Mr. Clerk, do you have any announcements . Clerk yes. Public comment will be available for each item on this agenda. You will see on cable channel 26 and sfgovtv. Org the Public Comment callin number is streaming across your screen, your opportunity to offer Public Comment for each item will be available by calling 4156550001 and enter meeting i. D. 1461952214. Then press pound twice. When you hear your item, press star, three to be entered into the queue. Alternatively, you may submit Public Comment in either of the following ways. My name is john carroll, and i am the clerk of the government audit and Oversight Committee at john. Carroll sfgov. Org, and your comments will be included in the file. You may also send comments to city hall, room 204, s carlton b. Goodlett place, San Francisco, california, 94102. Supervisor mar thank you, mr. Clerk. Will you please read item one. Clerk item one is a resolution receiving and approving annual report for the Japantown Community Benefit District for fiscal year 20182019, submitted as required by the property and Business Improvement district law of 1994. To provide Public Comment, call 4156550001. When prompted, enter meeting i. D. 1461952214. Press pound twice, and star, three to enter the queue. Supervisor mar thank you. Here to present, we have chris corgis. Mr. Corgis, the floor is yours. Thank you. I will be sharing my screen right now. Please let me know when it comes up on your end. Supervisor mar cant see it yet. Supervisor peskin big week for mr. Corgis. Busy, busy, busy. There we go. All right. Next slide, please. Community benefit districts and Business Improvement districts are governed by two sets of law. Streets and law section 36650, and article 13 of the business and tax regulations code. This resolution will cover the only report for fiscal year 201819 where oewd ensures that all c. B. D. S are meeting their financial plans, and we provide the board of supervisors with a memo. The c. B. D. Was established in 2017 with a tenyear term and is set to sunset in 2023. I would like to point out, unli unlike most c. B. D. S, they have most of their budget focused on economic enhancements. Oewd reviews four benchmarks for all c. B. D. S, whether the variance for the budget amount within each category is within ten Percentage Points of the management plan, whether, in japantowns case of c. B. D. Case from assessments other than essential revenue, and whether the c. B. D. Is indicating the current funds inform be carried ocarried to be carried out from the Previous Fiscal Year and to be carried out in the current fiscal year. They raised 67 of their budget from nonassessment revenue and did meet the benchmark. Japantown c. D. B. Was under a 10 variance in all categories and did meet this benchmark. And four benchmark four, they indicated their Carry Forward in their annual report and what areas it would be allocated to and did meet this area, as well. So the japantown c. B. D. Has met ought requirements placed on it. The c. B. D. Was formed in 2017 thanks to the determined efforts of the steering committee. They have performed well in implementing the service plan for the district. They have established relationships with well known community groups, including the Japantown Task force, Japantown Merchants Association and other community groups. They maintain an active board of directors and several subcommittees, and theyre well positioned to carry out their missions into the future. If there are no questions, i would like to invite miss horakiri up to present on their accomplishments for this year. Thank you. Good morning, supervisors mar, peskin. I guess supervisor haney will be joining later. Japantown c. B. D. Covers approximately six city blocks, and within that, we have six movie threaters, nine nonprofits and 1 9 sma the nine nonprofits, and 169 Small Businesses, 11 of which are legacy. In fiscal year 1819, we received two grants from oewd, one for the branding of japantown and the big bellies. During the formation of c. B. D. , Property Owners were surveyed to find out what kind of improvements they wanted to see in japantown. Of course, keeping japantown clean and safe were the top two priorities. Next slide, please. In april 2018, a month before i came on board, our Community Ambassador program started, and we, block by block, during this time, we went through with our ambassadors. Our ambassadors also provide hospitality to the many visitors and are in Constant Contact with our Small Businesses. Thats something that was important then, and, you know, even more important now. Next slide, please. And oh, sorry. I skipped over. Looking at our screening staff, theres probably a lot less than other districts, but trash is trash, and making sure that its picked up is a feelgood thing to those that live and work in japantown. Every year, these stats are presented to the japantown community, and they see without these things, its just not going to be taken care of. In august 208, chris contacted me to let me know that the c. B. D. Was chosen to receive an anonymous donation of 750,000 to contribute towards the Security System within the district. At the end of december 2018, cameras on two properties were activated, and by the end of the fiscal year, we had completed phase two and three, installing 90 cameras. And during 201819, japantown saw an increase in auto boosts, and people leaving valuables inside cars were easy targets. These cameras have been an important tool in helping Law Enforcement investigate and make arrests. Next slide, please. One of the important works of c. B. D. Has been outreach and having public meetings. We even had a sit down with the office of Small Businesses and Building Inspections, and that was proving really key for our Small Businesses who had to comply with the accessible building entrance requirements. Next slide, please. Supporting our Small Businesses and making them a priority are really why the people come to japantown. Next slide, please. It, you know, those kinds of communications are really important, and we really strive to continue building those relationship with our Small Businesses. Next slide, please. In closing, you know, with the covid pandemic, thats taken a top priority. With new orders and measures coming in every day, we want to make sure our Small Businesses have the opportunity to apply for grants and small loans. Weve taken the effort to translate a lot of this into japanese and korean because the city doesnt translate their documents into those languages. Im proud to say that our enewsletter has been shared by many people. Support by chris has helped our community grows. Our community relies on us and has become an important resource for Small Businesses, and we look forward to continuing strengthening those ties, and again thank you to supervisors mar, peskin, and haney for this opportunity, and happy holidays, everyone. Supervisor