Testify. I also want to thank the office of shortterm rental in the city administrator for offering the opportunity for anyone in this chamber coming this building today, might want to register. There is a table outside that is being staffed by li mei lu and anybody who would like to fill out an application to register a shortterm rental can do so. Out this door my right, your left, so feel free to avail yourself of that opportunity, if you wish to do so. With that, i want to start by acknowledging that we have two members of the Planning Commission here and would like to give them an opportunity to address this body. The Planning Commission actually did a very conference of review of the shortterm rental regimen in San Francisco and made a large list of recommendations, some of which the board talk in 2014 in october, when the original shortterm rental legislation was passed, and some of which were not taken among including the legislation that is before us today. So, i want to welcome commissioners Dennis Richard and catherine mar. He like to address this panel and after that, well go to members of the public. Dont be shy. Commissioner richards i think ive been on record as saying im everybody in the room and supervisors, theres a definite benefit in the city shortterm rentals. I think from a Cultural Exchange point of view, from a business point of view, in terms of additional business for local businesses, local small businesses, especially my and for the people who are trying to make ends meet in San Francisco. So, i dont think shortterm rentals is anything evil. Things actually kind of nifty interesting right that folks naturally use their asset. Their extra bedroom went on vacation, their flat, for reasonable period of time. I remember the morning that i was on the Planning Commission in the september of 2014, i remember making a couple calls to a couple of board of supervisors that i knew, a couple of the board of supervisors and i said to them that morning, you know, the way the law is written as is, you need some type of a better enforcement mechanism. You need the ability to actually figure out who is renting and who is not and was renting towards the time of and who is not writing about the time limit. I made this case. I made that case in the Planning Commission. When this was heard i believe twice the horror the force even a staff report indicated that requiring the Registration Number was a linchpin and i quote in the report, of actually making this law work and make it effective. I sat through a hearing here before but was supervisor weiner chaired it in entertainment such as, hey lets let this law work and i think enough time has gone by good we are now in june of 2016, 15 months afterward. The law went into place with 75 compliance rate i think everybody can agree that its really not working. I know thered been playing around but its too slow to get registered, is too complicated, but ill be honest with you. The office of shortterm rentals streamline the prospect i support streamlining the process, how. However, let me make an analogy. The compliance rate of about 25 , i likened that to greece, the country of tax agrees etiquette can you imagine if the homeowner tax and self that combined rate here was only 25 . Within a real deep hurt. I think its a fair this issue to get that too many many host. Host web and following the law and actually was supporting a Ballot Initiative last year that did not win, but in my conversation with every host, everybody largely registered said this is a fairness issue. Why do i have to go through registering through the process and do the reporting a lot of people dont. I likened that to jumping turnstiles on the subway. A buddy starts jumping turnstiles on the job subway the what is going to be. The other thing i want to talk about was the loss of tax revenue. That is yet to come up in this discussion. Its great d d this company and entity has an agreement with San Francisco to remit taxes on behalf of its host. However, all the other platforms dont. If youre not registered as a host and your platform does not remit taxes, were losing that tax money. So, thats by the equation is that nobody is talking about is the elephant in the room is probably in the millions of dollars. As to the spurious argument about d d our the coasting platform becoming a police entity, let me remind you when i opened up my Checking Account yesterday at the bank, they asked me for a Social Security card. Was nobody from the iris there at the bank. The bank legally had to require me to pull out a Social Security number. No different than a Registration Number. The other thing that i was asked yesterday when i went out for a drink and the bar asked me for my drivers license because they can want to lose their license. They were carding everybody because they serve minors they get punished by getting suspension of the license and they could go out of business. So whats the difference between that and what were asking for today . The other thing yesterday when it went to safeway i gave them my credit card and asked me for my license to verify it was actually me making the charge. Again, it wasnt these or maercard standing there. It was equally. Acting as the agent. Lastly, the whole issue around any privacy concerns around a Registration Number, let me remind you of this. I drive around in my car with a license plate on it. It doesnt tell people who im. It doesnt tell them where i live. It identifies me and for appropriate lawenforcement agency, thats exactly what we need. Can you imagine folks with 75 of people do not drive around the car with drivers licenses. It would not make any sense. I believe this is a common sense that the government piece of legislation in a 1 supported and asked the supervisors vote unanimously to approve it. Thanks. Supervisor peskin thank you, commissioner. [applause] supervisor peskin commissioner moore anything like that animal go to Public Comment . Commissioner moore since commissioner richards took more than 2 min. Oh make it simple get my position about this is quite clear. Im in support of where you are and my simple comment would be without the ability to enforce the laws and weve come to that point. Supervisor peskin thanks. With that, well go to Public Comments. I will call sets of speakers in the water i received them. [calling names]. Testifier good morning. The real question is, why should be in the be allowed to lift unregistered units on the platform. The Current System of enforcement that relies on neighborhoods to turn in neighbors. Im the president of the coalition for San Francisco neighborhoods. I often hear stories about things like this with air b b. I think one thing to look at with the platform is first you are asking for an arbitrary number of 1000. I say, why not 10,000 , one not 50 . They are breaking the law. Theyre breaking the law legally. The neighborhoods believe that the [inaudible] siphoned units from the unit driving up prices and tightening availability. The existing system is ruining the character of our neighborhoods throughout the city and creating many empty units as stated earlier. All air and b