others around you. If you are going to go to the Grocery Store or wherever you need to go to keep essential items in your household, practice those same protocols. If you have to wait to get in the market or Grocery Store, stay six feet away. We have been putting out photos on our website of people who have done just that. We want to show that by and large San Franciscos population, our residents we get it. We understand what is at stake. We want to catch you doing something right, not wrong. This weekend you will see us out there. From the bottom of my heart to our mayor, doctor colfax and the city leaders, on behalf of the First Responders, we appreciate what you have done as far as prioritizing testing for First Responders. We also understand that Community Leadership the a big part of getting compliance from the people in our city. With that said, i would like to introduce one of our Community Leaders, marcia contrairra, director of Mission Housing. Thank you. Hello. I am deputy executive director for Mission Housing and Community Leader answer have been o servant. My message will be in spanish. [speaking spanish] [speaking spanish] i would like to introduce another Community Leader. I am executive director at Community Youth center. I am going to say the message in cantonese. Speakin [speaking] thank you. We will open it up to questions people may have. First question for mayor breed from ktsf. How can the federal stimulus bill help the city and people in San Francisco . Mayor breed well, we are hopeful that it will start helping the people of San Francisco sooner rather than later. We have been told that we can expect some of the individual checks that will go to those qualified, hopefully, in the next couple weeks. We expect the same to happen with the funding support to go to the state and distributed down to various counties, including San Francisco. We are working closely with our Speaker Nancy Pelosi to speed up that process. There are people suffering financially right now. Second question. Mayor breed, can you describe how the city is approaching using public or private spaces to confront covid19 . Mayor breed part of what we are doing is reaching out and looking at existing inventory. We are able to open moscone west next year has everything to do with having access to this particular facility. We will take the opportunity in every instance to use our Public Resources at our disposal and any other private resources that could be available including the one that we are doing by developing a relationship with the Hotel Council and issuing r. F. P. For hotel rooms. Quarantining people in rv or hotels or other spaces we need to prepare for any situation including conversations around where other hospital beds might go and how we might be able to address this challenge as it rises. Followup question. As the city braces for a sungar of new cases, do you think you will be aggressive about allocating public or private spaces. Mayor breed what . Aggressive about public and private spaces . Allocating . Read it again. As the city braces for the surge of new cases, do you think the city will be aggressive allocating public or private spaces for the cause . Mayor breed what we are doing now is preparing to use those spaces. There is a lot that goes into any space that we have. We have to make sure that they are not only staffed but that the people who are providing the support have the protections that they need as well, that we have the appropriate security, appropriate systems in place, but getting access to spaces, i dont think is the difficult part. We are going to have to make sure we have the resources necessary to accommodate whatever the need is for thetic space. We will do everything we can to get hold of as many spaces as we possibly can. Next question from abc 7. Earlier this week you talked about addressing the crisis to help Homeless Populations what is being done . Abigail hill is here from hsa to answer more in detail. I think i have made it clear in my earlier comments in terms of getting access to hotel rooms. I want to add to my earlier comments. First of all, as i said, we put out request for proposal to get access to hotel rooms and working with Hotel Council, the contracting process allowed us to have 300 now and we expect to have another 3,000 by next week. There is a process that has to be worked out including issues of insurance as well as who is going to staff, the security to make sure people obey the order, especially if quarantined, what kind of wraparound Supportive Services the people housed in these locations need. We want to be clear. One of the Biggest Challenges we will face is not necessarily finding locations. Sadly, for people who are homeless, but people who suffer from Substance Abuse disorder and people with Mental Illness the difficulty we have as the city in keeping them in quarantine or keeping them on an order to shelterinplace is going to be difficult. We have to make sure we have the resources necessary to do that. We also have to make sure that we protect the people that we are asking to put lives on the line to basically staff these places and provide Supportive Services. It is more than just we have all of these hotel rooms. It requires a lot of work for many of the folks that we are going to work with who are currently homeless, probably less so for people who are, for example, housed in the sros, but it requires a lot of coordination. It requires the need to increase capacity to manage it. The last thing we will do is rent the hotel, put people in the homes and chaos breaks out and we have no plan to address it or control the situation. What i mean by chaos, people transmit the coronavirus or people who basically need Supportive Services or who are difficult to talk to or to work with who need other things, we will potentially have real struggles. Be honest, people who substance from Substance Abuse disorder, this is a challenge. We need systems in place to deal with that. I think abigail is here. She may have things to add to that as well. Hello, i am with the department of homelessness and supportive housing. Echoing others. Thank you, mayor breed and doctor colfax for your courageous leadership to our City Partners and our Nonprofit Service providers. I want to focus on the steps we are taking to help prevent the spread of covid19 in our shelter population. We have taken steps in constant communication with shelter providers. We extended the stay of people at Navigation Centers and shelters to fix the population and allow people inside to continue to shelterinplace. We have made the extremely difficult decision with the guidance of the department of Public Health to pause shelter intakes. This allows us to pause people coming inside and potentially bringing the virus with them. It allows us to create space for social and physical distancing within our shelters. We increased shelter hours. They are coming online for 24 7 with increased meal service, staffing and cleaning and a lot of hard and creative work. We are recommending or the department of Public Health recommended the shelters follow cdc guidance around physical distancing. I appreciate the opportunity to clarify here. Those who care about the Homeless Population know people in shelters do not have enough space. They are close together. We have taken the steps outlined and we are corking cre working with direct Service Providers to create more space whenever possible. For example, if we close a drop in center and that allows us to move beds an part. We are working on a site by site basis. To get to the six feet, we are working through the Human Services agency, which is responsible for mass care and shelter, to bring on sites such as moscone west and others to allow further social distancing. Thank you. Next questions for Public Health. Doctor grant colfax. First question. From the washington post. Do you think the bay areas early action to shelterinplace reduced the load on the Hospital System . Do you expect the strain has been delayed or permanently flat tenned . Well, look. Here are the facts. I hope that is the case. We simply do not know yet. It is too early to tell. Based on the science and data and what is successful in flattening the curve in other countries we are hopeful. We must prepare for a less flattened curve. If we look across the country to new york right now, it is plausible we could be in that situation in the near future. We are watching the data. I think what is important is that this was a regional approach, shelterinplace approach, for it to work, people need to follow the orders. With the help of people in this room, across the city, individual community members, chief scott and his team, we are hopeful that this aggressive early action will have an effect in flattening the curve and save lives. Next question or followup. What early steps did the bay area take to ensure there are enough resources for hospitals and to increase capacity . In almost every major urban center, hospitals at baseline before this happened are full and often loafer flowing overflowing. We took steps to ensure greater capacity to manage the initial suffer of coronavirus infections. We took steps early on. First, we escalatessed hiring staff so we would have more staff to manage an official surge. We asked people to only use Emergency Rooms as a last resorts if they were very, very sick and could not get the help they needed from their primary care provider. This created important space in Emergency Rooms for handling the people who are sickest. We issued a Public Health order to prohibit all but essential medical procedures, including effective surgeries. This freed up operating rooms and staff to better prepare for the surge. We are coordinating across the Healthcare System in an unprecedented way for complete visibilities in terms of the number of i c. U. Beds and ventilatestor beds in the city. We are taking steps t to ensure people discharged from the hospital who could not be discharged because they didnt have a place to go now have a place to go per the vast expansion of hotel rooms available. People who have health that allows them to leave the hospital we have the option to place them in a place that is safe and secure and best for their health. These multiple steps increased our Hospital Capacity to manage an initial surge, and it is plausible that even with these steps our local capacity will be exceeded and we will need state and federal assistance to manage the influx of patients just as we see in new york right now. Next question. Ktsf. Would cases in San Francisco escalating when do you anticipate the peak will come . How bad will it be . Will the situation in new york happen in San Francisco . We said fro from the beginnig this situation changes hour by hour, daybyday. If i could predict the future, i would give you those answers. I cannot. All i can say is that every day we depend on data, science and facts to guide our preparation efforts. The shelterinplace over time we hope has the effect to have the effect to optimize the effect. People need to follow the shelterinplace order. We look at all of the data that we have available on every day to best estimate if and when that surge will occur. We are as prepared as we can be at the local level right now. We are constantly reiter rating our efforts based on data, science and facts so our preparedness continues to the future. Thank you. Question from the San Francisco concle. How many staff residents have been tested how will you keep them updated. Have any residents been transferred to another medical facility due to covid19 . I shared in my remarks that six Staff Members at laguna honda tested positive for covid19. We had one resident that tested positive. That resident is in good condition. We are expanding testing right now in the wards where there were covid19 positive staff and the patients. I dont have exact numbers right now because we are escalating that Testing Capacity as we do it today. How will you keep staff, residents and the public updated . From the very beginning i focused on the data, science and facts and being as transparent as we can be with where we stand in our specific care systems. We will communicate the information to the staff as soon as we have it about the status of lagoonna honda. Our focus at the Health Department is to ensure that staff and residents safety is maintained and their health is paramount. Final followup. Have any residents a at laguna honda been transferred . One resident was transferred to an outside medical facility who has been returned to the hospital. I cant comment on the further details with regard to that question. Thank you. The next questions are for San FranciscoPolice Department chief william scott. Question from kpix. Plenty of crowds on corners in the tenderloin, some with nowhere to go and others dealing drugs. Are there plans to address this crowding . Yes, and that is why it is important to work with City Partners. It is a difficult issue. Crowds on the tenderloin. I have been out there with officers and seen it firsthand. Some comply and some dont. We have to keep going back and trying. The drug dealers, there is space in the jails. I want to emphasize for those committing serious crimes, those out selling drugs and causing gatherings to be worse because people are gathering to buy drugs, that is a Public Health problem. We have room in the jails for those type of individuals. Officers have been out. We are trying to educate people to give them an opportunity to comply, but as i said earlier, there is a time what enforcement is appropriate. We want to save our jail space for people that are committing those serious crimes like three homicide suspects we arrested this week. We have room in the jails for those individuals. We still have to do that job as well. We know it is a difficult task, but we are working with every partner in the city to make the situation better. Question from ktbu. Wondering if there are planned road closures to prevent congregating . We the San FranciscoPolice Department have not closed roads. All options are on the table in terms what we need to do to protect the health of the public in the city. At this point we have not closed any roads. Mayor breed is going to address this topic. Mayor breed i just want to be clear that hold on. I want to be clear, as i said earlier, that we are making adjustments based on what we have seen over the past weekend and the past couple of days. We have made recommendations to close a number of parking lots and certain locations, especially where there is out door workouts equipment and play browns playgrounds. We closed those. We made those based on discussions from the department of Public Health. What is going to happen we will make decisions, especially this weekend if we notice that behavior continues to be a challenge in particular areas. We will make those determinations. It could happen at a moments notice. There probably wont be a press conference. There will probably just be a closure and conversation with people in the area to leave immediately. We are going to make adjustments and we will be out, as the chief said, paying close attention to those areas and making recommendations. As it relatings to owes and other streets, we dont have any plans at this time. Every decision we will make to close anything would have everything to do with recommendations from our Public Health department in order to focus on protecting Public Health. One final question for doctor colfax. This question is from the la times. Could doctor colfax explain why the surge would come in the next week or two and is that still plausible . Right now we have 279 cases of diagnosed covid19 patients in San Francisco. We have had three deaths. I cannot predict when the surge will come and how high the surge will be. Our efforts are to flatten the curve. We have taken early aggressive and science informed efforts to flatten the curve as much as possible. Over the next two weeks using the data from our community, the expertise of the scientists that we are working with, we will have a better sense where we are in that curve. I cannot speculate. If i could see the future, i would tell you right now what we need, where we need to be, where we will be in two weeks and what we will need to do to address that in two weeks. Again, from what we know today we are as prepared as we can be. We will continue to mon for the monitor the situation, respond to the rapidly changing situation based on Public Health priorities. That is where we stand today, and that is continuing to be where we will stand tomorrow with following the science and data and facts and being as prepared as possible. Thank you. Thank you that is the final question. This concludes our press conference. Thank you. With safety. This has gone on too long and it is time to get a bond and issue it and just get us out of this situation. Thank you. Thank you. Is there another speaker, please. You have seven questions remaining. Next caller, please. Hello, can you hear me . Yes. Hi, this is david pilpell calling. First of all, i wanted to thank you for making this Service Available given this difficult time for everyone and second, i wanted to appreciate the members of the board for their perseverance and efforts at this time and particularly the clerk of the board and her staff for working nearly 24 7 to make things happen at the board of supervisors. Thank you to all. I wanted to just make a brief comment about the city website. In particular, the page sfgov information cityservices which is open during this outbreak on the main page. Its a list of what services and functions are being provided and to some extent whats not being provided by the various departments. However, it is incomplete and i dont know who at the doc or the jic can fix that, but i would ask that you arrange for each City Department to post on that particular page so that the public has a consolidated location where they can find what each department is doing that theyve deemed essential, what theyre not doing that they have deemed nonessential and what changes theyre making to the services they are providing so that people can know how to intersect with the Government Services that do exist right now. In addition, each department or agency should post on the front page of its website. That summary of what theyre doing and the link to this main page so that theres consistent and comprehensive information about what exists now. please stand by . There is so much frustration and depression. We cannot sustain ourselves and we are lifting on. So, my request is please do it as soon as possible. Do not delay. Do something and pay our medallion loans, bail us out give us our money back. Thank you. Thank you for your comments. Is there another speaker on the line . Yes. You have five questions remaining. Hello, speaker. Hello. Hello. Go ahead. Ok. My name is patrick conners. My husband and i have been living in the city for over 20 years now, 25 years. Were both over 50yearsold. I am on a fixed income as a disabled person. He is the same age as i am. Were both unemployed rit now. I had a job working in the castro in retail and the cas cat row has been struggling and its about to be a dead zone after this. What are we going to do . What are you going to do . I can probably come up with rent for april. Were not going to get money from the feds or from the state until the middle of the month. How am i going to pay may . People are concerned about april. This isnt going to end. I can either pay my rent for april or not pay it. And save that money in case i need it. Now, of course, i live in a rentcontrolled unit. The mayors moratorium on eviction wont cover me if i am taken from this apartment. Which could happen if i to dont pay my rent. How could she do that . How can you allow her to do that . Is that how eviction is that how well be protected from being evicted. I have to decide between rent control unit or living in the street. This is untenable. Help us. Thank you. Thank you for your comments. You have four questions remaining. Another caller on the line, please. Next caller, please. Hi, my name is Brent Johnson, can you hear me . Yes, go ahead. Thank you, my name is Brent Johnson and i am the medallion holder and operator of the medallion 1557 in San Francisco. Ive been driving cab for 26 years in the city. Of course, i, like others, have never seen anything lick this before. Its completely unprecedented what were seeing right now. Ive had one fare in my cab in the last 30 hours of driving. I went to the airport the other day and talked to the guy who was first in line to go up pick up a passenger and he was there for 10 hours. I understand that the airport has been working on a virtual cue to avoid people sitting in the airport for 10 hours or for one hour. So they can be notified through their phone, the technology is already there for this, and be able to come to the airport from where they are nearby instead of waiting in a lot for 10 hours smelling jet fuel and doing nothing. Maybe some of them can play cards but most of them are just fretting and becoming very depressed. I left, of course, i it not wait 10 hours myself my point is theres not any fares on the street or go to the airport wait for rides. Something needs to be done for the taxis on the streets. Theres only a few out driving around trying to service the public and those are savvy guys. Im seeing the guys that ive seen for 25 years that ive always believed in and i want to tip my hat to those out there. Thank you to everybody who is listening right now. Thank you to everybody who is there in the cue and for the comments that have been made by people. I appreciate the format. Also i wanted to recognize that im still seeing lyft and uber drivers coming when i ask them, yesterday and the day before from madera and san diego, so people are coming from all from the state to our city to take rides from what used to be the taxi drivers of our city. Thank you for listening. You have three questions remaining. Next caller. Hi there, brad edwards district 11. I know coronavirus has taken all the oxygen out of the room but i wanted to note as to be back on workers who need to be valued today and and i want to thank the mayor and second, i wanted to check in and reiterate, over the last year or so, that these are still jobs that should be union and perhaps that they might find themselves in a different situation today. I thank you for the time and listening it my mends my commen. You have two questions remaining. My name is aj can you hear me . Yes, about go ahead. I am a taxi driver for almost 29 years and a medallion holder and we have been struggling for more than five years and almost three years keep coming back and fourth to the city hall and for help and begging and requesting please buy back these medallions and theres no other solution. Sfmta is a fully corrupt and theyre favoring gap companies and you name it. Theyre being given incentives with so many different ways. Not taking care of the medallion and the coronavirus virus started coming into the fact. We are desperately needing how are we going to pay to the bank. How are we going to pay these grab companies . Do we have to go back to or native countries that we are born. We are american citizens so we have to go back to our native countries and bring the money and pay these Cab Companies to the bank. Everybody up there taxicab have been healthy and chicago they have been helped and san diego they have been helped. Why not in San Francisco . San francisco used to be a role model. Why not now when we are in need . Remember, these are sitting today. These chairs are not going to remain under you forever. It was also a mayor of San Francisco and its time. One day its going to pull on it. You have one question remaining. Hello, this is thomas. I am a student of history and whats going on in the world today remines me of a book. It talks about the twilight of the soviets when everyone looked around knowing something but not saying something. In that context, im noticing a lot of strange parallelisms in the news that probably are not to be discussed. The one thing that can be discussed is the on going racketerring involving the s. R. O. Held by the pa tells in the city. I observed in van documents theres a burner company in an inverse daisy chain. Complex financial frauds can go on for years undetected because they have learned how to evade the normal oversight processes and this is being orchestrated between the patels and ben rosenfeld. I saw the documents. I saw the master spread sheet. I saw how the kickback works. It solves supervisors in this meeting. And it is disgusting. Anticompetitive pricing is using cash funds to jack up and price fix the market rate of s. R. O. Rentals in San Francisco above the amount of general assistance grants. Thats the reason why. The city is paying for thousands of rooms every single night to remain vacant to price fix and inflate the market rate rentals. I saw the documents. I reported it. Two days after i reported it, i got a red flag notice on me and a restraining objected are order. Thatorder. Its called retaliat. Im a forensic accountant and thats disgusting. There are no further callers. You have zero questions remaining. Seeing no other speakers, Public Comment is now closed. Maam am clerk, can we go to our 2 30 accommodations . Madam clerk, your sound is not on. Thank you. Until further notice the 2 30 accommodations celebrations have been suspended upon request by the president of the board. Supervisor yee lets go to our special order. 