mar thank you thank you so much, miss horikiri, for your hard work supporting the japantown community and particularly the small neighborhood businesses, the legacy businesses there. Thats important not just for our community but for the entire city, especially the Asian American community. Thank you so much. Before we go to Public Comment, do you have any comments . Supervisor peskin . Supervisor peskin yeah. I just want to start by thanking the jtown c. B. D. For all of their good work. But i just wanted to pursue one area kind of larger Public Policy as it relates to a couple of things. One is the role that c. B. D. S play around Security Cameras and wanting to ensure that our privacy laws and surveillance laws particularly as it relates to facial Recognition Technology are adhered to, so i just want to check on that. And the second issue is insofar as c. B. D. S are creations of the city and the board of supervisors and terminate them and allow them or not allow them, as we saw on tuesday, with regard to the top of broadway c. B. D. That we sunsetted, the anonymous donation in this time is troubling to me. Normally, when we accept a donation to the city, we know who the donor is. Everybody saw the revelations in yesterdays newspaper regarding a former disgraced public official. It is very important to know where those donations are coming from, and the notion of having anonymous donations that go to a c. B. D. Rather than through the city where we know who the donor is, and i think we all know that the donor is chris larson because thats what hes been doing. But im a little troubled that anonymous donations can go through c. B. D. S and not through the city, so i think as a matter of Public Policy, i think thats something we need to get our hands around, so those are the two things that i wanted to ask about. Thank you, supervisor peskin. Im happy to have a conversation with you and your office and see how we can implement your goals with our policy director, lisa pagan. Supervisor peskin yeah. And maybe i can ask miss pearson to jump in, but its my understanding that all of our city laws, whether its the admin code at chapter 12, whether its our surveillance laws, actually, by matter of each and every c. B. D. , they have to adhere to that, as well. Deputy City Attorney ann pearson. Im not sure. I think it depends on the c. B. D. Itself and whether it folds under the citys contracts. If you look at those documents, it contains all of the requirements that a city is required to maintain in all of those documents. Supervisor peskin so heres what im want to be very clear on. Insofar as as our surveillance laws in San Francisco require certain things and exclude one thing in particular, which is technologies, i dont want to see chriss larson making an en run around our law which is essentially making an anonymous donation to the city. I sent out a survey two weeks ago to all the Community Benefit districts in San Francisco regarding those who do have Security Cameras, and from my understanding, and it was selfreported, none of them have activated facial Recognition Technology on their Security Cameras. Supervisor peskin okay, well, thats a start. Why dont we, mr. Corgis, offline, make sure that every one of our c. B. D. S adheres to and follows the law that we passed as supervisors. Absolutely. Supervisor peskin thank you. And this, by the way, a reflection on jtown c. B. D. ; these are just larger Public Policies that i would think we need to grapple with. Supervisor mar thank you, supervisor peskin, for those really good questions. Actually, i have questions around the donation that led to the Security Camera installation in japantown. Have there been other c. B. D. S that received anonymous donations . Supervisor peskin yes, union square. Yes, several did. As supervisor peskin just mentioned, Union Station, but i would have to follow up with each b. C. D. To find out the source of their donations. Chair mar thank you. Ill open this up for Public Comment. Clerk for those who have already connected to our meeting by phone, please press star, followed by three for those who want to speak on this item. For those of you already in the few, please wait for the system to indicate that your line has been unmuted when you would like to speak. To call in to enter Public Comment, call 4156550001, then enter the meeting i. D. , 1461952214 1461952214, pound, and pound again. Then press star, three to be entered into the queue. Mr. Q, do we have any callers in the queue . Operator there are no callers in the queue. Chair mar okay. Seeing no Public Comment, Public Comment is now closed. Roll call vote, please. Clerk on the motion [roll call] clerk there are three ayes. Chair mar okay. Mr. Clerk, can you please call item 2. Clerk item 2 is a resolution receiving and approving an annual report for the yerba buena Community Benefit district for fiscal year 20182019, submitted as required by the property and Business Improvement district law of 1994. Members of the public who would like to enter Public Comment, call 4156550001, enter meeting i. D. 1461952214. Press pound, and pound again, then press star, three to enter the queue to speak. Chair mar thank you, mr. Clerk. Mr. Corgis, the floor is yours. Good morning, supervisors. Im here for the fiscal year 201819 yerba buena Community Benefit district report. They are governed by two sets of law. The state law, 1994 act, which is 36600 section, as well as our local law, article 15 of the business and tax regulations code. This resolution covers the annual fiscal year report for 201819. Oewd ensures that all c. B. D. S are meeting their management plans, that theyre meeting their requirements for an annual report, and from that, we provide a memo. Their assessment roll submission in 201819 was a little over 3 million. The district is currently set to expire on december 31, 2030. The executive director of the c. B. D. Is kathy moffin, and their primary Service Areas is street sweeting and security, branding, and Small Business priorities. For benchmark one, the c. B. D. Did meet the requirement and has historically met this requirement as well. For benchmark two, they raised a little over 11 of their revenue from nonassessment sources. For benchmark three, they were in compliance in fiscal year 1819 and have historically been compliance with the exception being a slight variance in that in fiscal year 1718, which they have corrected for, and for benchmark four, they did indicate their Carry Forward and projects that it would be spent on. In conconclusion, they have met all requirements through the state code and the c. B. D. S agreement with the city. They have performed well in implementing the service plan in the district. They continually support art, Public Safety improvements, and streetscape enhancements. They participate their community and Numerous Community stakeholders, began new