something that people feel connected to and inspired by. personally, there is space to keep that alive, just finding balance. the key is to find some balance. >> [roll call] in two, approval of minutes for the september 13, 2011 meeting. >> so move. them a second. >> public comment on executive session. executive session. then i can i have a motion? >> so moved. >> >> the move not to disclose e close session. >> all in favor? >> aye. >> can i have a motion to reconvene in open session? >> so moved. >> please be advised that the ringing of and use of sound producing electronic devices are prohibited at this meeting. be advised that the chair may order the removal from the meeting room of any person responsible for the ringing or use of a cell phone, pager, or other similar sound producing electronic device. please be advised that a member of the public has had to 3 minutes to make pertinent public comments on each agenda item unless the port commission adopts a shorter period on any item. 7a, executive directors report. >> good afternoon. thank you for joining us. i have a couple of quick things for the executive director's report. first is that fleet week will be back next week, and it is going to be a good and big one. there will be six u.s. navy ships that will be coming in as early as the middle of next week but certainly for the parade of ships on saturday. october 8, i believe that is, and they consist of an aircraft carrier, an amphibious assault ship, a guided missile cruiser, the uss antietam, guided missile destroyer, and a mine counter mission ship, whatever that is. and then the u.s. says guadalupe, which is a replenishment oiler. we are looking forward to seeing more than 9000 sailors, marines, and coast guard marine and women who will participate, and there will be a number of great events that began as early as next thursday. i am going to go through them very quickly. the first is the senior leadership seminar, which is the seminar that will have its second run this coming year, organized by a retired general of the u.s. marine corps. the purpose of that seminar is to bring together senior navy, marine corps, and coast guard leaders to interact with their counterparts in preparation for humanitarian aid and/or disaster relief. a couple of you will be joining me, so thank you for that. it is a really great opportunity. it was very well done last year. the second is a humanitarian assistance and disaster relief static display which is annually at marina green and cannot get possibly any bigger than it was last year. the third is the second annual urban search and rescue mission, which is performed -- a mission exercise performed with the san francisco police apart, the fire department, and navy sailors and marines. the fourth is the parade of ships, which will begin at 10:00 a.m. next saturday. the fifth is the battle of the bands at the golden gate park, which is the bands of the navy, marine corps, and coast guard participate in a battle. the sixth is the italian heritage day parade. members of the fleet week will be attending and participating. the seventh is the san francisco 49ers military salute game on sunday. last but not least is the blue angels, which will begin their practice sessions next thursday afternoon, practice friday afternoon and perform saturday and sunday. it is going to be an amazingly great week for san francisco once again. we look forward to being able to participate with the committee, a committee of all volunteers. we're very grateful for all of the hours that they have put into this, and we wish them a grand success. second, i wanted to announce that our ship repair operator was awarded a contract to overhaul and dry dock the military command fleet. this is an $8 million job. it will have jobs for 150 workers beginning next week, october 3, running through thanksgiving. and the contract will do a number of different things. it is, i believe, an active vessel and was competitively bid. bae won so we are proud of them and wish them success in bringing that ship in and doing some work. hugh also just told me they one and seconded. work will begin in january. i will leave that to you. lastly, i will just announce we are having another stellar cruise ship week. he may have noticed that the sapphire princess is here today at pier 27. you may recall that that allows us to power down her engines and connect into the city's power or pg&e power system and run the hoteling portion of the ship while in port from the land instead of from their engines, which saves and eliminates a number of the missions in the bay. we are very proud of that. there are six ships in four days this week. wednesday and thursday of this week, there will be two ships in port at the same time, making a total of 12 for the month of september, which is our second highest month this year. one of the ships are changing their itinerary from the north to the south. we will have three ship calls, when each october, november, and december, and those are coast line cruises, i think we are calling them, and all we will be coming from santa barbara and heading back down along the coast. that represents a of business, and we are anxious for it to succeed. my thanks to the port staff who have been working night and day to accommodate the ships and for many years to market our great port. my congratulations to the team on the success of the shore power system. many thanks to everyone. bad as it. -- that is it. >> thank you. i am the general manager from bae shipyard in san francisco. quick comment and credit where credit is due. we did win the henry j. kaiser military sale of command tanker. it is 50,000 man hours and about 150 men are going to be working it. it comes in the art monday next week. what she did not mention is that contract could not have been awarded had we not completed central base and -- central basin dredging. one of the big issues that we had with military sale of command was we did not have the draft to bring the ships in. we completed central basin dredging september 1 and literally, military seal of command one of the final draft before they could award the contract. a lot of hard work went in to getting central basin dredging done, and i got to thank the port for efforts and support in making that happen. the executive director's staff did a stellar job. peter daly was a steadfast and patient as ever. without their support, we would not have gotten it done. we would not have gotten that contract. it really is a team effort between the folks at bae and the folks at san francisco. i applaud them. again, the executive director mentioned the u.s. navy ship, paul foster. it is a guided missile destroyer. that ship will rollout