3 00 p. M. Item 9. Item 9 is a hearing of the board of supervisors sitting as a committee of the whole today march 24th at 3 00 p. M. For the members to hear and receive a report entitled cannabis in San Francisco a review following adult use legalization on specific findings and recommendations regarding cannabis and requesting the Controllers Office to report. Supervisor yee understanding this item will be continued, well now take Public Comment on this item. To my operations team, are there any callers on the line . Regarding item number 9. Supervisor yee hearing none, Public Comment is now closed on this item. Colleagues, do we have a motion. So moved. Second. Supervisor yee moved by supervisor peskin and seconded by supervisor fewer. Theres a motion to continue these matters to the future date to be determined. After the Health Emergency has ended, made by supervisor peskin and seconded by supervisor fewer, without objection. Item 9 is continued. Madam clerk, lets call the next 3 00 p. M. Special order items 1013. Items 1013, item 10 is the hearing of persons interested in the certification of conditional use authorization for proposed project at 95nordoff street and items 1113 are the motions associated with that appeal. This hearing has been continued through february 11th and march 10 the 2020 and due to the local Health Emergency, the president will entertain a motion to continue this hearing and the motions to the near term until the emergency is concluded. Future scheduling will have proper notice to all parties associated with this. Supervisor yee ok, with the understanding that items 1013 will be continued, we will now take Public Comment. Are there any members of the public who wish to speak on this continuance . All speakers will be allowed two minutes each. Hearing none. Public comment is now closed. Colleagues, questions or a motion . So moved. Supervisor yee motion made by supervisor peskin. Is there a second . Second. Supervisor yee seconded by supervisor preston and then without objection, items 1013 are continued. Madam clerk, lets go to our next 3 00 p. M. Special order. Items 1417. Items 14 is the public hearing of persons interested in the determination of exemption from Environmental Review under the California Environmental quality act issued as a categorical exemption for the proposed project at 743 vermont street and items 1517 are associated with that appeal and its our understanding that if these items are continued to a future date we will make sure that there will be proper noticing made to all parties. We cant hear the supervisor. Supervisor yee thank you. With the understanding that items 1417 will be conditioned. We will now take Public Comment. Are there any members of the public who wish to speak on the continuance. All speakers will be allowed two minutes each. Mr. President , i will ask my operations staff to see if there are any public speakers son the line. Operations staff, is there anyone waiting . Yes. Your conference is in question and answer maud. To summit each question press one and then zero. Is there a speaker on the line. Public comment is now closed. One second. There was a haller whatever you said is not clear. I believe he is indicating there may be a speaker. Yes, i have one speaker. Supervisor yee let me reopen Public Comment for this item. Go ahead, speaker. You have one question remaining. I believe able to give a Public Comment earlier but i am an organizer and an artist and also a millennials and people in my generation and working class, people are living paycheck to paycheck. I didnt hear enough people comment on the resolution to what was that . Its general Public Comment. Ill tell you what i just wanted to really emphasize that you will carefully if you do not vote in favor of this resolution for a rent freeze on the rent and mortgage payment you will have communicated to the community what side you are not, not of the people but corp races and banks, thank you. Thank you. Are there any other comments . No comments. Ok. Hearing none, Public Comment is closed for this item. We will continue items 1417 to a future date. So moved. Say your name, please. Supervisor peskin made a motion to continue. Seconded by supervisor walton. Thank you, very much. Without objection items 1417 are continued. Madam clerk, lets call the next 3 00 p. M. Special order. Item 183721. Item 18 is a hearing of persons interested in the have the indication of conditional use authorization for proposed project at 1420 carabell street and items 1921 are the motions associated with that appeal. We understand a motion may be made to continue these items and will just for the public we will make sure that whether that hearing is scheduled theres proper notice made to all of the parties. Are there any members of the public who wish to speak on this continuance . All speakers will be allowed two minutes each. Madam clerk, your speaker is off. Thank you, mr. President. To my operations team, are there any callers on the line. No, no callers on the line. No callers yet, mr. President. Ok. Ok. Then, no speakers then and Public Comment is now closed. I move we continue these items. Supervisor yee is there is a second. Seconded by supervisor preston. This is a motion and a second to continue their item with no objection then the motion passes. Madam clerk, i believe were going to items 2430. Without committee reference. Items 2430 were introduced for adoption without leverage to committee a unanimous vote is required for resolutions on first street, alternatively any member of the board may request an items to be severed and considered separately. Would any of my colleagues look to discover any items. Yes, from the item 28. Ok. Madam, any others . Madam clerk, please call the roll on the balance of the items. Ok. On items 2430 minus item 28. Supervisor mar. Aye. Mar aye. Peskin. Aye. Peskin aye. Preston. Aye. Preston aye. Supervisor ronen. Aye. Safai. Aye. Safai aye. Supervisor stefani. Aye. Walton. Aye. Walton aye. Supervisor yee. Aye. Aye, fewer. Aye. Supervisor haney. Aye. Haney aye. Supervise oer mandelman. Aye. There are 11 ayes. Without object sex these resolutions are adopted unanimously. Lets go to item 28. Clerk a resolution to urge the governor for a moratorium on evictions including evictions urging the jude i believe council of the San Francisco superior court to stay eviction cases and to urge the San Francisco mayor london breed to ban no faulty convictions during the state of emergency related to the covid19 19 coronavirus. Supervisor. Thank you president yee and madam clerk. I had some developments since this item was introduced that i would like to go over as well as make amendments here since the rental issuance introduced the court, the San Francisco superior court specifically has moved forward pursuant to our demand and has stayed for 90 days. Any evictions cases other than those necessary for health and safety. Secondly, yesterday, last evening, mayor london breed issued her fifth supplemental with orders regarding evictions and specifically regarding nofaulty convictions. We work closely with the Mayors Office and were very pleased we were able to come to an agreement and get that taken care of. At this point, with the exception of no faulty convictions are effectively bannedded in San Francisco. So he with want to amend the resolution accordingly and specifically the following amendments and had he hit a circulate of these to all supervisors and i will run through them quickly now. Page 1 line 1. Page 1 lines 46 removing the title urging action at the superior court and my the mayor. Imagine 91 adding whereas clause noting the mayors fifth supplemental. Page 3 lines 310 related to the spirit of court and page 3 lines 21 to 24 removed claws resoutherly serving the action and lines 4 reinvolved claws urging mayoral action and page 4 lines 56 removing mayor, superior court and California Judicial Council from the transmittal lift. What remains are all of the things urging action from the governor on more to be yum for eviction as well as outside evictions. With the amendments i listed eye like to make a motion to amend the resolution as described. Supervisor preston has made a move to amend the resolution. Do we have a second. Second. Seconded by supervisor mar. The amendments are adopted unanimously. Madam clerk, call the role of the resolution. On the amended resolution for item 28, supervisor mar. Aye. Supervisor peskin. Aye. Supervisor preston. Aye. Supervisor ronen. Aye. Supervisor safai. Aye. Supervisor stefani. Aye. Aye. Walton. Heir. Walton aye. Supervisor yee. Aye. Supervisor fewer. Supervisor haney. Aye. Supervisor mandelman. Aye. There are 11 ayes. Ok, this resolution is adopted. As amended unanimously. Madam clerk, theres been a request to reopen Public Comment, general Public Comment if theres no objection. I will reopen the Public Comment. Thank you, supervisor. So, let me contacts my operations team. They should be checking the lines to make sure that the individual who is calling in will be able to get through. It may take but a moment. Yes, give me a second to get this cued up, please. Thank you, mr. Coop. Are there any callers . No. There are no speakers waiting to speak. How many . There are no speakers. No speakers, correct. Supervisor yee ok, if theres no speakers than Public Comment is closed. Madam clerk, i think we covered everything, right. So weve covered the items on the agenda, mr. President. Please read the memoriams. I have none to report today. Supervisor yee colleagues, that brings us to the end of our agenda. I want to thank everybody for being part of this system. I know its a little strange but this is the best we can do right now in terms of making sure that theres public asset access to our readings. So, colleagues, madam clerk, is there any other further business before us today . That concludes our business for today. Ok, thank you, everyone and please continue to check our website. Www. Sfbos. Org for details. Until then, is this meeting adjourned. I want to apologize for starting this meeting 15 minutes late, first time it has ever been started late, but such are things in the time of love and coronavirus. We are joined by our vicechair supervisor ahsha safai, our clerk is ms. Erica major who has some special announcements that have not been heard before. Ms. Major. Due to to declaration of local emergency related to the Novel Coronavirus disease and the Subsequent Health order, we are asking all attendees of the meeting to maintain at least four feet of physical space between yourself and others. Hash your hands regularly for at least 20 seconds and try to avoid touching highvolume surfaces as much as possible. Madame clerk, could you please read item 2 out of order . Yes. In addition be sure to silence your cell phones and electronic devices. Speaker cards and documents are to be included part of the file should be submitted to the clerk and items acted on today will appear on the march 17 board of supervisors agenda unless otherwise stated. Item 2 is a resolution affirming the citys continued good faith ofs to acquire the pg e assets necessary to provide clean, green and Affordable Electric power delivery and service in San Francisco. Colleagues, this is something that has been a matter of policy attention by this body now for depending on how you count it, 20 years or certainly the last 14 months. This is a joint effort between the chief executive officer mayor london breed, the board of supervisors and the Public Utilities commission as well as the City Attorneys office. Tomorrow there is a joint closed session meeting, the first of its kind in my memory between the puc commission and the board of supervisors in this chamber at 4 00 p. M. This is a resolution as the clerk just said, affirming the citys support for the acquisition of pg e assets in the city and county of San Francisco, contingent on certain conditions. And we have voted on many similar resolutions up until now. But as we go into this joint meeting with the p. U. C. And as the p. U. C. Has on their calendar a very similar, almostite cal, resolution, that they are scheduled almost identical resolution that they are scheduled to vote on tomorrow afternoon, i wanted to bring this to the committee and subject to our deliberations and Public Comment, send this to the full board of supervisors as a committee report. The language should not be new to any of us except for maybe supervisor preston, which recites the history of the provision of Electrical Service to San Francisco since 1913, and to public facilities in the city since 1918. Goes onto elucidate the letter dated 14 months ago by mayor breed asking our p. U. C. To analyze options for ensuring safe and reliable Electrical Services within the city including the possible acquisition of pg e assets for distribution and transmission. The request for a report from the p. U. C. That we have previously discussed subsequent actions by this board and the p. U. C. Including a 2. 5 billion indication of interest to pacific gas and electric and subsequently the additional approval two months ago of resolution 3020, which approved the issuance of over 3 billion of Revenue Bonds for a potential acquisition. The resolution that is cosponsored by supervisor ronen further sets out our priority, a number of them related to financial stability, support for utility workforces community and worker safety, Climate Change prevention and mitigation strategies, affordability and equity, operational excellence, improved service to City Departments. And with that, ms. Barbara hail from the p. U. C. Is here if you have any questions. If you do not, then i do not see any of your names on the roster, i would like to open this up to Public Comment. Dont all run down here at once. Ms. Chapman, as to item number 2. Item 1 has not yet been called but will be called shortly. Is there anything you would like to add to what i just said . Okay. Seeing no Public Comment, seeing no comment from p. U. C. Staff, Public Comment is closed. Can we make a motion to send this to the full board with recommendation moved by supervisor safai . Can we take that, supervisor preston, without objection . And i assume your motion is to send it as a committee report. That will be the order. Madame clerk, i am awaiting some amendments to item number 1, which is why we started 15 minutes late. Those amendments are not yet before me. So i would like to take a brief recess as to item number 1, when it is called, actually madame clerk, please call item 1. Item 1 is an ordinance amending the planning code to create the intermediate length occupancy residential use characteristic; amending the administrative code to clarify existing law regarding the enforceability of fixedterm leases in rental units covered by the just cause protections of the residential rent stabilization and arbitration ordinance prohibit the use of rental units for temporary occupancies by nontenants require landlords to disclose in advertisements for such units that the units are subject to the rent ordinance, and authorize enforcement through administrative and or civil penalties; requiring the controller to conduct a study to analyze the impacts of new intermediate length occupancy units in the city; affirming the Planning Departments determination under the California Environmental quality act; and making findings of consistency with the general plan, and the eight priority i want to thank City Attorney for preparing those. I apologize for the fact that we are 15 minutes late in convening. If theres no objection, colleagues, i would like to recess this meeting for why dont we say until 2 00 p. M. . Is that enough time . I think eight minutes should be sufficient, i believe. So if we can recess until 2 00 p. M. , without objection, were in we will reconvene the land use land use and Transportation Committee for today, march 9, 2020. I am the chair of the committee, aaron peskin. I would like to thank you, colleagues and members of the public for your indulgence as we needed to recess as to item number 1 that has already been called pending the receipt of some amendments, which subject to our deliberation of Public Comment, i would like to introduce today and continue so there will be plenty of opportunity for the public and interested parties to review them and comment on them at a subsequent meeting. So let me at a high level, go through the amendments that are before you as to what we used to call Corporate Housing legislation, we are now calling intermediatelength occupancy or i. L. O. Legislation. The First Amendment would make it clear, remember the earlier version said that in building typologies of nine or less units, 25 of them would be eligible for an i. L. O. Unit, which i think colleagues on this committee and members of the public were seeking clarification on as it relates to dwelling units of fewer than four, ie, ones twos and threes and the amendment that im offering today would clarify that so that administrator and the board of appeals would not need to wrestle with it, and that clearly states that under four i. L. O. S would not be permitted. It reorganized some of the requirements into information required for any application. Some of these criteria are with regard to identifying which unit within a building would be an i. L. O. , include proof of no building or housing code violations, and sets forth different obligations for buildings depending on the number of dwelling units. It includes most importantly conditional use criteria and there continues to be a place holder for the cap and colleagues, in our earlier conversations, and i just want to let you know where i intend to continue moving this legislation, there has been some interest in grandfathering historic practices in larger buildings that can be proven. So the amendments ill be working on in the intervening week if you should continue this, would dill diehl with that. And the city would deal with that. And the City Attorney, as i said, whether these amendments are substantive in nature or not in so far as they are being continued for a week, there will be plenty opportunity for you and the public to comment. With that, i would like to open this up per Public Comment. And can make a copy of the amendments available to any member of the public. And with that, supervisor safai. So one of the things that i heard last, and i appreciate all the hard work, supervisor, i would like to talk more about the grandfathering. I think thats an important conversation. But the one i want to start with is under four units. I think one of the things we heard is some of the people that had invested and spent time and worked with converting a particular space in their building, in a small unitsized building to operate under this, not sure if they are really the focus of your legislation. I think that in terms of what i heard you say, a lot of what you were trying to account for are bad actors in large Apartment Buildings and rentcontrolled buildings. So these are the small operators. And i had gotten intention or hearing that we were going in a direction of potentially exempting them or giving them a pathway to continue to operate. And i think that that is still worthy conversation to have. Thank you, supervisor safai, for those Public Policy comments and observations. I think the question that we as policy makers have to wrestle with is to the extent that once this industry is betterregulate betterregulated, where will i. L. O. S be pushed to . And i think part of the reason im making this amendment is because you i dont think we want them actually pushed into smaller building typologies, which are part of the fabric of our neighborhoods and lead to a quality of life and a measure of neighborhoods staying intact. And that is actually the policy concern and consideration that i have in making this amendment, which by the way, is actually a clarification, because that same policy concern is what led to the notion of 25 of buildings less than 10 units. So i was concerned, and mr. Sanchez, we have not heard from yet, and thank you for spending your afternoon with us, actually brought to my attention that we might want to clarify that, so just doing simple math, 25 of four is 1, and 25 of 3 or less does not produce you one unit. So i wanted to clarify that. But im also concerned about to the extent that we ultimately regulate this in larger building typologies, that it ends up pushing people out where a lot of speculation and gent if i ration has happened in smaller gentrification has happened in smaller building typologies. Im open to more policy dialogue about it. Can i talk about it . Because my district, my part of town has 2s and 1s. And a lot of the people that would partake in this type of event are people that are visiting nurses, people that are in the film industry. They might not necessarily part of the people that are going to take advantage of the or have the ability or income to afford the more corporate high end. I understand your concern if you are taking away one, you might engender a growth in another area, and i think thats why as policy makers, it helps us to work with the Planning Department and get an idea of what the overall number is in a particular market. I wouldnt want to make it not operable altogether. I think we should come up with something, and then if it ends up becoming something a problem