Marketing Campaigns to raise awareness of yerba buena places in culture and maintain an active board of directors and several subcommittees. If there are no questions, i would like to turn the presentation over to miss moffett. Chair mar please go ahead. Thank you, chairman mar and the supervisors about the opportunity to talk about the yerba buena c. B. D. Today. Im going to try to hit a few highlights from fiscal year 18 and 19. Im going to take little walk down memory lane because it feels so long ago when life was normal, if you will, so lets take a little walk down memory lane. Next slide, please. What is the yerba buena district . This is a multicolored slide, and it basically reflected the multicolored use portion of this neighborhood. We are home to Moscone Center and seven of the leading cultural organizations in San Francisco. We also have many hotels and restaurants, including three michelin star restaurants in the neighborhoods, and we have a pretty large residential population that has more than doubled over the last ten years. In addition to both large shopping opportunities, small momandpop shops, and a very active Office Environment back in 20182019. So what do we do . Next slide. This is a slide of the activities that we do, but i want to highlight what we do that is different from other c. B. D. S. The first one is our Community Benefit fund that was established back in 2010, and we give grants to businesses in the thabd that are working to improve the neighborhood, and we really work with others to help improve the neighborhood. We also engage what we call a Sexual Service specialist that is part of our clean and safe team that really focuses on our unhoused population, our street population, if you will, to build relationships, build trust, and help them navigate the citys services to improve their condition. Next slide, please. Going to walkthrough these slides and dig deeper into services. In 201819, we removed about 2700 pounds of trash and 17,000 syringes in the neighborhood. This is what our team picked up, not what the city team picked up or the aids Foundation Team picked up. We work 247, 365 days a year, from 7 00 a. M. To 9 00 p. M. For safety, we are a threepart tripod, if you will, for safety. We have our community guides, which are our hospitality ambassadors, helping people find their way through the town and back to the Moscone Center or their hotels. We work with sfpd. We have a bicycle Patrol Officer that works in our neighborhood 14 hours a day, riding around, dealing with quality of life or what we call nuisance issues, similar to what grace talked about in her presentation. Next slide, please. For streetscape projects, these are just a few of the improvements that happened in 201819. We created a street plan back in 2011, and we reviewed the second edition of that plan this past fiscal year, and it provides us with projects to do in the neighborhood based on what the community has indicated is important to them. So some of the projects are, were doing a project at annie north where weve been able to create a new open space. We had to put up a new barrier, and j. R. , the artist, contacted us and wanted to put a mural up on that barricade, which was a great opportunity. Sunny streets finally came to soma in 201819, so we were a key partner in that, and it was a great opportunity to bring people together in the neighborhood. We added 13 more big bellies to our neighborhood that year. We now have 22 total big bellies that we oversee in the neighborhood, and then, we work closely with the industry to install yerba buena benches along the street during that year. Weve working to install more benches along that corridor. Part of our responsibility is to market brand and activate the neighborhood, and we accomplish that several different ways. A few of the images up here, we do events, and we have an annual event every year called yerba buena night, and its intended to draw people in the neighborhood to experience free art one day out of the year. It brings people back, and they say we want to come back and experience what else you have in this area. We also redid our neighborhood website this year, worked closely with sf travel because we really needed to focus on a site that was focused on conventions and visitors and really what information did they need at their fingertips, if you will. We also i mentioned earlier, we have a large residential population, so you can see here, we went to the giants game one night, and they put our name up on the screen. Next slide, please Community Benefit fund. Few images of what we did in 1819, we awarded about 1. 5 million to nonprofits since 2010. Here, you see the annual m. L. K. Celebration that happens in yerba buena guards, and you can see a look at that event. And another big event, obviously, is yerba buena gardens festival and their annual halloween hoopla for neighborhood families. These are the fun slides, the pie charts, the budget. This shows our actuals for fiscal year 201819. We underspent a little bit in cleaning and streetscape improvements in that area. We have learned over the years, although i cant say weve gotten much better, about figuring out how to budget over a number of years for these projects, but thats one reason we were under in that particular year. Next slide. This is the budget for fiscal year 1920, and that year has also ended, and im pleased to say we were well within our plusminus 10 in those categories, as well, but i guess well report on that next year. Next slide. So i just wanted to close on a photo of the love our city event that happened in june 19, and this is an example of the large contingent of volunteers that came to our neighborhood to improve our neighborhood that day. I really want to thank supervisor haney for his support overall and for supporting us on that particular day. If you look very closely in the photo, you probably cant see it, but matt is in the photo on the bottom left corner. Im happy to answer any questions, but before i do, id like to thank chris for his support, as well as oewd, and the city for their community of Community Benefit districts. Thank you so much. Chair mar are, mithank you moffett, for your contribution to our city. Supervisor haney . Supervisor haney first, kathy, thank you for your leadership and your extraordinary work as the head of the yerba buena c. B. D. I think the c. B. D. Has a lot of unique programming that you do, and every c. B. D. Is different in its own way, but i really appreciate that you take the advantage of and collaborate with the many arts organizations supervisor haney the contract that the city has with recology, either as a result of the way the contract is framed or [inaudible] for trash that is collected that you all are charged essentially as though its trash that is your own trash, like, trash that came from your building, and that seems to me to be probably