in january. the project fully fund it will roll out at almost $12.5 million and roll up close to 180,000 man hours on that ship. between the paul foster -- again, paul foster needs 30- plus feet. again, a collaborative effort between the port and bae, and i appreciate everything the port of san francisco did make that happen. having lived and worked in san diego for a long time, never saw that kind of collaboration, so i do appreciate it. if i have any time -- i have 20 seconds. one quick one is citybuild. we work closely with them to do training for welders. it was a collaborative effort. they did a great job to get the training put together. we were able to get the welding training put together and we are starting to hire the graduates of that. i apologize for using the full three minutes. thank you very much. >> thank you so much and congratulations. that is wonderful. >> yes, good news across the board. appreciate it. >> is there any other public comment? >> commissioners, item8a -- 8a has been taken off the calendar and deferred to the next meeting. 9a, a request approval of a sole source retail lease with bait natives for a native plant nursery located at jennings street, consisting of approximately 6273 square feet of pay of land for a term of 13 months with 148-month extension options. >> good afternoon, commissioners. i am here seeking your approval for the item as read by commission secretary. a native is a small san francisco-based nursery that specializes in endemic bay area native plants, as well as many species from across california. a native recently approached the port requesting to operate a nursery on port property and the location that was decided on was the area at jennings and cargo way, which is adjacent to the eagles center in the south southern waterfront. under the port's retail leasing policy, retail opportunities, leases are required to be bid. however, in that policy, there is an exception where the court staff -- were reports that they do direct leasing of sole source contracts. if the item is impractical or impossible to bid or the benefits of the public offering do not exceed the actual benefit to the court, other criteria -- a public offering can take up to 12 months. no certainty of outcome. small leases are really not economically viable to do through public process. the other benefit is this is a gateway site. we have three, and it is greening and activating. the area now has not been occupied since 2006. it is kind of run down. we think this will really enlivened that area. it also addresses the goals of the southern waterfront commitment and unification policy. as i said, the site has been vacant since 2006. the lease, which is detailed in the staff report, provides for about 6000 square feet of paid land. rent is paid during the first year. $1,380. during that time, we will evaluate -- they will track their sales. there is an option that they may exercise, but i -- it is is our sole agreement here during that time, they will pay a percentage of red, the greater amount of base rent or percentage rent. this lease was presented at the southern waterfront advisory committee. it was met with -- very favorably. regarding ceqa, there is no ceqa required. it can be exempted from the california environmental quality act, and i am happy to answer any questions you may have. >> thank you. can i have a motion? >> so moved. >> second. >> is there any public comment on this item? commissioners? all in favor? resolution 1161 has been approved. thank you. >> 10a, requests approval of the proposal by the black rock arts foundation to extend the port commission approved temporary installation of public art by 12 months until october 2012, located near mission street on the east side of the embarcadero, on the plaza between the agriculture building and pier 14. >> good afternoon, commissioners. planning and development commission. on june 8, 2010, the commission authorized the installation of a sculpture to be located in the plaza area between the agriculture building and pier 14 for 14 months, which the license will conclude on october 7 of this year. black rock is now requesting to extend the term of the license by 12 months to october 7, 2012. as you have undoubtedly scene, the rocket ship is a commanding sculpture. it is located in the plaza in what is now recognized as an ideal space for major art installations. since landing atpier 14, the rocket ship has received positive press reports. even the sfgov website. and generally favorable reactions from the citizens and committees. the license requires that in addition to the original installation responsibilities, black rock should be responsible for and dignity, liability insurance, temporary lighting and removal of the sculptor at any time upon notice from the port. i am happy to report that black rock, a licensee in good standing, has performed these responsibilities to date. the described conditions and requirements would stay in place for the extended term. black rocks and about $50,000 for installation costs and management of the rocket ship. anticipate about another $10,000 will be needed in maintenance and upgrades necessary to insure it is in peak condition for the additional 12 months. port also contributed $15,000 towards the rocket ship was the initial installation. if approved, the court would continue to be a partner by allowing the site to be used at no cost and would contribute the $185 a month to pay for electrical costs for the lighting. if approved, the rocket ship would remain until october 7, 2012. which brings me to the question beyond the resolution of what is beyond 2012. if i could take a moment to talk about that. beyond 2012, staff is researching other possible in art installations for the site and other sites along the waterfront, which could be in place during 2013 for the port's 150th anniversary and the 34th america's cup event. possible sites include in addition to pier 14, the pier 43 triangle parking lot and possibly in front of the pier 43 promenade, which is currently under construction. the side of the brand and street wharf, which is also scheduled to complete by 2013. china basin park on the south side of the channel. there are other sites in mission bay area, which could be sites for the third and cargo gateway site, which has a temporary piece of art now. that site is scheduled to be redeveloped with the 2008 bond money and be complete by 2013. that is another one. there are additional sites along the southern waterfront that could also be included in the list. for two of the three installations, the court has worked directly with the black rock arts foundation, and there's a couple of members of that here today that they