that needs to be regulated, we can continue to revisit. But to take away that optional together for a small time, you know, one of the people that came was a mother and hay had gone through the process of investing in their house so they can have shortterm rentals, and she said these are people that are nurses, academia, all these other things, they dont have the desire to have longterm or even short term. And supervisor, as im carefully and publicly honing and crafting with you and various interested parties and members of the public, this legislation, do you you just made an argument for Single Family homes, you made an argument for twounit buildings. Are you making an argument for threes . Im not necessarily. I think two or less is probably that is extremely helpful. Supervisor preston, anything you want to weigh in on . Just to the extend that were talking about smaller buildings, whether they are twos or threes, where the units, and these are older buildings, a lot of those are already subject to the rent control exemption. So i dont know if theres newer Housing Stock that may not be subject to those but are smaller buildings where the distinction may be more relevant. You could go through the process of adding an a. D. U. , for example, and maybe you are using it that way initially. That could be an example where youve added an addition. Although my policy objective is as much as we can to add more permanent housing, right . And i think we are having that debate on the shortterm rental side. A threeunit building, i think its harder to make that argument because its a threeunit building and you are taking a complete unit off the market. If you have a threeunit and you add that additional unit, then you fall under the category, and i see that happen a lot. Someone take the grand floor, go through the process, and then if they want to fall into this category they have a pathway to do it. Im not as concerned about the threes. Im concerned more of the twos and the ones, and i think that youre probably going to have a situation where theres people that have already done it and have been doing it, and those are the ones im concerned about rather than engendering or encouraging to do more. So if we think about the right way to approach that, you know, that would be my preference. And i know this is a small piece of your overall legislation, which by the way, kudos for putting in the time and effort and energy. I think that some of these newer buildings that might not necessarily pencil under this market where people have come up with the idea we are going to go 100 corporate rental, i think that is not what anyone of us want in San Francisco, whether its market rate or not, we dont want an entire Apartment Building to turn into corporate rentals, so taking that off the table, i think thats the right policy approach. Having us look at four to nine unit buildings which certain percentage, i think thats the right approach. Looking at an overall number, i think thats a good approach. I know a number of those will probably be operating outside of the parameters under which so that number will come down. And then maybe with grandfathering, we hit the sweet spot. Very helpful comments from both of my colleagues. Mr. Sanchez, anything you want to add that you have not said before as we continue to evolve this piece of legislation . Why dont we open this up for Public Comment . Ms. Chapman. And thank you again for your patience. Public comment. Are there any members of the public who would like to comment on item number 1 . Ms. Chapman, you expressed an interest earlier when we were speaking about the other item. The floor is yores. The floor is yores. Linda chapman. Im speaking for knob hill neighbors. We were fighting the cannibalization of rentcontrolled housing for shortterm rentals and so on. I know you have a separate bill on that. I dont know what the contents are. I want to find out and make sure that it didnt make things worse than the piece of legislation we actually passed and it wasnt even thrown out by court. It was undone by ellis barclay, because in the City Attorneys office, and she could do it. And i was too damn stupid, as i was saying to tom the other day, sometimes my stupidity amazes me, that i didnt go to harry brit and carol silver and said you passed it, the mayor signed it, what is this . Lets get them back. More than ive opinion able to get about the s. R. O. Legislation which i still hope to. And i dont know who we hope to consult. The people who used to be on harrys advisory committee, for example, i dont know if you have something similar. Its really a good idea that you are looking at this middle bucket, which is something we werent looking at before. I have some concern, it might just be if i were able to ask like i did back in the day, we would say what about this, have you thought about that and so on. We could clarify. I would want to know, for example, would people be evicted if they were, these were not rentcontrolled buildings, are they protected by the state law from being evicted if people go turn them into this and also if people have written agreements that are not with the tenant but written agreements all right. And other things. Thank you, ms. Chapman. Are there any other members of the public or the interested affected community that would like to comment . Seeing none, we will close Public Comment. Colleagues, if we can adopt the aforementioned amendments that are before you and continue this item one week, i would greatly appreciate that. Make a motion to continue. Excuse me, to accept the amendments as proposed for this item and continue the item for one week. Supervisor safai has made a motion to accept the amendments and continue this item one week as amended. We will do that without objection, and there is no more business before this committee, and we are adjourned. [please stand by] roll call, please. Clerk all right. Ill go ahead and mention that director chang is sitting in as director haneys alternate. With that [roll call] clerk noting that director tavares is absent, with that, you have a quorum. Were going to change our agenda here in a little bit and start with the closed session. Before we do, id like to rerecu recuse myself for the closed session. Id like to ask that director hirsch, as i did so last time, take control of the closed session. So ill be back in the board room and hopefully come back out today. Good luck in closed session. All right. Thank you, vice chair gee. As he noted, we are going into closed session. This is an opportunity clerk all right. The tjpa board of directors meeting is back in session. And in item 8, closed session, there is nothing to report. Go ahead and move into next item . Please. All right. Item 9 is communications, and director do directors, im not aware of any. Item 10, new business. All right. Well go into item 11, the executive directors report. Good morning, directors. We have a busy morning, but before we get started, id like to update you with some items. First, id like to update you on the Community Response to the Novel Coronavirus. We have taken several measures to enhance the health and safety of all Salesforce Transit Center services, including coordinating with federal, state, and local Health Officials and other transit agencies. They include the San FranciscoMayors Office, our officers at a. C. Transit and muni, and the department of Emergency Services and transit and joint information center. We have also expanded our cleaning measure including the frequency of cleaning of the touch points such as door handles and sink handles. We have Updates Information on our Digital Screens and were posting the posters from the department of health San Francisco department of health all over the building. Information can be found in common areas throughout the Transit Center, public rest rooms, and staff areas, and we and as we all know, the situation is changing rapidly, so well continue to monitor and respond appropriately. Next, id like to update you on our way finding project. As you know, after opening the Transit Center, it was determined to anecdotal feedback that the current wait signage needs improvements. We have been working with the San FranciscoTransportation Commission and our operators to conduct a way finding gap analysis and these efforts are underway. The way finding Consultant Team has completed a general assessment through a deep dive into the existing systems, survey research, Public Public passengers interviews, pedestrian journey tracking, volunteer test journeys, and a series of interviews with everything, including our janitorial staff as well as the cap riders. The analysis is expected to be completed by the end of this month or early next month and once this is done, ill present the findings to the boards. Im happy to announce that phils has opened two locations. They have already added to the neighborhood, adding more vibrancy options. At this time, id like to ask rich payette from lincoln property, our asset manager, to provide you with a brief operations update. Rich . Thanks, mark. Thanks. As mark talked about, we are addressing the covid19, so we have a very good Janitorial Company thats working with us. Theyre a vendor, and theyre cleaning everything that people touch. Doorknobs, touch screens, elevator railings, and we do have signage up educating people. The third floor bus deck continued to operate at normal capacity with a. C. Transit, greyhound, and they continue to operate at the corner of mission and fremont. Onsite was our first tenant that opened, and they opened in november. Our anchor tenant, fitness s. F. , opened in december, and we have two fill coffees that are open today. A quarter after that, well have spring fertility and happy lemon, and later, well have charlies philly steaks, kaiser, and others. This slide just shows some of the activity of our construction. Fully built out s. F. Fitness, fitness s. F. , and things in progress, and Stores Coming opening soon. 69,000 of that square feet is already executed and board approved, so thats 81 . Another way of looking at it, 35 retail spaces, and 25 of those spaces have been executed and or board approved at 71 , and our committed rent is 98 of of what we projected. We have l. O. I. Promising l. O. I. S on seven of those spaces, but we have interest in all 11 spaces. The next few will just be kind of, like, site plans or floor plans of each floor. That might be a little hard to read, but this is the first floor. Anything in purple is already committed, and everything in green is still in negotiation. Heres the same thing for the second floor. Kaiser, fitness s. F. , springtime fertility, and they will have that lease signed this coming week. That will leave just one space, space 232, that were still working on. We have strong interest in that space, and we expect to have the second floor fully leased shortly. And then heres our third park level, same thing. The restaurant, fully committed, and then, were still negotiating on the pad. Now were at the point if anybody has any questions. Any questions from the board . Thank you for your report. Thank you. Directors, just to resume my report, we have a financial report. If you have any questions, aaron can answer them, and my last item, i wanted to update you on the m. O. U. With the metropolitan Transportation Commission, San FranciscoTransportation Authority, San Francisco transbay joint powers board to enhance the facility of the downtown extension. This is to implement a new organizational structure do i have it . To support the tjpa projects in the most efficient manner in collaboration with the Partner Agencies in the bay area. The goal is to is to be to take the d. T. X. To shovel ready status in the next two to three years. As way of background, in july of 2018, we received an allocation of approximately 10,000 million from sfcta tot resume work on the preliminary engineering on the downtown extension. That was suspended in december 2018 after a discovery of the fiss fissures detected in the tunnel under the street. After that, the sfcta initiated a peer review of that effort, and at the same time, the board asked me to initiate a peer review with the American Transportation association. The peer review was concluded in may 2019. That concluded in recommending that the tjpa have less reliance on consultants and have more depth on tjpa staff to have more institutional knowledge. But they also recommended that the tjpa consider retaining an independent engineer to assess and monitor the program and report directly to the board. The report that was done by afta was done by Public Sector leaders with proven experience in managing delivery of large complex projects. They included the assistant manager with the denver regional transportation district, including the receive Program Manager for l. A. Metro, including the Vice President and senior priVice President w lewis and berger. After some discussions, the sfcta review was adjusted to recommend a new organizational structure for a new tjpx under the sfcta. So so moving forward, the new organizational structure thats being discussed right now contemplates the formation of a new structure. The expectation is the Steering Committee will be driven by managers and executive managers of these agencies. And then, the first order of work of the executive Steering Committee would be to approve or recommend to the tjpa boards a work program that analyzes the roles and responsibilities of each entity, and give us a clearer road map how to get from where were at right now to shovel ready for the downtown extension. The the the under discussions right now with the e. F. C. Roll will be to made recommendations to the tjpa board, but the tjpa will remain having final authority over the downtown project, and they can accept or reject the report of the executive Steering Committee. The executive Steering Committee will meet on a monthly basis and can report to the tjpa on a monthly basis when theyre ready. So thwe welcome that, but itsp to them to do that. It would be composed of the same agencies and led by the tjpa project director. And the work plan will include items to be delivered, and whos going to be delivering these items, and whos going to be reporting about these items . On this is a draft organizational chart thats contemplated as part of the discussions that were having on the m. O. U. On the righthand side, youll see that this is a normal operations of the Transit Center. Tjpa, right now, we have the executive director reporting to the board, and the executive director is supported by the chief of counsel, facility director, chief security officers, and the c. F. O. On the righthand side, we will have, at the very bottom, the tjpa managers working on the on the downtown extension project. Theyll be managed by the project director, which is a tjpa employee, but he or she will be part of the integrated management team, theyll report directly to the executive Steering Committee, and the executive Steering Committee will report to the board. The formation of the o. S. C. Would provide another tool in the tool box and have leaders of various agencies, tjpa, high speed rails, and others, to really give the project a shot in the arm and the tjpa a shot in the arm in regionalizing the project and making sure were doing this in full collaboration. And itll also better position us in securing funding, especially at the states and the federal level and also helps us with resolving any any discrepancies or conflicts in the development of the project, especially when it comes to operations and other issues, so well have all the parties in one room, discussing in a formalized manner. Some of the challenges that this structure introduces, as there is no Single Person thats really responsible for the downtown extension, youve got a committee composed of six individuals representing six agencies reporting to the board, so when the board receives this recommendation, there is no one particular person that could be held accountable. The chair and the vice chair of the Steering Committee are not permanent members. They could come and leave, so two or three years later, the board will not be able to hold anybody accountable for these particular decisions. However, its also going to heavily involve the engagement of the executives, so theyll really have to free their time up and be involved in the project. And also, the success of this structure predicates on everybodys engagement. I want the board to know theres some costs involved here. That concludes my report as directors report and m. O. U. Again, i hope to finalize the m. O. U. And bring it to you for your consideration at the april board meeting. I do recognize, and im sure you do, that given that this changes the way that tjpa does business, we need time to finalize this m. O. U. Any questions from the board . Director chang . Through the chair, thank you, vice chair gee, and thank you for that. I wasnt aware that we were going to be discussing this, the potential for the m. O. U. , the hope that it comes out. On behalf of our prior work on the Transportation Committee, just want to highlight the goals for this effort particularly for some of the members and members of the public who may not have been following it over the past year. Its to regionalize the project further, but to further promote participation amongst the regional state, regional, and other partners who are already on this board and involved. Also, to boost capacity of the effort, and there are different way to see do that, of course, but this way, i think brings the benefit of the coordination that is sort of inherent about having all these folks around the table with the resources and to move this project forward, and to frankly try to accelerate it and make it receive more state and other funding. So those were sort of the intent behind it, and i think some of the issues that you raised behind accountability, we have seen partnership approaches to development. Its a fair concern, and i think something that we should be, you know, better able to address once weve finalized the m. O. U. , but i think there are better ways to address it, and the wa and address it in the ways that weve seen these partnerships work both nationally and internationally. Thats all ill say right now. Thank you. Sorry. My intent was not to highlight the m. O. U. In a negative fashion. It was just to highlight theres some complexity in the reporting structure, and i wanted the board to be aware of that. Thank you for this. We need the entire board aware of all of the hard work going on to create this m. O. U. As well as the public. As cited, the two previous reports in the peer review, and one of the greater reasons is transparency, so transparency to the board and to the public. Clerk and well move into item 12, the construction closeout update. Good morning, directors. Ron alameda, director of design and construction for the tjpa, specifically phase one. Also, the acting city architect for the city and county of San Francisco. We have were at that stage of the project where theres a lot of background activity and somewhat Modest Movement but steady movement. Most of you are familiar with this pie chart as we start trying to gray out the pie chart and achieve closeout on all of the 49 subcontractors which will clear the path for us to close out with webcor on phase one. As we sit today, weve got four trade groups that have moved into the final pathway towards four and final change order closeout. We remain with 13 that are in dispute resolution. Out of the 13, i anticipate six to seven will probably take the longer path of either litigation or mediation. Were aiming for may, but i think the trend is towards june to have a closed session legal briefing for the board as we move a little bit closer to that stage of the closeout. And that leaves out of the 42, weve got 39 that are closed out. I believe that was a movement from january of 29 total, to a total of 32. So as i said, lots of activity in fact background in the background, modest but positive movement achieved in that. As we look at the construction contingency, we look at the actions that were taken on closeout, probably the most thing to note of it since the last report, weve got 2. 3 million drawdown on construction contingency, and weve actually had a replenishment of 2. 4. Although weve been very successful with the d. R. A. , the resident path issue, which was originally earmarked as a cmgc contingency, the d. R. A. Recommendations are a result move that responsibility to construction contingency, so thats what youre seeing there on that slide. In summary, weve got a remaining balance of construction contingency of 1. 6 million. Getting a little thin, and probably an indicator of some movement of some reserve in the future, but thats to be shook out. Cmgc contingency sits at 5. 9, with an Overall Program reserve of 31. 8, totaling an availability of 39. 3 million to work with as we navigate through the remainder of the closeout activities, we takes us to the budget slide. Again, the total Phase One Program of 2. 21594 million stays steady. A little bit of movement internal, with an estimated at completion of construction sitting at 1. 454 1. 45482 billi or million and for phase one, a total of 2. 174 billion, and below that line is reflective of the unanticipated drawdowns on the overall phase one improvement, and that would be the tenant improvement and the 301 mission. So that was, in total, about 62. 