unfair because youre picking up trash that didnt come from your bins or your trash, and i think it speaks to your role that you all have in keeping our city clean. Could you speak to that and have youve had any conversations with recology. It doesnt seem right for you to pick up trash that came from your neighborhood or can you speak to that . Yeah. Let me make it as clear as i can. When our teams are out cleaning the trash on our sidewalks, we arent just picking up trash on the sidewalks, we are cleaning up trash from overflowing trash cans that recology havent gotten there, so yes, c. B. D. S over the years have had coverings with recology to try to come up with some sort of an agreement, but weve all had to do that individually. As a consortium of Community Benefit districts, this is a conversation that we need to have right now. Each individual c. B. D. Shouldnt have to fight of this fight in order to get this service, [inaudible]. And i would piggyback off of what kathy just said, that this has been an ongoing issue for c. B. D. Ive been here about five years now, and its been percolating up for about the last three years. They point to the growth of c. B. D. S over the past few years as one of the changes for this, so hopefully, we can come to some sort of agreement on how to address this. Supervisor haney thank you, and i wanted to make sure that my colleagues on the Committee Also are aware of this because i do think we have a recology contract thats coming to the full board, and it may be something that we want to discuss in that context, and there may be some specificity with how this is dealt with, but i just wanted to inform everyone. Thank you. Chair mar thank you, supervisor haney. Supervisor peskin . Supervisor peskin i really appreciate supervisor haneys questions. The fundamental underpinnings of Community Benefit districts is they do not supplant the services that the city was originally charged with delivering. So unless the intention is that you are cleaning up more trash than the city did in the beginning or that you are Servicing Private properties and not public space, this should be covered in the 62. 5 million that is now pending and probably in trouble at the board of supervisors on december 1. So, i mean, if i were recology and i were public works, i would try to figure that out with the consortium of c. B. D. S before this comes to the full board of supervisors on 1 december 2020. That would be my decision, so san giacomo from mr. Recology, if youre listening, mr. Corgis, go get em. Will do. Chair mar thank you, supervisor haney and supervisor peskin, for highlighting this important issue. I just had a question. For the c. B. D. , how much are we talking about in payment to recology . You know, i hate to say this, but were one of the unfortunate c. B. D. S that havent received a bill from recology based on relationship thats have been established a long time ago. To be honest, we have been able to put our trash in a jumpstdu behind the marriott. I know that the bill for other c. B. D. S have run into the thousands of dollars each month. To supervisor peskins point, our services are supplemental to the city, and yeah, ive never understood this either, how they could charge us for picking up trash in the public rightofways. C. B. D. S do not pick up trash on private property, we are responsible for the public rightofway. Chair mar mmhmm. Mr. Corgis, could you just talk about how much were talking about for other c. B. D. S, just generally, payment to see recology . Without payments to recology . Without having the bills in front of me, i cant say, but its the ones that were established more recently that were getting the bills. Western soma is getting charged tens of thousands of dollars a month, and last year, they picked up 50,000 pounds worth of trash in the public rightofway. Supervisor peskin this is nickel and diming people to death. This isnt why we created c. B. D. S, to give recology another funding base. Supervisor haney and just to make it even more ridiculous, in other places that ive seen, youve got trash on the sidewalk, the c. B. D. Comes and picks it up, and when recology comes to pick it up, they charge it as if it came from their own building. It doesnt reflect the strategy here or the design. Its good to hear that theres a solution that you all have at yerba buena, but it doesnt make sense to have some c. B. D. S treated one way and others treated another way. And ill be happy to circle back on supervisor haney and supervisor peskin on any conversations that i have with recology between now and december 1. Supervisor peskin who would have ever thought that two c. B. D. Items would have been as interesting as they were this morning . Chair mar thank you. Yeah, agreed. Mr. Clerk, why dont we go to Public Comment . Clerk mr. Q, please let us know if we have any public callers who are ready. For those of you who have not already entered in the queue, please press star, three to be entered into the queue. For those of you already in the queue, please hold on the line, and you can hear a prompt on your line that indicates your system has been unmuted. Operator we have one caller in the queue. Yes, id like to say that the testimony this morning from the c. B. D. S is just another reason for the city to reconsider its contact with ecology. I think a lot of recologys a lot of what recology does is extremely problematic, and yeah, so i dont understand why the city does so much contracting out to private entities, and it would take a lot more sense if a lot of it was done internally. I dont know how possible that was. So all of these layers even the whole c. B. D. Thing, why is everything so contracted out and but yeah, im also very concerned about recology, and i would encourage the supervisors to look into this supervisor and do something about it. Thank you. Clerk thank you for your comment commentsme comments. Could we get the next caller, please . Operator mr. Chair, that completes the queue. Chair mar thank you, operations. Public comment is now closed. Colleagues, id like to make the motion that we send this resolution to the full board with a positive recommendation. Moti clerk on the motion made by supervisor mar that this item be sent to the full board with a positive recommendation [roll call] cle clerk mr. Chair, theree three ayes. Chair mar mr. Clerk, can you please call items 3, 4, and 5 together. [agenda item read]. Clerk members of the public who wish to provide Public Comment on these three items should call 4156550001, enter the meeting i. D. Of 1461952214, press pound twice to enter the meeting, and then press star, three to enter the queue to speak. You may provide Public Comment once your system indicates your line has been unmuted. Chair mar thank you, mr. Corgis, the floor is yours. Today before you are three separate resolutions offering contracts for the renewed noe valley c. B. D. , and the renewed and expanded castro c. B. D. And Fishermans Wharf c. B. D. The city must enter into a Management Agreement with each of the respective associations with the c. B. D. S. The document is a template designed by the City Attorney and was adjusted for each c. B. D. Specifically in relation to general finn fit language. The noe valley general bit is 3. 