speak to it. for the third, with the city arts commission, there are also a couple of other organizations the port could work with to showcase the bay area's harden talent. thus far, the port has not provided substantial funding. the port also places all major responsibilities for art on the sponsoring organization, as is typical of the agreement that i described a minute ago. funding remains the biggest challenge. the port as a partner in the placement of public art has its greatest asset being the availability of, a waterfront locations, which can make a name for many artists. that said, with the commission support, staff will work to find our to present to the commission, which was showcased the waterfront from both the america's cup 34 and the port's 150th anniversary. any comments you may have on that is appreciated. there is an attached resolution for your consideration for the extension of the rocket ship. if you have questions, i will be available for that. thank you. >> thank you. may i have a motion? is there any public comment on this item? >> i am the president of the board of directors for the black rock arts foundation. i want to thank the port, the commission, and the staff for giving us the opportunity to work with artists such as david to present our work and help develop communities and create opportunities for artists from our communities. dan was right. raising the money is challenging in these times, but we have a very strong community that has been stepping up to the plate, and we are confident that going forward we can continue this process. we have a lot of other installations throughout the country and other states, and we have a very strong track record, so we really want to thank you for this opportunity. we want to look forward into the future to look at some of these other potential sites to work with your staff and the court -- the port to further present works of interactive art that developed strong communities. thank you. >> thank you, and thank you for bringing art to the port. is there any other public comment? >> i just also wanted to thank all of you. i really think a city can be judged by its public art, and it is really essential. so thank you very much for participating. >> all in favor? resolution 1162 has been approved. >> item 10b, informational presentation by the staff of the san francisco municipal transportation agency regarding a 1-year pilot by share program and proposed by share locations on port property. >> good afternoon. i am here today to give an introduction to the bay area by share program. this is just an information presentation. no action is required today. staff have been discussing this program, which is funded for one year, and is being led by the bay area air quality management district in bands of the leasing and rfp for selected by share program operator, the port has determined location criteria for the station and has started agreement discussions -- or started discussions about an agreement for the program. staff suggest that the bike share stations should avoid leasable areas and revenue- generating areas and avoid bay conservation development commission dedicated public access areas in these corridors to promote the success of the program, suggest that the bike stations be near transit stops, neared job sites, and adjacent to the city's bike lane network. using this location criteria, we have determined four locations for the program to date. once the program is under way, there may be a demand for additional docks at the given stations and staff believes that we can accommodate additional growth as long as that growth area does not infringe on dimension location criteria. does not impact leasable area, etc. since the bay area air quality management district will hold the program agreement with the selected operator agreement program and will be the main point of contact for the program for the bay area, staff recommends having a memorandum of agreement with the bay area air quality management district and having a property agreement with the selected operator, and the agreement would cover maintenance, liability, and insurance. to respond to the proposed schedule for the program, which is to release the rfp this fall -- actually this week. it is ideal, but we would like to move forward. and start the program-bring next year, we will be coming back with the final locations for the program and the proposed agreements with the bay area air quality management district and the selected by a share program operated. next in this program approval process is briefing the tenants that are adjacent to the proposed by share station -- bike share station and the bay conservation development commission. the program has received ceqa determination from the city's planning and environmental division, and the program has been deemed exempt from ceqa. if the program proves to be successful after the one-year, the selected operator will come back to the port commission and seek renewal of its agreements and potentially expand the program with additional stations. i have invited into a staff to give an overview of pike share,n general, what it is, and during this presentation, feel free to interact with any questions. i am available for any questions. >> thank you, commissioners. samper sister municipal transportation agency. i am the project manager for the bicycle sharing project in san francisco. i will give you a presentation on our presentation in the air district's pilot program. commissioners, you have this presentation on the screen in front of you. what i am going to do first is give you an overview of what bike sharing is, talk about the concept, technology, " working with typical of administrations in the program, and then i will introduce the specifics of the original pilot. then i can wrap things up by talking about a couple specific examples of locations on the waterfront that we have been in discussion with with port staff. first of all, what is bike sharing? it is similar to car sharing, but it uses bicycles. it is a membership-based concept which offers bicycles for short-term highere. one of the main differences from car sharing is you can return a bicycle to a different point from where you pick it up, anywhere within the system. this is not a new idea, but something which has gained a lot of popularity in the past five years as technology has come down in cost and we have been able to implement systems for more cheaply and incorporate a cellular technology, radiofrequency id. it took up in europe recently, starting now in the united states, but the biggest growth you are seeing is in asia right now. as i mentioned, this is taking off in the united states. montreal was