6 million drawdown on the overall budget. But again, were Holding Steady to stay within our the confines of our overall budget despite all the ups and downs with t. I. Legal, cracked beams, and the such, so were bringing this thing home. And that concludes my summary right now. Thank you, mr. Alameda. Questions from the board . Okay. Thank you. Thank you. Clerk all right. Go ahead and move into your next item . Next. Item 13 is the Citizens Advisory Committee, and i did see derek holt, the tjpacac chair. Good morning, directors. Good morning. Im derek holt, and this past evening, we the c. A. C. Appreciated the updates from the tjpa staff, including christine, erin rosema, direct director zabaneh, and others. Several members have reached their term limits, and well miss their comments, their plans, and their analysis. Several applications have been placed for strong candidates. Our c. A. C. Utilized the Transit Center resources as well as the rooftop park, and we have stronger appreciation for the covid19 Safety Measures that have been put in place and the use of the website and other means of communication. We really appreciated the comments, and were excited by the Transit Center tenants that are opening in the next few months as well as later on this year. We do recognize that the temporary closures delayed some of the momentum that was building last summer, and we still believe that contributing guilty parties should still be held accountable. Our thanks to the High Speed Rail Team that presented to us thursday evening. Their 2020 high speed rail Business Plan looks strong, and they particularly focused on northern california, the central valley, san jose, San Francisco, and the role of the d. T. X. Ii project. I can tell you i cant wait for the option of taking a 45minute commuter train to fresno instead of the threehour drive that i had to make this last month. I think that the d. T. X. Will help with that from what i understand. Weve been helping you out. Thank you, thank you. I didnt hear the date. Noteworthy was the finance presentation focused on the 2020 tax allocation bonds by the tjpa chief financial officer. It was detailed, focused, and very clear that these strategic steps will save significant money, especially freeing up 35 million that can be used for the d. T. X. Project. It sounds like a very wise move to take advantage of declining federal treasury rates over the last six months or so. There was strong analytical discussion of the use of the money that could be saved. The csca took a vote, and it was unanimous. The c. A. C. Has gone on record to, one, request that the Financial Strategy be employed, and if second, if there were 35 million freed up, that could be dedicated to the phase two project. The c. A. C. Recognizes that the d. T. X. Plays a role in the San Francisco safety project that was presented at our meeting this past january. The c. A. C. Recognizes that the d. T. X. Has been voted on and approved on by regional voters, we recognize that the d. T. X. Is a significant piece of the Transit Center and the overall expansion of region. We, the c. A. C. Strongly encourage the tjpa to support the proposed d. T. X. Project. There was rigorous discussion by the 15 members of the c. A. C. Tuesday evening, and we acknowledge that the introduction of additional regional players could lead to preventing or resolving conflicts, keep the tjpa involved in daytoday politics, and theres recognition of the tjpa as a megatransportation in the region and the state, california, so we, the c. A. C. Are requesting the board to support the funding and strategy actions and do what you can to raise the influence of more regional influencers to champion the d. T. X. Project. Thank you. Thank you. Any questions from the board . And mr. Holt, please extend our thanks to the members that are opting out because of their service. Clerk okay. Next item. This is the time for Public Comment. I this is the time to address members of the public i see mr. Patrick. Id like to address the members of the board. This came out of the Transportation Authority of San Francisco and has effectively delayed this project two years. Out of this delay, weve studied the project, and weve said were going to put a new Management Structure between this board and the operations. That matters been structured who we composed of substantially the same people who sit on this board, or maybe one level down. This is a quid pro quo. The quid is we have to change the Management Structure. The quo is well then give you the money. I dont know about you, but i find that objectionable. Weve essentially delayed the project two years. Now as i look at this next thing, what will flow out of that, in my opinion, is a tremendous amount of money for transportation improvements as we need to gin up the economy and get it going again. We will be sitting with our shoe in our back pocket, not ready. I think this whole thing has been terrible, and its a boondoggle. Thank you. Clerk okay. That concludes members of the public that wanted to address you on that item. Move onto the consent calendar . Yes [agenda item read]. Clerk at this time, weve not received any notification that anybody wishes to have any items severed. Your items are 15. 1, approving the minutes of the february 3, 2020 meeting, 15. 2, approving the meeting of the february 20, 2020 meeting, item 15. 3, 15. 4, and 15. 5. Thank you, miss gonzales. Any questions or comments . Ill move approval. Is there a second . Second. All right. Theres a motion and a second. Clerk great. With a moved and a second [roll call] clerk thats seven ayes, and the consent calendar is approved. Thank you. Please continue. Clerk all right. We are ready to move into your regular scecalendar, and with concurrence of the board, well go ahead and all items 16, 17, and 18. Item 16, approving the issuance of not to exceed 315 million, and finance additional costs associated with the construction and design of the transbay terminal project. Item 17 is approving changes to item 17, Debt Management policy, and item 18 is amendment 1 and amendment 2 to the 2020 operating budget. Directors, this will be presented by our chief financial officer, erin roseman. Im not trying to influence your vote, but id like to thank her for her work on this program. So were here presenting to you the 2020 tjpa bond sale. This will be our inaugural bond sale, the tax allocation bonds. We have three main goals in doing this bond sale, and this is to refinance our tifia loan, to refinance any balance, and to execute our loans. We expected a loan in 2010 at an Interest Rate of 5. 7. It currently has an Outstanding Balance of 179 million with a final maturity in february 2051. We anticipate in this market that we would be able to refinance the full amount, the 179 million, still secured by net tax increment. Our good faith estimate as of february 20 had a has a saving or an Interest Rate of approximately 3. 5 . The market is continually moving in the last few days, its been rather volatile, but still moving in a direction favorable for us. We would anticipate level annual savings and a net present value savings of at least 10 or about 20 million based on that good faith estimate. This slide is actually stale now that weve gotten to this point. You have to get all your documents together, but as of march 6, the 30year m. M. D. Was 1. 52. It is dependent on the day of this week. It has gone down and up, and down and up, and today, its essentially been suspended, but the rates are still lower than our good faith estimate and kind of moving in our favor. Were hoping to be able to capitalize on this good market by the time we get to a june closing. The city financing is another debt that wed like to refinance. Out of the risk analysis the m. T. C. Did in 2015, we were able to increase our Program Reserves by 260 million for contingency. Part of this 260 million was city financing. There was 100 million from bota, and then, 160 million from the city and county of San Francisco. Weve only drawn 103 million out of the citys portion of this contingency. That 103 million had been secured by net tax increment, and it was on parity with our tifia loan. The Interest Rate on city financing is a variable rate interest. As a requirement of our tifia loan, since weve added the city financing, we had to get Interest Rate caps to the hedge the variation in the Interest Rate. We had taken on three different Interest Rate caps over the lifetime of this. The Interest Rates did what they were supposed to and kept our payments within reason. The city financing expires in 2020, so we had drawn 103, and weve repaid some to our Outstanding Balance, but theres no ability to draw anymore on this facility. We anticipate the city financing to be refinanced, one, through the citys own efforts to issue c. F. D. Bonds, or Community Facility district, at a fixed rate. We would expect their bond sale to proceed around the may time frame, and our bond sale to close around june. If there was any amount that the city wasnt able to capture in their financing, then our tax allocation bonds would take up the difference. Our third goal in this financing is to generate new money proceeds. Wed anticipate 115 million new money proceeds that would go towards tenant reserves, replacements, and then any other reserves, fully fund a debt reserve and the cost of issuance which would be final to the buyers, trustees, etc. The capital replacement reserve is an account that was required by tifia, and with the refinancing of tifia, we would like to continue with that practice and formalize it into our practices of tjpa and not just the requirement of a loan. So were attempting to fully or not fully fund, but fund a portion of capital replacement that we identified with tifia. There was a schedule that we provided to the tifia loan that programs are informed how much we should have over the life of the facility, and so we feel like 29 million is a good starting point. We should fund it to or weve committed to funding it to 193 million with the tifia loan, so 103 million is a starting point. 29 million is a starting point. If the rate will allow, wed like to go up to 40 million if the fund is available. So the total source for the bond sale, we anticipate generating 318 million from the proceeds of our bond sale, and another 176 million from the citys bond sail, for a total of 394 million, as a repayment to tifia, funding the phase one Program Reserve, funding the program cost of issuance, and slowly funding the debt service reserve. The structure of the bonds would be we in our documents, were asking permission to issue a par amount of not to exceed 315 million. We would expect the bonds to be primarily tax exempt. The only bonds that wouldnt be taxable would be the capital replacement reserve. All the bonds would be reserved with net tax increment. A term of 30 years, we would expect the bonds to be all fixed rate. Weve gotten indications that we would be green bond certified by the climate bonds initiative. Our building is silver lead certified, or were in the process of being silver lead certified, so it was an easy process in that record. The net revenues would be held by a trustee, and payments would be made by a trustee. Our good faith estimate assumes we would be able to achieve 3. 86 with the market refinancing, and if the downfall continues, that could belower. In order to achieve this, weve done our fee to secure underwriting syndicate. We went through an extensive to come to the selection of steve full and dean witter stanley. We felt like as theyre leaders in their industry, they would be best positioned to help us. Additionally, weve chosen morgan stanley. They have a great Distribution Network that can help distribute our bond. The finance calendar has this coming to you for your consideration, and then, wed move to the city and county of San Franciscos board of supervisors so that they could consider finding a resolution of significant public ben any time in this term of refinancing would be a net present value savings that provides a benefit to the public. So reducing the amount of debt, generating the 10 net present value, should be considered a significant value in regards of public financing. In addition, in april, we would finalize the Credit Ratings in discussions with our insurers and do the offering of documents in may and have a bond closing in june. Since the city is doing their bond sale in conjunction with us, there is a bit of a pause between april and may to have their bond sales matriculate from theirs to ours, so we know the exact amount that we need to finance of our bonds. In order to if we were successful with this bond sale, and in order to affect all the new proceeds and all the different changes, there would be a budgetary impact with all these this financing. The budgetary impact would require an amendment to the operations budget, an amendment to the Capital Budget, establishing and increasing a separate Debt Service Budget, establishing a tenant improvement budget. We would bring money in to phase one and take an equal amount of phase one so theres a netzero to the Phase One Program budget. It would also generate additional funds for or Funding Availability for phase two in the amount of 35 million, so it would be a shift of funds that now have an available use for phase two. We would create the capital replacement reserve and fund that. The next few slides are tables of just the changes, so theres more lines to the operations budget, the Capital Budget. But for brevity of the presentation, im only showing the lines that have differences. The totals on the columns agree to the amounts that were approved before in the original adoption or amendments, but were just showing the modifications. So the operating budget would decrease by 11 million, going from 37 million to essentially 26 million. The biggest difference would be taking out the debt service as a line out of the operational budget and then creating its own separate budget. And then, theres a series of revenue and expense adjustments downward by 5 million to recognize a delay in construction and a delay in revenue in the operational budget due to the overly optimistic occupation of the Transit Center. Theres an adjustment due to the reduction of residents. This shows or explains how the rearrangements happen. Theres proceeds brought into phase one for tenant improvement, and then, the tenant improvement expense moved over to its own tenant improvement budget. Theres money brought into the fiscal reserve thats created to to go into phase two, and then, additional bond proceeds brought in to support the tenant improvement Capital Budget with a contingency of the tenant improvements going into fiscal reserve. So a lot to follow, but im willing to help anyone understand what all were doing. In the Debt Service Budget, we initially contemplated just Interest Payments to tifia and city financing, and now as were doing these refinancing, this is a request expenditure approve to make the payment, so were adjusting the Debt Service Budget by bringing in the proceeds and expanding in t bringing in this in to expand the budget out. The next budget movement is the expression of the tenant improvement, so taking tenant improvement out of the budget and phase one, bringing in the bond proceeds, showing that the 35. 5 million that we had always anticipated is still the expense. Were also transferring a small amount of salary and benefits and marketing and leasing commissions and then putting 15 million into fiscal reserve for contingency Second Generation tenant improvements. Finally, this is a summary of all the movements to show the reserves, and so our total capital reserves would be 141 million im sorry. Skipped over one, the capital replacement reserve. Adding 21 million for capital replacement reserve for a total of 141 million. On the operational side, were requesting the operational reserve. Were asking for temporary use of the o. N. M. Reserve until were able to achieve the reimbursements from m. T. C. In order to all these budgetary movements, theres a couple of policy additions or changes as we have wanted to fund the c capital replacement reserve, its not listed in the policy, so were asking to modify the reserve policy to modify the capital reserve and fund it between 29 and 40 million and also add funding into the fiscal reserve through the budgetary movement. And ill take any questions if you have them. Thank you for your patience in walking us through that. Director forbes . Yes. The t. I. Budget, would those improvements come back to the board for review and authorization for actual projects of tenant improvements or is there further review . So with each of the leases that weve executed, there is a negotiation for each tenant on how much the tjpa is contributing to the tenant improvement for that specific space. So with the approval of all the leases, theres been this approve of the amount for all the tenant improvements. I see, so its cash were not performing the tenant improvement. Its an allocation to the tenant . So a portion of it is allocation to the tenant, and then, theres a base building modification to the tenants work, so it might be the floor, some of the utility relocation or bringing the utilities into the space. Director sesay or yeah, go ahead. Oh, similarly thank you, vice chair gee. Subsequently, there would be a budget action or any other actions to apply these funds, is that right . This is a tax allocation proposal, but whatever use would be reflected in the Agency Budgets or project budgets of the board. This is not a project afpprova, this is a tax allocation, that is correct . Theres three separate actions. One is the approval of the sale of the bonds, so yes, we could proceed with the bond sale. Then, theres the budgetary action. Oh, theres a budgetary action . Yes, theres an amendment to the Capital Budget creating and establishing a separate debt budget and establishing a tenant improvement budget. Those are the budgetary actions. Right. And its not necessarily a projectlevel budget. Im understanding it to be an agency action, correct . Correct. Oh, thank you. The Program Budget does not change, so the face one project of 2. 221 billion does not change. Theres money that goes in, money that goes out, but the thank you. Thank you. Director sesay . So i want to comment, the capital reserve, theres a footnote that you noted in your presentation that goes up to 40 million. So have we reflected that cushion in the authorized not to exceed amount . cause i know that youve made assumptions, so were assuming the tax allocation bonds does not payoff the city financing, but it funds these three different buckets, including repayment of t. C. F. And if the city does not generate enough funds im trying to think how that balances out . Do we have enough in terms of authority, nottoexceed amount for you not to continue on . Should there be an allocation be made to the result of the citys finance. Yes. Theres an amount that were asking for that could cover that difference. That cushion also includes a market contingency. If it moves outside of our good faith estimate, we would make sure that if the market moved so significantly that it wasnt advantageous for us to do this, wed come back before we closing. The city board approval process is so lengthy, you have to get it right the first time. In terms of the reserves that youve identified here, my understanding is are they, like, on board reserve so in the event that we want to withdraw from those, it couwou come back to the board to approve . For example, the capital reserve yes yes. So im just wondering whats not needed for phase one that goes into a Program Reserve, where does it get applied and what authority does the tjpa have over those dollars. For the Phase One Program budget, any withdrawals from the Program Reserve any withdrawal above 1 million requires board action. For the fiscal reserve, any withdrawal, regardless of the amount, requires board action. Contributions to the fiscal reserve in excess of 15 require board action. For a capital replacement reserve, the revisions that weve identified allow for the e. D. Or the c. F. O. To make moves in line with the Capital Asset replacement plan. And so the 193 million that we identified as tied to the life cycle replacement of the component of the building. Our guidance would be if its time for the kiosk to be replaced, and whatever that replacement amount is, that would be the recommendation, but then, we would also include it into the annual budgeting process so that theres always board approval for that. It wouldnt just be a unilateral sort of move. And then in terms of the disclosures that were identified here earlier, what most specifically, were talking about the capital replacement reserves that could potentially be on hand for longer than your typical spend down rule. So does that mean that would be a taxable leg so that youd have flexibility to bank that for longer than the threeyear spend down rule . Yes. Everything that would be identified for the capital replacement reserve would be taxable so were not subject to the i. R. S. Spend down rule. It looks like most of it will be respent, Program Reserves and so on. And then, in terms of the action that were taking today, the bond document identified, can you give an idea of what those are, just because thisll be the first time the board will be issuing the issuance of a bond and there are some Disclosure Requirements expected that we should be aware of. You called all the items together, and one of the items is the debt policy revision. So because we hadnt had a public sale before, our debt policy didnt necessarily address public bond sales, so weve gone through and added the things that are necessary for a public sale. So the first sort of action should be approving the debt policy so that it informs the bond documents or the sail of the bonds. In terms of the bond documents that you have that are included in the packet, theres the resolution going through the specific items, so not to exceed 315 million with a good faith estimate attached, so what we could expect by terms of Interest Rate and what were agreeing the terms that were agreeing to for this 315 not to exceed 315 million par. Then, theres a preliminary official statement thats attached, so that would be your offering document to your investors, but since we havent gotten fully through the structuring phase, there arent fill ins in the full amounts, but there are some good faith efforts of what those would be, and they wouldnt exceed 315 million. But you would refer to the actual statements, which is our investor documents. Additionally attached to it is the bond indenture, the disclosure certificate, and the continuing disclosure certificate. Continuing disclosure are the rules that we, tjpa, have to disclose to the investor community. Our financials, if theres any sort of material events in term of our credit changes, increases, decreases, so were committing to disclose to any investor our changes in our financial situation. The purchase contract is a contract between the initial underwriter and tjpa about the terms of the bond sale. And then, the bond indenture is kind of the full out terms of the description of the bonds and how the bonds will act. They wont be completed until we get through the rating agency, insurer conversations, and before we go to pricing, all the documents would become final and disclosed publicly. Thank you. Thats so helpful. And im going to go back to the numbers. So what were approving today in terms of the sources and uses, the 50 billion for t. I. 6, thats whats going to go back in the bucket. The Program Reserve of 35. 