24 or 8, 3. 24 and the Fishermans Wharf landside is 9. 08 . If approved by the full board, this will allow the city to transfer collected assessment funds to each c. B. D. In early january. Are there any questions for oewd . Cha chair mar thank you, mr. Corgis. I dont have any questions. Supervisors, do you have any questions . Supervisor peskin i guess the only question i would ask is just relative to the 19b question, are these addressed in all of these collective Management Agreements . To my knowledge, supervisor peskin, they are not. Im happy to check in with the deputy City Attorney to see if this is something that can be included in this. Supervisor peskin but the admin code other admin Code Provisions are encompassed, is that correct . Yes. I believe the deputy City Attorney would be better suited to answer which specific agreements are included in this Management Agreements. Supervisor peskin ms. Pearson. So the Management Agreements contain all of the policies that the board is required to have adopted and required to be included in our contract agreements. Where the board adopts a policy and requires is that it be incorporated into the contracts, it is required that these include these. Agai my understanding was that by its own terms, 19b is, right now, applicable to city departments. Supervisor peskin okay. So what you are saying, council, is right now, if i were to amend 19b to say it automatically covers c. B. D. S, it would, and we dont need to change the terms of the actual Management Agreements . If 19b were amended to apply to the c. B. D. S, that could happen in two different ways. It could be that that would be required to be incorporated in all contracts. It might well be that these contracts also contain a term that generally requires compliance with all municipal laws, and if thats the case, and the law were generally required for all c. B. D. S to comply, that would immediately go into effect without needing to have it immediately incorporated into the contract. Supervisor peskin i am searching the Fishermans Wharf contract right now, and i have yet to find any such provision, but maybe its in a miscellaneous provision. Assignments and subcontracting. It very clearly sets forth chapter 14b. It sets forth in 16. 2, sub b, the various admin codes at section 12, so it sets forth mcbride, it sets forth tropical hardwood, but it does not it sets forth first source hiring, it sets forth 12g of the administrative code. Supervisor peskin, it does, in 1619, include a catchall term, which requires compliance at all times with such charter requirement do requirements, regulations, rules, and law, so this would require compliance by the contractor with any law. Supervisor peskin so i think that you are meeting with my staff later today, at least thats what lee told me earlier, so maybe we need to make a requirement that specifically refers to c. B. D. S. Again, the board could do two things. The board two amend sb and could secondarily require that be incorporated into contracts in the future. But because thats not a part of the existing contract under the section 16. 19, the c. B. D. S would be required to comply. Supervisor peskin okay. Well, ill leave it to you and my staff to figure out the best way of achieving compliance, and i think that would be your 16. 19 in the near term and in future contracts in the longterm. And, supervisor peskin, as the board has passed ordinances that do apply to c. B. D. S, we do receive memos from deputy City Attorneys in relation to 16. 19, which we do pass onto our Community Benefits districts, and in future management agreeme agreements, they are perfectly set out, such as in article 12. Supervisor peskin thank you. We have a plan for the weeks and months ahead. Chair mar thank you, supervisor peskin. Why dont we go to Public Comment on these items. Mr. Clerk, are there any callers on the line . Clerk thank you, mr. Chair. Operations is checking to see if we have any callers on the line for items three through four. Foiv those who have already connected to our meeting via phone, press star, three if you wish to be entered into the queue. If you are already in the queue, please stay on the line until the system indicates your line has been unmuted. If you wish to call in, following the instructions displaying on your screen follow the constructions displaying on your screen right now. Call 4156550001, entering the meeting i. D. Of 1461952214, pressing pound twice, and then star, three to enter into the queue to comment on these agenda items. Mr. Q, do we have any callers wishing to speak on these items . Operator yes, we have one member in the queue. My my name is grace, and i am the president of the japan down c. B. D. I. I just wanted to circle back to some of the hot topics that emerged unexpectedly, one being security cams and the recology bill toured faced by some c. B. D. S. Tieing those two together, i was thinking about some of the unintentionally hidden costs of camera systems for c. B. D. S, so something thats a matter of great concern to our board currently is after the current year, when we did have a little bit leftover in the angel donor fund, in future years, well be facing an additional cost of approximately 60,000 per year to fund the maintenance and just the annual sort of upkeep of the Security System. Is its a bit of a point of frustration that we have to play middleman when it comes to provide information to the police, but the labor costs on our side is nowhere near the cost that well be owing to a. B. S. For the annual contract, and i wanted to highlight that because i believe theyre also in use by the other two c. B. D. S in union square and the tenderloin, so on that, were going to really be facing a budg budget crunch, and wed appreciate any guidance that you can provide, and thank you for allowing me to provide these comments to the board. Supervisor peskin so in other words, this is a system thats going to start costing. Clerk thank you for your comments. Can we have the next caller in the queue. Operator that completes Public Comment. Chair mar thank you, operations. Public comment is now closed. Supervisor peskin, did you have some reaction to this . Supervisor peskin well, this is a really interesting thing, and again, related to all these c. B. D. S, and the costs of recology is the same as Security Cameras. Mr. Larson comes along with this generous gift of 750,000, and then, these c. B. D. S that have very small budgets are saddled with these maintenance costs and implementation costs