5 is the number. Yes. The 29 million is what we will adjustment. That is correct. And if theres moneys to be refunded to the city financing, that would be a separate line item . Yeah. Just im just making sure that what were finalized except for the nuance on the capital reserve and the city financing refunding. Correct. Okay. Thank you. I do want to also acknowledge my communications and actions on this is simply as a board member. As you know, im ocii, office of Community Investment and infrastructure. Im not obligating or committing the agency at this point because there are references to our role in the transaction, more specifically as how increment is facilitatds to the controller. Im just wearing my tjpa hat as an ombudsman. We will have comments on the o. S. And the preliminary shifting. Thank you. Director hursh. Thank you. With that, im happy to move items 16, 17, and 18. Thank you, director hursh. Theres a motion to approve. Is there a second . Second. Motion and second. Clerk great. With a motion first and a second on items 16, 17, and 18 [roll call] clerk thats seven ayes, and items 16, 17, and 18 are approved. Thank you. Congratulations on all the hard work. Now we want to know your ratings. Clerk go ahead and call your next item . Please. Clerk item 19 is approving the applicants to the tjpa Citizens Advisory Committee. Kristina falvo is going to present the item. We dont need a presentation. Do you need a presentation . I dont need a presentation. Ill move. Ill second. Its been moved and seconded to item 19. Clerk no members of the public wishing to comment on that. On item 19 [roll call] clerk thats seven ayes, and item 19 is approved. Chair hull, please pass along our congratulations to the new c. A. C. Members. Clerk all right. Go ahead and all your next item . Yes, please. Clerk item 20 is the election of chair and vice chair pursuant to the tjpa joint power agreement. Looking for a nomination. Looking for discussion pursuant to the nomination of the chair of this board. I would like to make a recommendation. I would like to nominate director sesay to be chair. As many of you know, director sesay has a long history of building the center and the downtown rail extension, and shes also one of the lead architects of the entire Financial Strategy for developing the transbay district which was a central element of the funding strategy for getting built what we have now, and laying the groundwork for the downtown rail extension. She is one of San Franciscos great leaders in Creative Capital financial tied to economic development, and her leadership is not only here but at the california level. She serves on the california debt and advisory commission. I cant think of a better person to lead this project forward than director sesay. I second that motion. Any other nominations . Seeing none, by acclimation, all of those in favor say aye. Ill pass this over to you. So i guess ill open this up for vice chair. Im also happy to nominate, particularly the role that san mateo and caltrain have played in ensuring that the Transbay Center is indeed a regional effort, its in San Francisco, but as weve seen from the way the Citizens Advisory Committee has formed, this project is completely dependent upon the cannoted leader upon the continued leadership of our commission with jeff gee, who has shown strong leadership in this project and for projects throughout the region. May i second that, as well. Okay. All in favor . [inaudible] i look forward to working with you. Thank you. And board in this new capacity as chair. Thank you. Wed shake your hands no. Clerk all right. So director, just to clarify, we have chair sesay taking on and director gee continuing on as vice chair. That does conclude your agenda for today. Okay. We are adjourned. Clerk thank you. Speaking are requested but not required to state their names. Completion of a speaker card will help ensure proper spelling of the speakers names in the written record of the of the meet. Place speaker cards to the right of the lectern. There is a speaker st. pete at the front table. S. F. Gov tv, please show the office of Small Business slide. It is our custom to begin and end each Small BusinessCommission Meeting with a reminder that the office of Small Business is the only place to start your Small Business in San Francisco and the best place to get answer about doing business in San Francisco. It should be your first stop when you have a question about what to do next. You can find us online or in person at city hall. All our services are free of charge. The Small Business commission is the official public forum to voice your opinions and concerns about policies that affect the Economic Vitality of Small Businesses in San Francisco. If you need assistance with Small Business matters, start here at the office of Small Business. Thank you. Please call item 1. Item 1, call to order and roll call. [roll call vote] commission dooly is absent. Commission huie is running late. [roll call] you have a quorum. Thank you. Next item, please. Item 2, general Public Comment. Allows member of the public to comment on matters that are within the Small Business commissions jurisdiction but not on todays calendar and to suggest new agenda items for the commissions future consideration. Discussion item. I presentedd to on your binders a Public Comment that was received before the start of the meeting. That would be applicable under general Public Comment. Great. Do we have to do anything to recognize that comment . Nope okay. So are there any members of the public who wish to speak on any matter that is not on todays agenda . Seeing none, comments closed. Okay. Please call item 3, 4 and 5 together. Okay. Item 3 board of supervisors file no. 200086, planning code zoning map, bayview industrial triangle cannabis restricted use district. Ordinance in amending the planning code by amending the zoning map to change the use classification of certain parcels in the bayview Industrial Redevelopment project area from m1 Light Industrial and nc3 moderate scale neighborhood commercial to pdr1g and to change the height and bulk classification of certain parcels in the project area from 40x to 65x, affirming the Planning Departments determination under the California Environmental quality act and making findings of consistency with the general plan, discussion and action item. Item 4, board of supervisors file no. 2000087, planning code, zoning map, bayview industrial triangle cannabis use restricted use district to create bayview industrial triangle reschool districted use district, discussion and action item. Item 5, board of supervisors file no. 200144 police code ceasing acceptance of new applications Cannabis Retail permits. Ordinance amending the code to provide that Cannabis Retail permit applications will not be accepted as of the Effective Date of this ordinance, and affirming the Planning Departments determination under the California Environmental quality act. Discussion and action item. I move these items be continued to the march 23 meeting at the request of the supervisors office. I move. Motion by commissioner adams to continue items 3, 4, and 5 to the march 24 meeting. Seconded by commission zouzounis. Roll call vote. [roll call vote] motion passes 50 with two absent and. Item 6, presentation, San Francisco metropolitan Transit Agency fiscal year 2021 and 2022 Budget Discussion item. The presenter is director Jeffrey Tumlin of the s fm ta. Welcome, director. Thank you. Good evening, my name is Jeffrey Tumlin, im the director of transportation for the s fm ta and we are here to present findings on our budget that will go into effect of july 1 this year. I have been at s. F. M. T. A. For just over two months and im wading deep into the data. A lot of the data are not very impressive. If you look at the highlevel indicators of success, everything is going rather poorly. Congestion is increasing significantly. Greenhouse gas emissions from the transportation sector now account for about 50 of San Franciscos total Greenhouse Gas emissions. Fatalities and injuries going up again rather significantly, whereas mode for walking and biking and transit is declining. For many of the things we care most about, things are getting worse, and we understand the causes. One of the core causes for many of our transportation problems is our Regional Housing policies. San francisco and san mateo counties have addedded about 2,000 jobs every month since 2011 while add only 400 housing units. While we in the transportation world have to clean up the mess of failed housing policies where we force people to commute longer distances as opposed to allowing them to live near their work. At the same time we are also creating problems for the medical profession as a result of these transportation failures, adding to injuries and fatalities. We know that as people have shifted towards driving, not only have driving speeds declined, but the ability of our Transportation System to move people is also in decline at the same time we are being asked to deliver more people, that all of this Economic Activity requires greater efficiency out of our Transportation System and our system efficiency is declining. That said, when you look beyond the macrolevel data and look at the work that the s. F. M. T. A. Is actually doing, all of our projects, the things that we are actually investing in are having extraordinarily positive results. Our muni investments in the Muni Forward Program where we are making 100 small improvements to improve bus speed and reliability are significantly increasing travel time, reliability and more importantly ridership. Ridership is up as much as 60 on lines like the five and five rapid. Similarly where we are envicinitying in protected bikeways or other safety improvements, we are seeing huge improvements in bike ridership and very positive results in terms of safety. One of the things we discovered last week is one of the changes we made to the quick build component of Market Street is Market Street has the highest peak period bike and scooter ridership of any corridor in north america. We understand that when we apply these solutions, when we focus on the movement of people rather than the movement of vehicles, and when we prioritize the most spaceefficient modes of transportation, that our streets can move more people, that we can accommodate economic expansion while also improving quality of life. Similarly when we prioritize those investments for the people who need them the most, the people with the fewest choices, we can reduce Household Expenditure and transportation, and we can expand job accessibility, training accessibility and other opportunities for the people with the fewest choices. We understand where the solutions lie. We have demonstrated success in implementing the solutions and unfortunately the thing we need most in order to continue this path is Additional Resources. And thats really a big part of our challenge. We also have challenges around people trying to understand really the nature of the problem. Here in San Francisco, theres generally broad agreement on progressive goals. When it comes down to doing actual implementation, every bus stop is sacred, every parking space is sacred. As san franciscans, we love our community, and we are deeply resistant to any sign of change on our block. And so change is hard in a city like San Francisco. We also have the same problems that many of your members are experiencing as Small Business owners, the challenges of trying to attract and retain staff as housing becomes far more expensive than its ever been. We as an agency have about 1,000 vacancies in the s fm ta which negatively impacts our ability to deliver basic services to the public. We also operate in a very complicated world where people, because they use the Transportation System every day, think they understand how it works. People believe that adding another lane to a highway actually helps with congestion whereas the data is clear that adding highway lanes worsens congestion. Similarly, people have a hard time understanding the complexity of the Transit System and think what seem to be obvious solutions, in fact dont really work in practice. We also have a lot of common customer frustrations. Everyone who experiences the Transportation System every day has concerns about personal safety and security. Our buses, are very, very crowded. And while we are getting significant improvement in the reliability and quality of service in our bus system, for those of you who take the subway every day, weve got some significant reliability problems as a result of deferred maintenance and aging infrastructure. All of which were trying to solve for. And for many people, while they want to be able to walk or bike or take transit, the fact is weve designed the city, and people have designed their lives such that the only reasonable choice is driving. For those people, the best way to make it possible for them to continue to drive when they need to drive is to make it more practical and more delightful for people like me to do something other than drive. So we know what we need to fix. We have a reasonably good financial basis where were starting off from. But we also have a 66 million structural deficit, because thats how municipal governments are structured in california. Our costs rise with the cost of delivering service. Our expenses are driven entirely by staff, and its critical for us to provide a basic living wage for staff. We dont pay our staff lavishly. But we pay them enough in order to be able to attract people to the job and keep them committed. But the fact is the cost of living in the bay area is rising far faster than our wages are. In the meantime, our revenues are rising with inflation. So here we are, perhaps at the end of a peak boom cycle. And the gap between revenues and expenditures widens, leaving us with a structural deficit. Im going to turn the presentation over to our chief financial officer,ley yo levee le o levinson who will talk about supporting the Small Business economy that is so essential for us to be able to get the revenue we need in order to run the system and make sure that the people of San Francisco dont have to get in their cars and drive so far because the needs of daily life are available within their neighborhood. Leo, please. Thank you, director. Its really been a delight since jeffrey came that we have a director who is not only understands the Transportation System but also the financial challenges of operating within the constraints that we have. And so we have a big challenge here like every City Department in these circumstances as jeffrey said. When we are putting together our next twoyear budget, we are trying to look both at Financial Sustainability for the longterm and resilience in the face of potential downturns and hits in the economy and looking at what service is being demanded from us and are there ways that we can close that gap and go to the public and make a case that its worth it to fund this Transportation System to provide the kind of service that they should expect. As director mentioned, we have a structural deficit, we estimated at 56 million as we were starting to put our budget together this year. Thats the difference between the ongoing revenues that we have and the cost of providing the service we are providing now and looking forward, that was growing over 100 million as we looked forward. These are figures that we provided at our budget workshop with our own board, the mta board, in february. Weve been working on these numbers since then. And we are going to be actually required to close that budget gap on march 17. We are going to our board with a balanced budget proposal, not only to see how we deal with that gap but also the demands for improved service that weve been given. Director mentioned the revenues. This is a quick snapshot that the top line here, we are very fortunate as a Transit Agency, transportation agency, that we are both, we have combined running a Transit System and the parking system for San Francisco. We were formed by the merger of the department of parking and traffic and the old muni. And we have a tremendous public support in San Francisco that provides us with a portion of the general fund in order to make a really highquality Transportation System work. And the general fund has been our savior during these past years of the boom while our other revenues have been flat or declining. Thats the main story of this particular slide is the top revenue is the combination of our parking and traffic fees, our parking meters, parking citations, the garage tax, parking tax, all of those have been flat to declining in recent years. This is something youll see nationwide with parking is a trend that you can see. The second line, the blue line thats going up, thats our general fund transfer. And thats where weve been getting a share of the amazing economy that San Francisco has enjoyed. This projection was made from the Controllers Office prior to this coronavirus. And what we are seeing. So of course we are going to be working very closely with the we city in updating these projections as we look at the economic impact. The next line down, the darker blue line, thats our passenger fares. And the decline there is a couple of different things. One is somewhat of an overall system decline in ridership or paid ridership. But we also during this time period, we did introduce a number of equity products to lower the cost of transit for our most vulnerable populations so during this time period we instituted a lifeline fare at half the monthly fare for lowincome individuals and free for lowincome youth during this time. So that is part of the revenue decline. And so more recently, its been sort of flat, not as severe a decline, but thats something that we are actually doing a little better than transit agencies around the country, which have seen a more severe decline as the other options have come up with the Transportation Network companies. And then the final one is the state operating grants where just recently, again, this helped us, there was a bump up in the last years, so the passage of the statewide sb1 that supported transit, but we dont expect the state funding to be continuing to go up in that regard. We also have tremendous Capital Needs in the agency. We estimate we have about 14 billion wort of assets to look not just at our Transit System, our subway stations, also the parking meters, the Traffic Signals and our own facilities. And the Capital Funds that we expect to receive are also declining. We received quite a lot of federal support for the central subway extension that were very excited about, and we are going to be continuing to work on. And that, however in the next period we dont expect that kind of influx of federal funds. So we are aggressively looking for whatever Funding Sources we can get. We dont expect the same level of funds coming in in the next period that we enjoyed during the last fiveyear period. We also do an analysis like the city does of potential for an economic recession and what the impact would be on the s. F. M. T. A. s revenues in particular. We looked at the last major downturn in 2008. And that was a fouryear period to recover. And based on that, the equivalent would be about 160 million worth of lost revenues to make up for plus extra expenditures to keep the Pension System whole. So we are looking overall at 200 million scenario recession. So we are trying to keep that in mind of trying to find adequate reserves without a worse shock to the system. This is probably more detail than you want to see but this is what we presented our board in terms of the requests that were coming in for improved service. So in addition to the 66 million shortfall that we had to start with in our bumming process, we had in our budgeting process, we had a working group, a wonderful working group with the board of supervisors and our own board to brought in experts from around the country in transit to talk about what was needed to improve our service to the level that the public would expect. They have a lot of good recommendations, and basically we needed to fill the staffing holes that were described, improve some of our, we are working on improving our train control systems in order to make the subway more efficient and then basically we need more operators and more service to meet the growing needs of San Francisco. The estimate just for the next two years was about another 70 million, another 90 million after that. So we were scouring for what were our options in the budget in terms of increased revenue. And this one i want to mention, when were looking, from our agency we really are missiondriven lens that we look. And so we arent looking jus for how to raise revenues but how to improve the Transportation System in a way that may also increase revenues. And so one of the items thats been sensitive in the past was the issue of increased hours on our parking meters. With the idea that its targeted at areas where businesses actually were asking for more turnover, where the parking is congested because the hours of the businesses continue into the evening, and when our meters end at 6 00 p. M. , customers cant come. Similarly in neighborhoods on sundays where theres congestion for parking. And so we put forward a proposal for a range of options looking at targeted corridors, and thats something that our board is considering now in our budget. We can only expect the revenue to be at the high end. This was a range that was done by our team from three to 28. But our commitment is to do it in a way with a lot of businesses as well as the Faith Community and to phase it in in a targeted and smart way so we expect the revenue to be lower than the higher end for that. We also looked at fares. There was we have an indexing policy to try to keep fares in line with the rising cost of living. So theres a default that fares would rise with a combination of the cost of liveing and our labor cost increases. Our board also has the ability to revisit that and adjust it every time we go forward with a new budget. So just based on that indexing policy our topline cash fare which is currently at 3 would rise to 3. 