forever. By the way, its on the c. B. D. For accepting the gift and the responsibility. This reminds me about 15, 18 years ago, when the airport was excited to get a grant from the United States government for drug sniffing dogs for the first three years, and then they were required to pay for it for the next three to five years. So what looked like a gift was actually an expense. Chair mar i think the c. B. D. Presentation really highlighted some important issues that merit follow up, and i appreciate, mr. Corgis, your commitment to follow up on that. Great. Well oh, so why dont we looks like we need to make an amendment, right, to item five . Mr. Clerk, theres it sounds like theres a typo on only that one line. Clerk its a typo in the title. Chair mar yeah. Clerk if you could just correct it so it no longer references the Union Station location but instead reflects the Fishermans Wharf landside Community Benefit district. Chair mar yes, id make that amendment. Clerk on that motion [roll call] clerk mr. Chair, there are three ayes. Chair mar thank you, and id like to move that we send item three, item four, and item five as amended to the full board with a positive recommendation. Clerk on the motion that item three, four, and five, item five be recommended as amended [roll call] clerk mr. Chair, there are three ayes. Chair mar thank you. Thank you so much, mr. Corgis. Mr. Clerk, can you please call items six, seven, and eight together . Clerk yes. Agenda item six is a resolution approving a historical property contract between pacific stables Property Owner, l. L. C. , and the city. Item seven is a resolution approving a historical property contract between aimko 2015 trust, and the city. And item eight is a resolution approving a historical property contract between job than dascola and kamariah dascola, and the city and county of San Francisco. All of these are authorizing the planning director and the assessor recorder to execute and record the historical property contract. Mr. Chair . Chair mar thank you, mr. Clerk. Colleagues, i just want to say let you know that we have staff from the Planning Department and the assetors office here to present and answer questions on these items, and we also have the applicants or the Property Owners and their representatives on the three properties, as well. Id like to welcome Alexandra Kirby whos a presentation planner from the Planning Department to present on these items. Miss kirby . Thank you, chair mar. Good morning, supervisors. Alexandra kirby with the Planning Department staff. These are historical property contracts on three properties. Im sorry, john. Is your department presenting . Im not authorized to share my screen. Clerk i can change your status. Just a moment. Oh, it looks like i can now. Just a moment. Okay. Great. Thank you. To begin, i will present an overview of the Mills Act Program and then the contracts. The Mills Act Programs allows it is, like, automatically going through this agreement provides property tax reductions to owners of those Historic Properties who can then allocate the savings towards an appropriate maintenance and restoration program. It is the only local program that prevents owners from doing large scale projects that, when put off, does greater and more castly damage to the building. Every local landmark building as well as those listed on state and National Registers of Historic Places is eligible to be allowed to enter into contracts. Department staff reviewed each of the three applications before you today, conducted preapproval inspections and worked to provide restoration and Rehabilitation Plans and Maintenance Plans as needed. On october 7, 2020, the Historic PreservationCommission Approved a resolution to recommend all three mills act contracts to the board of supervisors. Im happy to answer any questions you may have about the priority considerations or our review processes. The first contract is for 450 pacific avenue, a contributing building to the Jackson Square historic building. Its a four Story Office Building first constructed in 1887 as a kentucky stables building and rebuilt after the 1906 earthquake. The subject property is currently valued by the Assessors Office at over 5 million. The proposed Rehabilitation Plan includes restoration of the historic storefront, replacing parapet flashing, repairing roofing and windows, treating all exterior and exposed steel and sky lights, and repairing, paring, and patching all brick work. The proposed Maintenance Plan includes annual inspection of roofing, flashing, pointing, metal corrosion, and draining system. The Property Owner will replace all windows with new wood double hung windows that are compatible with the historic character of the building. May want nance work is estimated to cost 14,725 annually Maintenance Work is estimated estimated to cost 14,725 annually. 1355 waller street is currently seeking designation on the california register of Historic Places and slated for listing on the register this winter. This building is a 2. 5 story over basement, wood frame, singlefamily building designed in the local ship builder design by john a. Whelan in 1896. This property is titled, winter. The property is currently valued by the Assessors Office over 3 million and required a historic structure report. The property meets the requirement for granting exemptions from the limitations on eligibility. The Rehabilitation Plan proposes to restore the front entry marble steps and iron handrails, restore the missing front entry landing, replace the roof, and fully repaint and repair all elevations. In 2018, the applicant had replaced the building foundation, added shear walls and instrustructural steel bea. The estimated cost of the rehabilitation work is 416,000 over ten years. It includes an annual inspection, and Maintenance Work is estimated to cost 9,920 annually. 58 potomac street, the building is a two story over garage, wood frame singlefamily dwelling built in 1899. The proposed Rehabilitation Plan includes seismic strengthening, roof replacement, woodsiding repair and painting, window replacement, replacement of front stairs, and a permeable driveway. The proposed maintenance costs including annual inspection of roof, guttens, downside, and trim. Maintenance is estimated to cost approximately 2,000 annually. This concludes my presentation. Planning staff is here to answer any questions you may have, and michael from the Assessors Office is here to talk on property tax evaluations and answer any questions you may have. Thank you. Chair mar thank you, miss kirby, for that presentation. I dont have any questions. Colleagues, do you have any . Supervisor peskin . Supervisor peskin thank you, chair mar. So all of these are absolutely worthy structures, and the mills act, which is state law in our ordinance, chapter 7b1 of the administrative code, are really about utilizing tax breaks for the rehabilitation of Historic Resources and their ongoing maintenance, and obviously, everybody is hurting right now, the city is hurting for money, and private Property Owners are hurting, and we have a Public Interest in rehabilitating, safeguarding some of the, you know, the citys great Historic Resources, but i wanted to kind of get down to the dollars and cents things, which is if you look at this, there is a different between the tax break over ten years and the actual value of the historic rehabilitation, so let me take 450 paicific, which is a beautiful building, and the owner of brick and timber has done a good job with other properties. At 100,000 a month, thats like 1 million a year. A fifth of that is not going to the resource. Now maybe, as a Public Policy matter, were okay with that, but that gets me into something that is a hang up on some of these mills act projects, particularly where it is not a momandpop but actual, in the case of brick and timber, who i hold in high esteem. This is a building that was only purchased in 2019, a year and a month ago. And i appreciate the fact, by the way, that were not doing afterthefact mills act stuff. A couple of years ago, that was kind of troublesome where people were coming in and saying, by the way, i did all this work a year or two years ago, and now i want all of this money. Pay me. If that work is done in the period of ten years, yes, theres ongoing maintenance and expenses, but should we have the tax break go on forever . We could say yeah, were okay with 99,000 a year and only getting 78,000 a year . Is can we say that were okay with that for years . I think im going to turn it over to michael from the Assessors Office to provide some clarity on this. Good morning, supervisors. Michael john from the Assessors Office. Because the mills act is a rolling tenyear contract, it really does live into perpetuity unless the contract is not renewed, and thats kind of the simple answer for supervisor peskin. I do hear your comments in terms of the value, but again, thats not an assessors supervisor peskin no, and thank you, michael. You do it by [inaudible] i have no question that you come up with the correct [inaudible] i think the Assessors Office has discharged its duty correctly. Maybe this is not a question to miss kirby and planning. Maybe its a question for me and two colleagues on this panel to grapple, but my question is yes, this contract continues to roll. What weve said is its not going to roll forever. Were going to roll it ten years, and then, were going to terminate it at the end of the first ten years because if the city does not do anything affirmatively to terminate, it just goes on forever and forever. As a matter of fact, i came through a few years ago and went back through some early mills act contracts that i had been the chief sponsor of. One of them was the only chronicle building at the corner of third and market, kirby and market. I said hey, you guys have enjoyed this now for ten years, and we issued the notice to terminate and by the way, it doesnt terminate for another ten years. They get the benefit of this for another generation. Does it make sense and miss kirby, weighin to say yes, well granting the mills act for ten years and not let it roll . I can speak to a limited capacity to some of this. An important thing to keep in mind is it is an incentive program, not only for the additional work but for the ongoing maintenance of the property, which obviously varies a lot between a singlefamily home and a large scale commercial building. I think we were looking at a range of approximately 15,000 a year for pacific versus 2,000 for the singlefamily home in duboce park. And a a portion of that tax incentive is to continue the upkeep and maintenance of these buildings, which i think as we know in San Francisco is an important factor in our efforts to preserve our historic fabric. And in addition to that and michael, ill let you kind of tack onto this, but the its my understanding that the assessors value of the property does continue to decline, and therefore, the tax benefit additionally is also reduced annually, is that correct . [inaudible] properties under nonrenewal. If a property is not under nonrenewal, the annual savings calculated every year, which can change, but youre referring to is not a nonrenewal portion, after that ten years, then, the property tax savings would decline based upon a formula, so every year, it would be less. So at the end of the tenth year, essentially, theyd be getting no i have been is aings at the end of that nonrenewal contract, so there is a difference between the nonrenewal and a hard end. I hope thats clear to the supervisors. Supervisor peskin and if i may, i agree with miss kirby that we also want to incentivize ongoing Maintenance Work going forward, but if you look at these various reports and the scopes that are included, the vast majority of it is not ongoing Maintenance Work. Again, lets use 450 paiscific. Scope one is replacing the patching and roof for 50,000. Phase two is replacing brick and facade at a cost of 70,000. Next is access and repair [inaudible] for 50,000. So my next the ongoing outyear maintenance is much less than the capital intensive maintenance at the beginning. Look, everyone has to maintain their buildings. Whether its historic or nonhistoric, youve got to fix your roof, youve got to paint your building. These things are part of building ownership. The notion of a tax incentive really goes beyond the ongoing maintenance, although if youre a small momandpop [inaudible] rec and park, whatever, you know, the many good things that were all supposed to do as public, you know, servants. Do we im willing to spend that 1 million to restore that building, but it seems like going after that we come up with a less money back mills act i think im convincing myself of these, that i would like to make this automatically terminate in ten years. Chair mar thank you, supervisor peskin, for raising these important points and questions. I would agree, it makes a lot of sense for the overall goals of the mills act to provide incentives for Property Owners to make improvements important improvements to their historically important properties, and these three properties that were considering today seem very worthy, and i appreciate all the work, you know, that the Planning Department and the Assessors Office have done on these with the Property Owners, but yeah, i think it is questionable whether ongoing continuing the tax property tax break at that high level ongoingly makes much Public Policy sense. So im just trying to understand this. Were you saying, alexandra or michael that if i heard right, theres 37 mills act contracts that we have right now, and some of them phase down to zero after ten years . No, only those under nonrenewal, and i believe theres four of them at this point. The others will live into