25. Theres a current leafiest Cent Discount if you pay by muni mobile on your single ride fare. And then we have passes, full fare passes around 81. It would rise to 85 under the indexing. So there were various options we wanted to put forward before our board. Theres been a lot of public demand or really activism around the area of reducing fares and telling us about the impact that muni fares have on many of our customers. And so we did provide options of just pausing the cash fare at 3, reducing, trying to raise more revenue perhaps to pay for other equity options by reducing the discount for using clipper or muni mobile. Theres been a lot of talk about expanding free fare programs to all children rather than lowincome. And there is something else. Currently theres a lowincome monthly pass. Weve heard that many people cant come up with the 40 thats half the price of the full pass. And so options for people to pay the single ride with a discount discounted fare. Im not sure how much you want to go into this with this body but this is what we presented our board. We have been building up funds to be able this is our fund balance history. We have a policy of a 10 of our operating Budget Reserve for economic downturns. And thats the gray line. That would be 120 million rising to 130 million in the next budget. For a couple reasons weve been building up cash in our funds. Its partly because of the tremendous economic Success Story of the city of San Francisco in terms of the general Fund Revenues and usually its been budgeted conservatively in the beginning of the year, and the end of the year they deliver a further amount thats added to our fund balance because of the economic growth, and secondarily the vacancies we have. And thats not something were proud of, that because we havent been filling our vacancies, thats where the savings comes from. We need to use this fund balance strategically. So we had a policy, a potential ways of using it that we talked to our board that would include setting aside significant amounts for the contingencies that we see in front of us both on our Capital Projects and operating projects and then we do have something maybe of interest we have to replace our parking meters throughout the city because they operate on 2g Cellular Technologies for taking credit cards, and many of you know probably, 2g, we have been warned that it may stop being support and we have been warned that by the end of 2022, so we have to replace our parking meters. We are looking at our policies as to how many would be single meters which have different advantages in different places. So that is something that we expect to do in the next very short time period. So the basic method here, the bottom line is we cant Fund Everything that we ask for. We started out with 66 million and there was a further 70 million and 90 million in requests to provide the services we would like to provide. With all our tweaking of the budget, theres some small things with fares and parking, theres areas where we have flexible funds that can be moved that are more sustainable that we can use, that can help close our basic service gap, but they dont provide the funds to fund the recommendations that we had. And this is not really a surprise. There have been Different Task forces in San Francisco looking at the future of transportation. And identifying the need for additional funds to make this really the Transportation System that we want. And so there was a task force, that was a toxic force looking forward to 2045. A tax force looking forward to 2045. Those are potential funding mechanisms. We are going to be working very hard during the next period to see what may be feasible, what the appetite is, the demand from the public, what makes the most sense, if people are willing to say yes. We want to earn their trust to say we know how to spend it that will make the difference in the lives of businesses and residents and tourists. Some of the options, i actually already did have the proposition d, which will provide a modest amount of funding from the Transportation Network companies, uber and lyft. We estimate that will see maybe coming in lower than the estimate from the time it was passed but we were hoping around 15 million toward our operating budget and a further amount for safety projects. There was an attempt to pass a sales tax that got more than twothirds of the vote but it had two pieces to it, and it was confusing, and the second piece didnt. So that would have provided 100 million and it didnt pass. Well be continuing to look at sales tax measures and thats been happening regionally. Theres a number of sales tax measures being proposed. And there have been other proposals that well be looking at, of course congestion pricing is something that has been talked about as being studied and, again, has a Transportation System benefit as well as a revenue benefit if we want to find any way to reduce congestion in the city. A Community Benefit district is something else, understudy which would provide for the maintenance of our tracks and overheadlines and Traffic Signals to keep them in good repair. And then we are scheduled to come before the voters with another general Obligation Bond which is very necessary for our facility upgrades so we have a very necessary and exciting facility program. But we are one of the oldest transit programs in the country. We have bus yards over 100 years old. They are not capable of housing the fleet that we need and the type of electric buses and infrastructure. So we are looking at very exciting possibilities of rebuilding the facilities and perhaps with development on them. So you may have heard about or potrero yard which is being looked at to have over 500 units of housing. We are planning for the presidio yard. Theres interesting ideas of what could be done with that space that could accommodate the bus yard and other development. That will be exciting in the future. We are looking for big ideas that are aligned with transportation goals that can make our budget both sustainable and resilient. And so we have a lot of outreach. This is part of our outreach plan. And many, many different types. Unfortunately our next open house thats scheduled there is being converted to a virtual open house in line with other efforts in the city for safety. That we hope to well have the first chance for our board to adopt our budget on april 7. We will have a second chanson april 21. Chance on april 21. And thats our presentation. Do we have any commissioner questions . I just want to say that was a great presentation. And one of the things i realize is you have probably the most challenging Transportation Network in the country, because you got buses. You have the f line, you have cable cars, you have the subways. I mean theres all these different transportations that you dont see in a lot of other cities. I want to comment, you know, i was skeptical about the Market Street closure, and i do use the upline from the castro to downtown. And i will tell you that train moves faster once you past van ness now. And its only a 20minute ride which used to be a 40minute ride. So that was a good move so thank you. Any other commissioner questions . Commissioner. My question was so all those big ideas around fare changes, where are you with them in terms of what levels you want to pull . So we are looking at several different options around fare changes. As mr. Levinson stated, fares are an important part of our revenue. And our fares are scheduled to go up each year in alignment with our expenses in order to avoid doing a major increase every couple of years. We are trying to do is to think through how do we get to the bottom line of what we need in order to run the service while adjusting all of our different fare categories in order to maximize the equity of the outcomes. So were looking at the data of exactly who uses which fare categories and trying to minimize increases for people with the least amount of means and to make adjustments where people can most afford it and direct that revenue towards our equity surface. So we are going to be presenting our board next week with a variety of different options in order to help them help us think through those tradeoffs. We are also working with communitybased organizations to get their input on what are the mechanisms that will have the least negative impact on the most vulnerable riders. One more question. Im hearing both that its a, you know, you kind of reached capacity in a lot of ways. Theres a lot of people in the city using transportation. And at the same time tncs have taken a lot of people who would have taken Public Transportation and congesting the streets. Can you tell me about kind of, is it that theres too many people using the public the infrastructure we have or is it the infrastructure or kind of wheres the play between tnc regulation and our public Transportation System . So a bunch of questions embedded there. So in San Francisco, we dont have the authority to regulate uber or lyft. We are currently engaged with the california Public Utilities commission which does have that authority to see are there some carveouts that we can have in San Francisco in order to be able to welcome private providers that provide a tremendous amount of convenience for the people who can afford them but to allow that to the extent that it upholds the public good, that whereby we have the tools to manage the public right of way for the greatest public good. So that is some work that were doing. At the same time, were also working in order to minimize the congestion impact on the highest capacity most efficient modes of transportation, which are basically the highest ridership muni lines. So as you can see, we have done a tremendous amount of work recently on Market Street thats paying huge dividends in terms of improved speed and reliability. As we shorten the muni trip, we can also reinvest the travel time savings in improved frequency of service, which also results then in improved capacity of service. So we are doing the same thing on third and fourth streets. We are looking very carefully at additional improvements to the five, we are looking at changes to tar very well street, and we are about to roll out significant improvement on van ness next year, and we are Getting Started on geary right now. We are looking at the books and budget, assumes we have the money to do so. And again, that is providing dedicated lane from highfrequency routes that experience significant congestion, looking very carefully at signal timing to that a bus or train doesnt have to stop with 150 people on board in order to let three people in the back of an uber turn left in front of it. Its also looking at optimizing the placement of our bus and train stops in order to maximize ridership while being sensitive to vulnerable populations for whom walking an extra block is more difficult. So its partly big moves but where we get the real benefit is from the thousand small moves that weve demonstrated in the data on the entire Muni Forward Program. Thank you, director. Commission zouzounis thank you for your present. I learned a lot. I have a question about the vacancies. Are those in the rankandfile like the mechanics and drivers or are those largely management . Its throughout the agency. Weve prioritized in terms of staffing up, weve prioritized first and foremost staffing up our Human Resources department. The Human Resources department that i inherited was suffering. So we have a new director who is fantastic and were working to make sure that she is adequately staffed in order to be able to staff up the servicecritical departments. I have withheld hiring in my own team in order to prioritize our missioncritical workforce, particularly bus and train operators, mechanics and machinists, the people who really deliver the service to the public. Okay. I was just curious, because i remember the line being long for some of the traderelated positions. Im curious if that was because of this. We are also concerned about succession planning in the skilled trades. When i go onto our shop floors, home to some of the most skilled people ive ever worked with, im sometimes the youngest person in the room. And we want to make sure that we are passing on that knowledge of this unique system to the next generations of skilled mechanics and machinists, which i would point out for those of you who are interested in new career lines, is a career that will last. Even as technology changes, the need for skilled mechanics and machinists only increases, and theres skarsty in the marketplace increase scarcity in the marketplace increasing as well. All the auto body shops, those are all going out of business soon because of properties being sold. And so im thinking all the time theres so much Skilled Labor here, and i hope that its going to be transitioned somewhere else in the city. Send them to the s. F. M. T. A. We provide very good benefits. Commissioner ortiz thank you for your presentation. I dont know you yet. But seems like you know what it is on the ground level as a commuter. I get the good vibes. So i look forward to working more with you in the future. I do have two questions. I know you are doing something with the pdc, the burden that tncs have on our infrastructure. Behind those specific carveouts, how do you see to mitigate the tremendous burden they have on our infrastructure . Dont have to get into detail. Ultimately what we really want is the tools to be able to manage the public right of way for the public good. So right now i charge 2. 50 for somebody to get a one and a half square feet of space on a 38 geary bus. But if youre driving alone in a car, riding the back of an uber, well now i get a tiny percentage of your uber fare, but the basically if you take up 350 square feet of space, the public gets nothing from that. Those financial incentives are reversed. The scarce resource that i have is a limited amount of street space. And we are no longer demolishing neighborhoods to widen roads. I need to manage my limited street width in order to serve the most people and the highest public good. Im in a rational system, we would think about managing the street system like you manage your businesses where you pay rent and you charge more for the more expensive goods and less for the cheaper goods. Frankly, i think i should be charging 10 for somebody riding the back of an uber, and you should be paid 2. 50 to take a 38 geary. We dont currently have the Regulatory Authority to manage our streets for the public good. And then my second question, regarding Small Businesses from an equity lens component like 24th street, visitacion valley, how do we fit in in that plan in your budget and the vision Going Forward and your mission so frankly, i think one of the most important transportation performance metrics should be Retail Sales Per square foot particularly in our neighborhood commercial districts. And theres a couple reasons for that. One is in our neighborhood commercial districts, most of them are overwhelmingly in local ownership. So even if that individual business isnt making as much money as a chain store some place else, all those profits are reinvested back into the Community Many times. And most of you are the most phenomenal entrepreneurial skilled Training Programs that exist. No one teaches people really how to run a business more than Small Business owners do, and particularly familyrun Small Businesses. Its also important to me that from a Transportation System perspective, thats the needs of daily life be available in every neighborhood within walking distance of all san franciscans. Because otherwise its a burden to the Transportation System if im asking people to either get in their car to drive somewhere or order it online from amazon. Both of those create big problems for the Transportation System. So it is very much in my interest as the transportation director to support Small Business success, particularly in our neighborhood commercial corridors. I mean, all neighborhood commercial corridors in San Francisco are there because of the tight relationship between Small Businesses and transit. All of our commercial districts are on former streetcarlines. Every single one of them. We grew together. And if we want the city to be economically sustainable and socially equitable at the same time, we need to continue that relationship and strengthen it. Thank you. Director, thank you very much for coming. Its enlightening and heartening, frankly, to have your perspective running m. T. A. We are very grateful to have you. I wanted to, you know, i was looking at your Capital Funds expenditure. I know weve been moving more towards protected bike lanes. Thats definitely a direction we want to move towards. How do you do you see that as competitive from a revenue standpoint, because its a cost expenditure to generate these or do you see it as helpful because it removes cars and i guess where does that fall on the spectrum for you . And ill give you a hint of where im headed with this is we hear a lot from Small Business owners and theres a lot of consternation and parking and bikes as you are all too familiar. Yep. And i think one of the things that im particularly interested in is helping people sort of find their ku m b y ya with this in understanding how these pieces go together and i think you can speak to that really well. We are interested in increasing the use of bikes and scooters and other forms of micromobility for people of all ages and abilities, in part because that mode of transportation offers a unique combination of user convenience and system efficiency for certain types of trips. So about more than half of our trips are basically three miles or less. Particularly for us san franciscans. We make a lot of really short trips. And san franciscans who drive make a lot of really, really, really short driving trips. So in reasonable doubter to allow our streets in order to allow our streets to move more people and expand the economy, particularly the local economy, if done right, increasing use of biking and scooterring can be super useful. That said, we recognize theres a tension between how we use space, so theres a tension between allocating dedicated space for people on bikes and scooters and dedicated protected space, which is necessary to actually attract people to those modes in any significant number, versus providing that space either for traffic lanes or for parking. And parking is particularly important for Small Businesses. We know that most Small Businesses in San Francisco operate at a less than 10 margin. That is if [off mic] if our transportation [off mic] all right. I think the test was successful. [laughter] if our Transportation System changes, cut your business by 10 or more, not only does that mean you are going to be out of business but you are going to have lost your familys investment of capital for a long period of time. I mean, you really dont want to do that. So what were interested in is how can we deliver more people to your business. Cars dont shop. People shop. So how do we use that space to deliver more customers to your business. That means collecting data in a different way than perhaps we have in the past. It means looking very carefully at the sales tax return data. And we think likely. [off mic] thats the buildings Fire Management system testing to make sure everything works. Im glad its working. I feel safer. So it means not only collecting the sales tax data to make sure things are tracking but also likely purchasing credit card data so we can know in a quicker time horizon, whether our projects are having a positive net positive or net negative effect on Small Businesses and Building Trust in the community. For the most part what well be seeing is in most cases, the work that were doing creates some benefits but in some cases it hasnt. Thats another reason why a lot of the work that were moving forward with is through what we call quick build, where we are not investing in concrete, we are investing in paint and little plastic posts and other stuff that can be quickly undone if the unique considerations of that commercial district or that particular project is not turning out as well as wed expected, we can easily reverse those or make adjustments as we go along. Do you have a sense so first of all, thats actually kind of exactly where i was headed, which is theres data that shows whether this is helping or not helping and how quickly can we get to that data so local Business Owners can be assured that even if we put the wrong foot forward, we can quickly take it back and correct and do whats right for the community. So exploring that just a bit more is the do we have a sense overall how protected bike lanes are affecting local businesses . If you had to sort of generally say its a net positive for local businesses or net negative, would you have a conclusion there . So i think it varies. So the protected bikeways tend to be a net positive to the extent that theyre tied to the rest of the network and creating a significant increase in bike ridership. What we find with people on bikes and scooters is its super easy for them to see into a storefront and make spontaneous trips because they dont have to worry about parking assuming they tether their bike or scooter so something stationary. So that type of user tends to shop a lot more frequently and a lot more locally. Where we are doing investments that arent connected to the network, we see the response is less. Which is why most of our investments in the protected Bikeway Network have been incremental and kind of starting around Market Street in the downtown and slowly spreading out. Some of the investments that were making now are trying to piece separate pieces of the netWork Together in order to actually create that Network Effect that tends to result in a big unleashing of new people out on bikes and scooters. That makes perfect sense. Quick little observation. The meter upgrade, the 2g in hindsight maybe wasnt futureproofed enough. Are you as you explore the next phase of whatever you choose, lets assume its 5g and now five years from now we are looking at 10g and like wow, we are going to discontinue 5g, have you thought about how you might get more life span out of it the next time around . Yes. The next thing we want to do is move increasingly to mobile payment. We really like mobile payment in part because its easy but also because on mobile payment, it allows motorists to extend time on their meter to they dont have to guess how long theyre going to stay and to be criminalized if they have a better experience at your store or restaurant than they were intending. We want people to stay longer and spend more money, and if you pay by mobile, the app will actually because you and ask you if you want more time. So an idea i had, and somebodys probably mentioned this or thought of this before, but whats the harm in throwing it out . Im imagining a business might want to pick up the tab. Sure. For a customer or sort of pay, we got our meter while you are having your meal. Are you guys think about that at all in terms of does park mobile allow for that . I dont know in other cities, that is part of the program with mobile parking payment apps. We can look into what it would take to have our provider offer that service of picking up the tab basically, validating parking automatically. Yeah. And then a quick budget question. So you have i think it was like 170 in the reserve fund . Is that right . I dont have it in front of me. We are looking to build a 225 million to 135 million. How does that plug into the deficit . Do you ever use that fund to address the deficit or just the reserve comes in over the top and addresses the deficit and you hang on to the reserve . Yes, the total we have currently is about 175 million more than the reserve. The reserve we want to keep for a definite to fund approximately we hope it might be half of a recession scenario, and wed still have to solve the other half. For the remainder of the fund balance, really with directors strong leadership in this area, to the degree if we use we probably will need to use some of that fund balance. And we historically have used some fund balance to budget our funds at the beginning of the year. It usually comes back to us by the end which we cant expect this time. But to the degree we use fund balance for our operating costs, we are being very transparent that it could be a bridge, if we dont get another Funding Source to carry on after that period, it will require a significant cutbacks after that point. So we want to strategically use it as a bridge to a more sustainable budget in the future. And we will still tie our fund balance to part of our budget that could be flexed up or down if it were necessary, so we dont want to exceed the amount. So in other words not to use it for our labor operating costs and use it more towards necessary that if necessary we can slow down or postpone in the future. We are obviously sailing into the quite the black swan event here. How far are we into sort of evaluating what all this looks like . I know its nobody has any real idea, but nonetheless, we have to plan for all the scenarios. Yeah, we are really just ramping up now and want to sort of up our level of sort of realtime monitoring as to whats going on in our system. So we are going to be monitoring our ridership and revenues on as realtime a basis as possible, looking at the trends, both recent trends and comparing it seasonally to the past year in order to be able to really report out on the significance of the impact. And then looking forward. And well be very tightly monitoring our budget as we go through our budget period, and well make course adjustments as we have to. Im sure youll whatever temporary measures have to be taken to make it more appealing to riders, users. Its looking like spacing is going to be an issue. And i read in the paper there was a significant drop in the bart usage. I think it was like 170,000 or Something Like that. So it was we are behind you, and whatever we can do to help, let us know. Thank you very much for taking the time to present. Thank you. Public comment sorry. Do we have any Public Comment . One day we will. [laughter] [off mic] seeing no Public Comment, Public Comment closed. Item 6 does not require an action. Thank you, s. F. M. T. A. For presenting. We appreciated you guys coming very much. Thank you next item, please. Commissioners, before you is item 7, adams confirm they did watch the february meeting . Yes thank you very much. Item 7, presentation, summary discussion regarding the february 26, 2020 meeting on Third Party Delivery platforms and virtual and ghost kitchens. Discussion item. The presenter is dominy can a donovan, senior policy analyst, office of Small Business and someone here also to provide you with some support. Thank you. Sf gov tv, i will have a powerpoint ready for you in less than a minute. How high do we think hes going to count to before hes done . [laughter] i think we are at 12 now. 13. One, two. [laughter] [fire system testing] thank you. Okay. Great. Thank you for having me. Donovan with the office of Small Business. This powerpoint is arguably less pretty than the s. F. M. T. A. , but bear with me. So todays presentation for you is a summary of our own discussion from february 26 where you all discussed virtual kitchen and Third Party Delivery platforms. What i tried to do was draw conclusions based on that discussion and summarize that in a memo that you have in your binders, and thats also posted publicly. The idea is that you can affirm that these conclusions are indeed yours and you would like them to be presented at the march 12 meeting that supervisor safai called on the same matter. Effectively, there were two conclusions drawn at that meet. One being that virtual and ghost kitchens and brick and mortar kitchens should be regulated equitybly in order to preserve the vitality of our neighborhood commercial corridors. And second, that protections for brick and mortar businesses and how new technology such as delivery apps interact with them, should also be exploreed. Your discussion was framed under five main issue areas which included Health Health and safed use, fair competition, Economic Analysis as well as infrastructure. The additional comment that you had were that virtual ghost kitchens as well as Third Party Delivery apps provide brick and mortar businesses with a unique opportunity to grow their brands and to operate in a more economical manner and that you also recognize that the Third Party Delivery platforms can play an essential function in connecting restaurants to their customers. [please stand by]. And that they should be commensurate with brick and mortar restaurants. There is not clear guidance at the moment for how consumers can be made of those same time Health Rating of from virtual kitchens from which they are ordering. Customers ordering from thirdplatforms do not have a good understanding of where their food is coming from or whether its been reheated. Additionally, when a product is collected by a delivery courier, theres no requirements that the food be maintained in a safe and healthy manner before it reaches the customer . Any questions on this topic . Great. In terms of land use policy, we drove to two conclusions, one being we thought that formula retail controls and how they interact with catering uses should be explored by the city, particularly where virtual kitchens appear to be able to open under being principally permitted where restaurants are allowed to be opened. For background, as s. F. Planning presented, they consider virtual and gross kitchens to be catering uses. However, we know that those that some virtual and gross kitchens have previously sought permitted under mobile restaurants and food facilities, and the department is currently reviewing those definitions. Caterers are usually permitted in Industrial Areas of the restaurant. Limited restaurants are usually permitted in neighborhood commercial corridors. Virtual and gross kitchens are considered to not Exchange Money for services on the property. If a fastfood change wanted to open up their own kitchen, they would be principally permit today do so as a catering use. Dominica go ahead. For this particular section, i feel like there was there was some stronger feelings and less stronger feelings about whether or not formula retail should be allowed in catering uses. I think i was in the strong feeling that it shouldnt be. Okay. I guess my question is on process of this. Are we going to go through each section and agree this is what was said, and if we go through as a body, then we question . Yes. Okay. Then ill hold my questions. Okay. As more businesses open, congestion may thusly increase due to an increase in use of those delivery apps. Effectively, youre determining what. [inaudible] whos a virtual kitchen versus whos a brick and mortar, and effectively, they recommended the city come up with a way to make a better determination of whos who and study it for the impacts. So effectively, your conclusion was that the city should formally support the food fair delivery act, which is at the state level, but also should explore local regulations that could ensure brick and mortar businesses have adequate protections in the thirdparty delivery space. What was not fully discussed at the meeting on february 25 was legislation thats been proposed in various states and localities, including the fair food delivery act, which to be perfectly honest, ive not done a thorough analysis of. Im hoping my counterpart can speak somewhat to it, but it was introduced recently, so give us a little space to better understand it. The state of rhode island has proposed legislation regarding disclosures and regulation. The state of new york has proposed legislation regarding Health Inspection grades. The city of new york has proposed the most robust package of legislative proposals relative to this space, six pieces of legislation in particular, which are outlined on this slide. Again, i havent had the time or band width to fully understand each piece of legislation, but we have an idea of what they are generally proposing . You have that, i believe, in your binders, and if not, i will email this out to you. And with that, i am happy to take questions at this time. Commissioners, do we have any questions . Okay. Well, it was a super interesting hearing. Ben, did you want to speak at all to has there been any Development Since the hearing in terms of how the Planning Department is looking at this . Sure. Good morning, commissioners. Ben van houten from the office of economic and workforce development. I agree this created a lot of interdepartmental dialogue. I wont speak for the folks at planning or d. P. H. Other than to say weve had good follow up conversations with them, and i think we all have a more keen eye on this emerging set of models. Based on that hearing and the discussion tonight and the memo and the recommendations you provide, i think thatll be really helpful in terms of approaching thursdays hearing, which, again this is all the beginning of this conversation if it ultimately all goes up into legislation, im sure thisll all be back before you in this conversation, and itll continue on. Sure. Appreciate the presentation and appreciate you being here tonight. I think oh, what . Oh, there is . Oh, sorry. Do we have any Public Comment . Yeah, i got it. Seeing none, Public Comment closed. So my observation was, at the hearing, there didnt seem to be any dispute between the restaurants or us when we us, when we debated it, that there should be opt in or opt out. I think there was broad consensus, i think we all agreed on that one. That does not need further discussion. I think we all need on the health score, and i didnt hear any objections from the Restaurant Industry, either, and it doesnt seem like its a big ask of the delivery services. But that seems fairly nonconfrontational whats the controversial . Yeah, thats what i meant to say. So the live issues, from my perspective commissioner yakutiel, you mentioned formula retail and how that plugs into it. And then, you know, i dont get the sense that the you know, there was a ton of debate about catering and limited restaurants other than there was a sense that the Planning Department should be aware of this and, you know, obviously, we dont want to have a lot of ghost kitchens suddenly clogging up commercial corridors and competing with brick and mortars on some sort of an unfair playing field. It sounds like they are going to take a look at it, but if anybody feels like we should not take a look at it. Yeah. I think there was a difference between limited kitchen, ghost kitche kitchen, and pop up kitchen. It does seem like the Planning Department was noting it was happening in certain cases and trying to clamp down on it. And i think if were giving a recommendation to planning, it is thank you for doing that. Please continue to do that because i dont think anyone had major issues with it happening, it was where it happening. Right, and where it could potentially lead. Right. As commissioner ortiz said, you know, sometimes our job is to make sure that a potential bad thing doesnt happen in the future because we didnt keep our eye on it. Yeah. So on that point, i think dominica, thank you for writing that there. I think my point would be to specifically say that ghost and cloud and virtual kitchens should not be allowed to be zoned as limited restaurants. They should be zoned as catering, and they should not be allowed in our major corridors. I agree with that. It doesnt say that with as much teeth, but thats how i think it should be said about it. You know, the only thing i have is laurie from g. G. A. Said these can sometimes fill spots that can be vacant, and she sort of outlined that that was a good or she recognized that that was potentially a good thing. I dont know if she was speaking against her interests. I think that maybe speaks to a larger issue that we can delve into during our retreat. You know, there are a lot of businesses that are, you know, maybe not anybodys third choice, but, you know, maybe third, fourth, fifth choice in their neighborhood, and theyre, you know, filling a vacant spot. And id like to get a sense of the commissions point of view in terms of how much weight does that hold, you know, the fact that theyre filling a vacant spot . Is that enough weight to say yes to maybe another non nonretail use, non you know, depending on each neighborhood, everybody has a different kind of feel. All of our corridors feel very different to one another, and noncomplementary business. Is that, like, okay because were just, like, trying to fill spots right now. Right. And to that spot, aunjon spoke quite eloquently to that spot referring to that model. We drove him to that model and aligned forces with businesses that practice that model, and now were going to recommend pulling the rug out under that model. I think its where the business is. I think in this specific instance im talking, like, more about the neighborhood commercial street, right . Like yeah, but i think the businesses that he has, i think theyre, like two block away. Yeah, its off of 24. I think that if the spirit of some of these regulations could work. The problem, the way they stand, a Small Business could take two or three years going through conditional use. Thats the real problem, because if conditional use would actually work, then poof, a couple months, the community has input, you can stay here, whatever the community wants. Thats the spirit of conditional use. The problem is its not working the way it should be working, and thats the problem, like you said. The problem is storefronts, neighborhood districts, they want them all filled. If thats what they want, thats what they want, but unfortunately, thats not going to happen in San Francisco. Yeah. I think this is a tough one in San Francisco because i do think we have an issue of vacancies in our commercial corridors, but the way i think about it is i do think that these businesses could, in the immediate or longterm, pose a threat to restaurant. I think in the shortterm, were squeezing restaurants, and this is an opportunity to generate more revenue. But this is a [inaudible] oh, my goodness. If these spaces are able to, in the medium and longterm, lower their prices and have their own kind of brands in there that are reducing time and costs for restaurants that are now in direct competition for businesses on the corridors, it could have a direct impact on an industry that is already under threat. So when you and i think about this journey together thats happening on commercial co corridors, i think about the businesses that are already there that have helped the community. I dont think i think we can have an open mind. The issue is i actually see that this particular kind of business could hurt if it is hurt, if it is located on a commercial corridor, the brick and mortar locations on that corridor. We have concentrated neighborhood commercial corridors for a reason. I think, you know, we all want to be very careful with the commercial corridors, and i think its well said. I think its a real concern. I i guess part of me is wondering whether this particular component is quite ripe for us putting our stamp on, you know, recommending a specific course of action. And by that i mean, so far, we have a sample size of one. Were seeing a possibility of a trend, a possibility of harm, but we dont have actual harm yet. And im a little concerned just lightly and i think reasonable minds can look at this two different ways. Im just wondering if maybe the right time to sort of advocate sort of forcefully for an issue is when people are complaining about it . Or is it premature for us to get involved when g. G. A. Says there isnt a problem right now . I think, with respect, thats why were here, and were trying to be proactive and not reactive. And i dont see a reason why we would not, having taken all this information and provide some clear prescriptions of what we think should and shouldnt happen. Wouldnt it be easier to do it proactively, if there isnt anybody right now trying to get in the neighborhood corridors, to just say we dont want it there before we have a bunch of permits that go out, and then, we have to get them stuck in the c. U. Process or whatever it is . Right. Now we have to remember, with the businesses that are there, theyre giving them, like, a oneortwoyear extension, and its a lot harder to undo something in the community. Oh, yeah. I think its a very fair point. Steph steven, i think you have a viewpoint on this. Oh, yeah, i like what shes saying. I agree with that. Okay. I think the catering, thats where we can be the most proactive. Theyre doing exactly what uber did, and after, its too hard. Yes, dominica. Just one point of clarity, the one virtual and ghost kitchen that has been allowed in a neighborhood commercial corridor was allowed on permit because it was miscategorized, and i think that had been maybe lost in the conversation on the 26 . And so corey, the planning administrator, explained it, that the concept would be catering uses, which are generally permitted in the Industrial Areas of the city and not on the commercial corridors save for i think its the mission and c. T. So the instance that were thinking of may in fact not actually be may not have passed muster to begin with, and so were would ordinarily not be allowed to proceed under the status quo . Correct. Okay. Thats helpful. But thats when they right now, their current model is they get a facility, and they cluster group, correct . Right . Individuals, some proviivate, thats their model now. But if i wanted to bypass this, i didnt want to cluster this and have a single caterer use, thats how i would bypass them if i wanted to do that. I see ben walking up. This is one of the most complex pieces of it. My understanding it four facilities, if you dont allow a member of the public to walk up, and youre only doing delivering out of a kitchen, that is a catering use, and catering uses are not generally permitted in the neighborhood commercial corridor, so anybody that is doing that business should be under active neighborhood enforcement. So the point was to treat businesses the same way in the neighborhood commercial corridors. I think it was the discussion that you had about directing planning to keep up the good work to make sure that folks arent doing that. Where the catering retail and formula uses intersect is in the more Industrial Areas where catering is permitted, formula retail are already permitted. To the extent that there are questions around this feels different than other catering other types of catering you know, when we think of catering, we often think of somebody catering an event or a wedding or that sort of thing. I think that moving forward, when we talk about where catering uses are permitted, these things these types of new types of models are permitted and thinking on an individual districtbydistrict level, that seems certainly an area ripe for consideration moving forward. But i think in the future, making sure that businesses are consistently treated in the neighborhood commercial corridors to prevent any sort of unfair advantage. That seems like the most immediately attack there. So how hard would it be to say catering resources cant have formula retail in them. Im sorry. Im confused. Those two things are both permitted in the same area, but this is one business that is a catering use but also has formula retail in it, so its like a business within a business. Isnt that different . Well, i dont know that the Planning Department would take that same assessment that its a formula retail. It has formula retail in it. If the facility is not operating for public walk up, its not public retail at all, so the argument around formula retail is different. Its the look and feel it doesnt really lend itself to a nonretail use. That being said, i think, certainly, when we talk about catering, different types of catering, in the neighborhood commercial corridors right now, a neighborhood restaurant can do some accessory catering as long as it doesnt do catering directly to consumers, so theres different ways to think about catering. So im just not sure again, i would defer to the Planning Department on this, but thats the argument on trying to use a formula retail sort of approach. Were talking about being equitable and protecting Small Businesses from competition. What i think were trying to get at is a mcdonalds shouldnt be able to open up in noe valley versus direct delivery. I dont know how we think you guys get there, but if thats what the commission believes, it should be clearly stated, that we dont believe that formula retail should be able to operated in catering areas where theyre allowed. Is that whats written here . Effectively. I just want to make sure this has teeth. Thats all. Yeah. I know its not making sure its full molar, claw, but i think its important. I think the purpose of thursdays meeting is to layout what the issues are . I dont think that this document is intended to be in its final version . I think that that should be reserved for the march 23 meeting, where something more formal can perhaps be put into place after the discussion on on thursday . So yeah, i agree. Let me just say and this, i think, encapsulates it. We know what catering is. You deliver to the bar mitzvah, you deliver to the wedding. Retail is you walk up to the place. This is a gray zone between catering and retail. This is a customer where theyre ordering from mcdonalds, and its coming from mcdonalds, but its coming out of this third area. Its catering retail or retail catering. Its this third category, and i think thats where we are all sort of struggling is it does seem like a place thats ripe for inequitable distribution even just in terms of, you know, when i go on grubhub, its pretty clear that some restaurants have paid more money or done a deal, but theres some reason why some restaurants always come up near the top. Its not a stretch to think that companies with better resources have more chances to exploit that, and it would be more challenging for new businesses to come up. I dont know how to sort of describe that to the Planning Department, if thats the issue, or but i agree with commissioner yakutiel, that however we describe that, it needs to have some oomph behind it, that thats the concern. And, i mean, thats actually new information to me. I did not know that a major fastfood chain was the number one delivery option for those two services. So for me, even, like, right now, that changes the math a bit in terms of where i see the potential concern is because we definitely want to protect, you know, these unique mom and Pop Restaurants that are what makes its why many people come here. So dominica, where are we making a motion were not voting on anything today. Can i do one more . Im so sorry. On the city economyist piece, i understand the desire to analyze the terms and kind of what the metrics are, but why wouldnt we if were going to provide a recommendation to provide an Economic Analysis, dominica, help me understand, you said it in the way you described it, but you said, the way its written, its really about the metrics. Can we ask the city economyist to do a more flushed out study how many people are dining out in our city, what apps are being used, what hours . I think, for me, the chickenortheegg question we know restaurants are suffering for a lot of reasons. We heard them, but is part of the reason theyre suffering is these apps are taking people out of their restaurants and theyre eating in their homes or are these apps sort of giving them a buoy . If thats something we could ask the city analyst, that would be extremely helpful. So the way that and i am not an economyist. But the way that its explained to me is we collect sales Tax Information based on, like, hotel and restaurant sales and these entities are being classified as restaurants, and we cant breakdown those sales between brick and mortar restaurants versus online restaurants. So when you go to i think its the openbook s. F. Or its under the Controllers Office, where you can analyze how much sales tax has been collected based on the category, you cant definitively see a specific trend based on what youre describing . And so i think the idea is to ask the city controller, one, whether or not its possible to even conduct such an analysis, and if its not, how can we get there . I mean, do other people think thats a good use of time to try to understand that trend because i wouldnt want to waste we have a lot of terms of priorities in terms of questions we want answered. I think a big determinant of that is what director tumlin was speaking to, the fact that people are working eight hours a day far away, and then, they have to go back to their home. This is the nature of the beast of capitalism that were in, is its continually obstructing us from our social environments. I feel that there could be so many factors, and thats what i know traditionally economyists fear, are those variables. So i feel like it would be worth it to have, like, a consultati consultation, like dominica said, that can give us the answers. Right, but i dont think there are tools that can give us that information. You have to make it up. You have to figure out the sales Tax Information, and on that sales Tax Information, how you break that up . This is a new thing, so you have to go out and figure that out. I actually think some of that, like, data, we can find that on, like, private industry, like, not relying on, like, necessarily government data. I know i found a lot of data on, like, kickstarter. Theyre so excited to get started, theyre going to give you, like, all of this trending data. So maybe if we were able to do a little bit of research themselves on, like, trending data in the delivery