perpetuity unless the applicant or the board decides to do a nonrenewal for those properties. Supervisor peskin and what i would like to suggest, at least in the case of 450 and i guess this is 450 paisk is, and i guess this is a question to deputy City Attorney pearson, because in the past, as to what mr. John just spoke to, this came as a resolution in the past, and all four resolutions came forward, saying effective now, terminate, which means ten years from that date, it would terminate. None of them have terminated yet because i think i did all four of those nonrenewals four years ago. What i wanted to know, through the chair, to deputy City Attorney pearson, can we have all of those in the original agreements . Im looking at the Draft Agreement that is before us, and section 7 sets forth the term that says ten years, unless notice is given set forth in paragraph nine, and paragraph nine says any time we want to stop it, we can stop it, and itll stop in ten years. Can we just actually have in the contract, the term is ten years, and the notice of nonrenewal is here by given as a matter of fact contract. In other words, we dont have to come along tomorrow and do another renewal that says great, we did this last year, and now, were building this in ten years, to build it into the contract . Deputy City Attorney ann pearson. I would like to take another look at that to see if we can build it into the contract. Id like to if you want to consider making that type of amendment, id appreciate if you could continue the item so i could take a look at it and advise you when this is called again. Supervisor peskin yeah, that works. I was just trying to make life simple and create a notion that we may or may not want to apply in some cases, which is you could actually have a nonoticef nonrenewal in the contract. And could i ask im sorry to put you on the spot again, michael, but could you please speak to how the property tax benefits differ between a nonrenewal and a traditional mills act contract, just for clarity . Sure. So essentially, all properties are valued by a twodid step process determined by the board of equalization. But for properties of nonrenewal, theres an additional step where we take the present work of the remaining ten years, and it actually declines that property tax reduction. I think thats the simplest way i can state it. For example, if the first year reduction is 90,000, by the end, itll be zero, so its a declining reduction over a nonrenewal contract as opposed to one where theres a nonrenewal, it may be 90,000 every year into perpetuity. I guess thats the simplest way to explain it. And i do want to just clarify, with the prospect of, like, a proeotentially a la hearing, these need to be certified by the end of the year with the department and the Property Owners, so in the next month. If this is an avenue wed like to pursue, maybe we can do that as a separate stack that would run in tandem . Supervisor peskin so if i may, mr. Chair, just given those compressed time frames, if miss pearson is okay with this, i would suggest that we send all of these forward to the full board. The next Board Meeting is not until december 1, and if this can be inserted into the contract, and city and the City Attorney believes that that would be one avenue, and if not, i would just, on december 1, come back with a resolution to terminate which can follow. But also, i think mr. Johnson said something that miss kirby was trying to get to, which is i would like to know what the total value if we were to say this is only one one tenyear period, and a nonrenewal notice was issued at the same time or subsequent to the first tenyear term, what the total value of that ten years is worth to the Property Owner because one thing i am aware of, they at least need to get their 782,000 back, right . Or at least thats the way i see the world. So if it turns out that 99,000 in year ten at zero, you know, makeup 500,000 then maybe we might want to issue a nonrenewal notice for year 12. We could do that, too. I mean, the great thing about the mills act in chapter 71, the board of supervisors has very broad latitude and discretion. So michael, if you could bring forward to me in a couple of weeks, if we hit the nonrenewal button on day one, this supervisor would like to see it. Okay. We can do that for you. Supervisor peskin thank you, mr. John. Chair mar thank you, supervisor peskin. I like your proposal on how we can move this forward while still being able to consider the nonrenewal clause for these for these, so great. Why dont we go to Public Comment . Mr. Clerk, are there any callers on the line for the items . Clerk thank you, mr. Chairman. Operations will let us know if there are any callers in the queue. Those who have already connected to our meeting via phone, press star followed by three at this time if you wish to speak to these resolutions. For those in the queue, please listen for a prompt that indicates your system has been unmuted. For those listening online or on sfgovtv. Org, call in by dialing 4156550001, followed by entering 1461952214, then pressing pound twice and star, followed by three and you will be entered into the queue to speak. Operations, do we have any callers in the queue to speak on these items . Operation operation mr. Chair, there a on these items . Operator mr. Chair, there are no callers in the queue. Chair mar thank you. Seeing no Public Comment, Public Comment is closed. [roll call] clerk there are three ayes. Chair mar mr. Clerk, can you please call item number nine . Clerk item nine is a hearing to review consultant access and involvement in the San FranciscoBuilding Permit process, in particular situations where a consultant has been charged with criminal conduct. Members of the public who wish to comment, dial 4156550001 and enter the meeting i. D. Of 1461952214. Press pound twice, and then star, three to enter the queue. Can you hear me . Clerk yes. Whats your name . My name is [inaudible] and im the owner of 1315 waller street. I wasnt able to effectively raise my hand. Chair mar yeah. Im sorry. Were were onto the next agenda item right now. Okay. Thank you for your time. I appreciate it. Chair mar yeah, so thank you to supervisor ronen along with supervisors haney and peskin for calling for this important hearing. Supervisor ronen, are you here . Supervisor ronen i am. Can you see and hear me . Chair mar we can see and hear you. Supervisor ronen great. Well, thank you so much, chair mar, for hearing this item. I called for this hearing, along with my cosponsors, supervisors haney and peskin, who are here, as well, today, obviously as committee members, so we could understand the department of Building Inspections roles of working with consultants, as well. Today, i wanted to focus entirely on the d. B. I. Permitting, and i let staff know that i was not expecting to hear from them today. The history of fraud,