app space, i think we would find that on our own in our own kind of, like, places because a lot of that data is available in our city. I like that. And ill just, you know, kind of point out again, i went into that hearing not knowing anything about how the Restaurant Industry would look at look at it overall. I try to be really respectful of them because theyre the industry most affected by any decisions or recommendations we might make, and i was really quite surprised to hear them say that this is not really you know, we dont look at this as being an issue, and i kept waiting for other restaurants to step up and say no, its a huge issue. It seems like to a t, and even when when i talked to other restaurant owners, these delivery apps help them stay in business. So i i would recommend that we look for that existing data before we start asking the city controller, whos probably going to be quite busy with more pressing issues. Yeah. Okay. Cool. One thing that we didnt really talk about in the hearing that im kind of curious about is that were talking about equity, like, equity between, like, Small Businesses and Large Businesses. And one of the big things we heard is restaurants are really burdened by permitted and all these different permits and all these different fees and things. But labor costs, like, labor costs are really hurting all of our Small Businesses. And i look at some of the legislation thats been passed recently, like ab 5. How would that change the picture if, all of a sudden, uber eats had to wake up tomorrow and had 20,000 employees, versus where were all struggling just to keep five to ten employees employed . So were talking about a lot of little things, but, like, in this larger picture, how does it look a little bit different, whether its more equitable to Small Businesses or not or whatever . Like, id like to have some sort of understanding as to what the world looks like if all of a sudden these really Large Companies have to have formal employees that way that were you know, right now, were talking about taking care of people for basic things like sick leave. When people talk about mandated sick leave, im wondering, is that going to be my responsibility also or is that going to be a government responsibility or whose responsibility . And so i think when were talking about the restaurant issue, i would like to kind of just explore, i guess, like, what those types of opportunities could be in terms of actual enforcement of things that have already passed. I love that you bring that up cause thats really my biggest p biggest pet peeve. You know, we start a business, and of course were going to be successful if we dont have to pay all those fees. Amazon, uber. You know, in my neighborhood of color, we used to have gypsy cabs, and then, in the 90s, we got persecuted. And then, later, all somebody has to do is put it on an app, and pay a fee, and its cool. Thats what you said, the whole formula conditional, they operate in that complexity, and thats how they make money. They cant operate like we operate, so thats what we have to do. So, i guess, two thoughts about that, right . In terms of the ghost kitchens we have the opportunity to tour one, and they do have employees, and theyre employing at least the one that i toured had a lot of employees, and theyre well paid. In terms of the delivery services, i think ab 5 has now, you know, kind of addressed that. It remains to be seen whether itll have a level playing field, but it is an attempt to address this issue that uber eats and other companies dont have to pay workers comp and sick leave because if you work for them long enough under ab 5, you have to be that person. With respect to what we have in front of us here, my question is, is this something thats not included on this summary memo, and if its not, should it be, and how should we characterize that . I think we want to do something to stop the bleeding right now. Just like what got us here . All the crazy legislation and rules that our legislators passed. Weve just got to stop the bleeding from our mom and Pop Restaurants. Just put a little more thats what you were saying, commissioner. But this is great for me for now. Okay. Great. So whatos presenting this on e 12 . Regina is. Okay. So i think were going to strike the Economic Analysis part oh, no, just forget about it. Well keep it the way it is. Yeah. We agreed to do that on our own. No, i think we can consult with the controller instead of tell the controller. No, the way its written is fine. I wanted to add more and beef it up, but i think its fine. Commission recommends the controller determine what metrics that makes sense. Its just asking them to figure out how to study it. Its not asking them to study it. Its asking them to provide direction so we can all study it together. Okay. I wont die on that hill. That seems good. All right. Somebody want to make a motion . To direct the staff to present the document at the hearing on thursday, march 12. I make a motion to direct the staff to present the document at the hearing on march 12. Seconded. Motion by commissioner hui to support to direct staff to present the memo at the special hearing being held on the same topic on march 12, seconded by commissioner yakutiel. Roll call vote. [roll call] motion passes, 60, with one absent. Okay. So that brings us to the topic of the day, possibly the big topic of our lives, coronavirus. It has been a already had a huge impact on many of our local businesses. We received statements at the start of the hearing already talking about the extraordinary impact that coronavirus is having on businesses. We know from looking at whats happening in other countries that we are in a very challenging moment, and the next the next few weeks, the next few months are really going to be an extraordinary challenge for many of our businesses. And typically, in order to introduce an item, you have to introduce it far enough in advance that theres sufficient public notice. To overcome this public notice, we as a body have to make a determination that there is an emergency that represents a public serious threat of public injury, and in this case, the public injury would be to the businesses that were charged with representing. So i guess first, dominica, you didnt quite break this up into two, but when i was looking at it, we have to break this up into two. So first, we have to make a finding that this is an emergency that requires our action, and so i will make that motion that we make that finding. I second. Okay. You have to do a roll call on that one. The motion that you make the finding the motion should be that youre adding an agenda item based on a finding. Well, first, we have to find we have to have the finding, then i guess to make the agenda add the agenda item based on the finding. We have to do the finding first. So then, there are three motions so then, there would be three actions. There would be a finding, and we add an agenda item, and we talk i think its still just two. Whats the third one . Youre making a motion to establish a finding, but youre not saying that youre adding an agenda item based on that finding. Oh, right. So then, i have to so if you say the Commission Finding that theres justification enough to add this agenda item to tonights meeting. All right. I think that might cover it for you . Oh, right, but whats missing here is there actually has to be a vote on the finding thats the emergency. Mmhmm. Thats the motion, and then, ill do a roll call vote. Thats the motion. I dont see it in here. I move to add an item to yes. That language is pulled directly from the charter. All right. When i was looking at the charter, it looked like two separate things, but if youre saying i defer to your expertise. Great. Then i make a motion to urge the city and county of San Francisco to declare a state of emergency on the impact of coronavir coronavirus or covid19 on Small Businesses. [roll call] motion passes, 60, with one absent. So were going to so the city so we took the roll call. Do we have a discussion now or do we do Public Comment before the discussion . You can discuss, take Public Comment, discuss again. Okay. Got it. So well do a discussion. So my thoughts on this are our leaders, the supervisors, the mayor are facing unbelievable challenges in how to navigate this, and i simply want to give them our strong support and to urge them to move as expeditiously as possible because i think that the health of our Small Businesses is not just an economic issue. The sma if the Small Businesses start to go out of businesses, then the workers lose their jobs, and they cant afford their health care, and then, the situation escalates and becomes even more dire. I think a lot of times, tough challenging issues can be politicized, and i want them to know were here for the supes, were here for the mayor and for the community that we exist in. Thats my thoughts on this, and i welcome any of your thought or questions on this. I agree. Ive definitely been hearing different types of impact. I think the city can play a role in terms of supporting the l. B. E. S that they work with, local Business Enterprises that are in contract with the city for multiple things, and the city is starting to cancel all of these events, caterings and not giving proper notice, like, day of notice, so i think that the city, yeah, should be giving Small Businesses notice, and that could be a form of mitigation, for example, that were presenting today. I think the Police Department should be aware that many Small Businesses already cant afford to have less closing time because theres been less people coming into the businesses, and theres Security Issues arising from that. Those are just issues that i think the city could play a role in. Any other commissioner comments . When i was trying to give some thoughts around, like, this whole thing because its such a huge it is such a huge impact for all of us right now, i was reading something i think it was, like, three babes bake shop and how their catering business has been hard hit with the loss of orders, and i was you know, and it it kind of goes back into what we were just talking about in terms of, like, the Restaurant Industry and things like that. And, you know, a lot of our Small Businesses are finding ways to really take advantage of the Technology Sector that we have here, and now thats really been floating a lot of our Small Businesses. And its, like, as much as i you know, i think we as a city have this, like, tension between the technology between, like, the Technology Sector and our Small Businesses, but i think many of our Small Businesses have come to rely on that, right . Were looking at the statement from andy town in front of us, and i think thats something that we need to kind of think a little bit more about in terms of, like, you know, diversity, like, in our city. Our city has really become very reliant on one type of workforce and one time of economic pillar, right . Like, thats kind of the anchor to San Francisco and the bay area is technology, and a whole sector of people can really go and work from home, behind their computers, and theres a whole sector of people who, like, cant. They have to be there, and i think in the news, this has been highlighted, the inequities. But i think as the commission, i would hope that as we talk more about equity, that this is this is another example of kind of maybe why diversity and all these other things can can really i dont know will become more important, i think. Im really frustrated because im not a Public Health professional, nor do i presume to be, and i know that the people that are making decisions that are affecting Small Businesses are weighing all sides. And at the same time, you said that there are a cascade of effects when you basically shutdown chunks of the economy. This is, of course, were talking about it in our city, but italy has shutdown the entire city, closed it down. Whats frustrating is i dont understand this virus. My best friend is an e. R. Doctor, and im talking to her, and she said its serious. But when youre talking about shutting down businesses and all these layoffs, its consequential to people. Im very worried that in the in an effort to slow down the transmission of a virus you know very little about, we are throwing tens of thousands of peoples lives into melee. And i dont that is just a frustration. Im not saying that anything should necessarily change or be done about it. I think in 72 hours, i lost 15,000 worth of bookings, and ive been talking to a lot of Small Businesses owners, trying to get our finger on the pulse. I think were trying to be strong for our communities and our employees, people especially on this commission. But in local communities, we are in many ways, were Holding People up, and it has been hard to stay upbeat and positive and excited when i know that this is possibly just the beginning. But that is what i am doing. The other thing ill say is, just to put it out there, what how this is potentially affecting the Large Businesses in our city, maybe even more than the Small Businesses in some ways. You think about the moscone center, the pier buildings, some of these buildings that have massive, massive rents. Cancelling some of these events in a peak season could be a devastating event for some of these businesses. So while we represent the Small Businesses, the level of worry and acti and anxiety, to me, surpasses us and kind of the Large Businesses that anchor our city. Ill just say im glad were doing this, and i support it, and thank you, commissioner laguana and dominica for bringing this up. Let me just say on a personal level, we had 30 or 40 rentals on south by southwest. Our business helps artists go on the road and play shows, so its going to be increasingly difficult for people to have public gatherings. That is an extinction event for us. Maybe ill have to resign. I might not have a business in a month or two, so but nonetheless, its simply an extraordinarily challenging event that none of us have any context or ability to sort of assess. There is no plan for this. Weve never had anything like it in our lives, and i feel really strongly that this is the time to stand with our government and with our leaders and support them. Not out of Blind Loyalty because we really are in this all together, and the only way were going to get out is all together, and we need to support each other as a body, as citizens, and as members of the city and as members of this country and as members of this planet and help each other get through this this time. Its going to be hard. Its going to be really rough, but weve got to be there for each other. So, you know, part of my motivation here is letting our government, letting our leaders know that were standing with them, even as were asking them to stand with us, and i just wanted to i just think its so central to what our responsibility is under the charter to standup and speak for all business. I cant imagine a moment within our lifetime, and thats including 911, where everything seemed more on the edge, and so yeah, thats how i feel about it. Public comment . Do we thank you. Do we have any Public Comment that wish to speak on this . Good evening, commissioners. Im amelia lindy. Thank you for all you do to help Small Business, and thank you for this really important topic. I wasnt sure if this would be covered, but i think its top of mind for all of us. Im the Small Business manager for the San Francisco chamber of commerce, and im here tonight to try and bring up this topic, because just as you all are facing, the questions are coming in, what if somebody gets sick at my office, and i have 50 other employees . How are we going to make it through the next through months with practically no payroll . How am i going to make payroll . We live in this beautiful city that brings people together for meetings, celebrations, and forums for new ideas. Normally, when we make it a situation where people are going to start limiting their gatherings, were going to see a huge impact across San Francisco. So im here because im concerned for Small Businesses. We are currently in an almost unprecedented situation. We need to ensure that our businesses have not only the resources, but they will surely need to remain viable during this challenge, but also the information and tools that they need to support Public Health. We can all agree that there were there are challenges to running a Small Business in San Francisco, even before coronavirus, and we all know there will be challenging to running a Small Business in San Francisco after coronavirus, but what we have to urge our leaders to do is to ensure that we will have the same Small Businesses that we know and love now here also when coronavirus is gone, so we have to think of anything. Provide some relief to policies or restrictions that could help. Maybe some relief on business fees, tax extensions, something to get a break, maybe even direct financial support, whan when this is all over, we have to help our Small Businesses recover. We cant make coronavirus go away tomorrow, but the one thing the city could do is alleviating uncertainty. Thank you so much of for bringing up so much for bringing up this really important topic. Commissioners, do we have a motion to approve a resolution to support Small Businesses and Work Together to support the city . So moved. Second. Motion to approve a resolution to support Small Businesses. On that motion [roll call] motion passes 60 with one absent. Thank you. Next item, please. Item 8, commissioners report. Allows president , Vice President , and commissioners to report on recent Small Business activities and make announcements that are of interest to the Small Business community. Do we have any members of the public that wish to speak on this . Seeing none, Public Comment is closed. Do we have any commissioner reports . Oh, yeah. Commissioner zouzounis . We are our body wrote a resolution a little while back regarding the mandated cans and bottle collections that are coming from calrecycle that is a state entity, and San Francisco has defaulted on, so the burden is falling on small merchants. The media is going to be picking this up at one point soon. I think we need to on circle b to this as a commission because not only is it the Pilot Program so the context real quick, for those of you that are not aware, we wrote a resolution to kind of expedite this process of alleviating this burden on Small Businesses and allowing San Francisco to adopt a more flexible recycling program for people looking to redeem c. R. V. Value, and this was then created as a state initiative to allow San Francisco to take some of this revenue that Bigger Companies like safeway and such, who are paying the in lieu fees instead of collecting the cans and battles. So theres now basically a fund that San Francisco has access to, and a Pilot Program is to be set up to allow mobile recycling or a different type of collection. This has now been stalemated, and we need to check in on it. In the meantime, merchants that were now previously exempt are now getting letters from the state, saying that exemption is revoked, and Small Businesses are also receiving, like, 30,000 or plus in delinquent services for the state, because you get fined each day if you dont collect these cans and bottles. Even if you do, the state doesnt believe you, and so its a huge, huge issue that needs to be revisited, and i think the state isnt moving as fast as they should. Ive been hearing both reports from media asking and merchants, showing theyre revoked. So thats my reported on that. Okay. Commissioner huie . I wanted to report that i attended the San Francisco small Merchants Alliance meeting. It was a really great meeting. I really liked the fact that they invited the chief connectist to talk about business tax economyist to talk about business tax. Sounds like that particular body wants to ask if Small Businesses can just be exempt from business taxes cause its just not a large enough Revenue Source to really make a real impact . Instead of, like, just tweaking the numbers, just getting rid of it altogether, like, seemed to be their ask. So i heard a little bit about what the commission does, and that was another meeting where, you know, i think sharing what the commission does simply was, like, enough and just kind of getting them know, like, were here. And they really wanted to just revoice, too, that, you know, they have a very unique set of goals, and they are a unique organization, and that, you know, i am happy to talk to them, you know, more, so i was really grateful for that. Awesome. Im so glad you went. Commissioner yakutiel. Two. I ran for the board of the valencia commercial corridor businesses, and i won. I just wanted to publicly thank commissioner huie for having brunch at mannys this weekend and coming in as i dealt with lots of orders and cappuccinos, so i wanted to thank you for bringing your family to have brunch at my spa. Thank you. Thank you. Anybody else . Do we have any members of the public who wish to speak on commissioner reports . Seeing none, comment closed. Next item. Item 9, new business. Allows commissioners to introduce new agenda items for future consideration. Discussion item. Commissioner yakutiel . So i had names of three businesses that were on my phone. Two are social home and kitchen in either the richmond or sunset, and then, this place called odd dog in the frog. Its a bar thats mad dog in the fog . Mad dog in the fog, and i think its been here for a really long time. Those are the businesses that are closing that i would like to adjourn in honor of if possible. I would agree. Id like to add one special group to that, which is i would also like to close in honor of all the medical workers who are assisting coronavirus victims and will be assisting coronavirus victims, especially locally and, you know, now with the ship docking in oakland, i think that, well, a special shoutout for them. I would also say, under new business, that at our next session, it is likely that we will have legislation from the board to consider. I believe that theyre crafting and drafting mitigation coronavirus mitigation. We may also consider the chamber of commerce has drafted a letter on behalf of the many business groups. We may choose to make some recommendation to the board based on that letter based on whatever legislation winds up being crafted. I just wanted to give you a heads up that that is likely to be coming up at the next meeting. Okay. Anybody else . Okay. Do we have any Public Comment on new business . Seeing none, Public Comment closed. Sfgovtv. Please show the office of Small Business slide. Welcome. It is our custom to begin and end each Small BusinessCommission Meeting with a reminder that the office of Small Business is the only place to start your new business in San Francisco, and the best place to get answers to your questions about doing business in San Francisco. The office of Small Business should be your first stop when you have a question about what to do next. You can find us online or some person here at city hall. Best of all, all of our services are free of charge. The Small Business commission ask the official public forum to state your concerns about the Small Business policy in San Francisco. If you have questions that need to be answered, start here at the office of Small Business. Item 10, adjournment, action item. So moved. Second. Meeting is adjourned at 7 41 p. M