b rentals should have a valid San FranciscoRegistration Number before posting them online. From the city rentals would seem illegitimate to Listing Services would be required to respond with details about these Properties Within one business day or face big signs. Thank you very much. Supervisor peskin thank you. Next speaker, please. Testifier hello. My name is ed bell. I live in San Francisco for almost 60 years and have lived in my own home for over a third. My home is a very special place to me. Its where my only child was born, where i raise my child, where my mother spent the final weeks of her life before passing on sushi to be surrounded by people do love to. In short, my home has a life [inaudible]. As with many seniors my income has decreased substantially over the last few years and about a year ago i told my wife got him very happy to tell you my house is not pursuing the only reason its not for sale is because the income i generate through air b b. Instead of two old people tottering around the house reminiscing about the good old days, unfortunately share mine with interesting adventures, were getting satisfaction from seeing the city my wife and i have love for a lifetime. Ive been fortunate in anyways. Im very familiar with computers that use computers at work i can tell you im completely air b b compliance. However, many of the air b b hosts are seniors like myself and are intimidated by computers. I know many of my senior friends would really like to become air b b hosts and share their homes but they do not because they cannot deal with the computer requirements. I dont mind paying taxes. I make money on air b b and i think i should pay taxes on that money. However, i am upset about all the forms i have to file them in computergenerated forms, it really cost more to figure out then the income generated. So, in short, please take my wife, my friends, other seniors like me into account when you make these decisions. Thank you for your time supervisor peskin thank you. Next speaker, please. And after [calling names]. Testifier good morning. My name is jordan davis in the material from from the tenderloin and i urge you to support 1604 23. Which would actually hold shortterm rental houses and platforms responsible for gentrifying our neighborhoods. This care if the need was machined has been scared passing new regulation has been saying that is fine too job i took it and apocalyptic propaganda [inaudible]. As lgbt primark has just begun lets reflect this new pride in gentrification lets think about the disabled transgender woman who needs double and the black payment among any of these others and how they could end up homeless and possibly incarcerated were dead because of rich techie man children and then go to think becoming and innkeeper is more profitable. I do not know how many lgbt people have been displaced by these but [inaudible] in our former homes as we support air b bs lies and youre no better than her lgbt people than donald trump or pat mccord. Please, go vote yes on this important bill. Its very reasonable and we depend on it. Supervisor peskin thank you. Next speaker, please. Testifier good morning. Im doug nielsen. Im a home share host with one bedroom one bath private unit in my permanent residence. Which i live fulltime. Im one of the approximately 3000 people registered. I think we all agree in the fact that this number is too low. Im an unacceptable. Its also known the process is very cumbersome. It can be as long as three months, it takes up to three months or more to get registered in some cases. This is also unacceptable. The city must find a way to simple five this prospect theres no question about it. By now, theres another obstacle that has surfaced that makes the registration process and legalization of a business and issue. That is, as one whose registered and the other 1300 that have have received a 571 r that was sent to already starts asking them to submit a list of all the furniture, all equipment, everything they have in their units. The date they purchased it, the price they paid, the specific items and for me, i did this. Turn it in, the total came to about 3000. Ive items in my house in that room that i acquired back in 1984. Items that have been gifted to me. So, the value came to about 3000. Now, i am trying this and in with the depreciation this inmate get that saves was about 1000 in a garage sale. Theyre going to get 10 out of me and if you put that apply that to the other 1300 registered and get 13,000 for the city. This is not spending the resources and time and energy that made the city should do. So what i am suggesting is taking a money applying to the registration process to improve it make it better but dont spend the money and resources on sending out these types of forms. Thank you. Supervisor peskin thank you for your comments. Next speaker, please. Testifier good morning. My name is kathy. I may San Francisco voter and a member of the debtor housing policy. As an Organization Need up of both renters and homeowners, we are tired of the political games that do nothing to address the housing crisis. This amendment is not the solution we need. They only create more red tape for the renters and homeowners who want to do the right thing. The city permit process needs to be streamlined to adopt 12 people are using Online Services like eight air b b. If the average processing time is at least a month the Current System is too burdensome for huge amounts of people rent a room in their house for two weeks or two weekends a year. Thats whats fixed the process first. If you want to see more registration. Thank you. Supervisor peskin thank you. Next speaker, please. And after, [calling names] testifier good morning, chairman peskin president breed and supervisor tammy and 10 cameras that my name is kelly powers and him representing the hotel counsel San Francisco. The Hotel Council is a nonprofit trade association that represents the Hotel Industry in San Francisco. The Hotel Council supports the shortterm rental legislation that is being discussed today. We believe required hosting platforms to verify that each of the units that listing on the site have a valid registration the city and county of San Francisco. It is reasonable and necessary. It is reported that most unregistered shortterm rentals are not renting their primary residences as the existing relations require. Renting units in condominium buildings for homeowner associations do not allow shortterm rentals tenants renting apartments without owner permission. The regulation being proposed were hoping sure that only legal shortterm rentals will be included on hosting platforms. Again, the Hotel Council supports the shortterm rental legislation that is being discussed today and we encourage your support as well. Thank you. Supervisor peskin thank you ms. Powers. Next speaker, please. Testifier good morning cannot major in manila. Either or both days with illegally operating twist hotel and this amendment wouldve avoided this situation by requiring them to register the most they cannot do because theyre not eligible. I stayed there. On air b b they offered toi went back in and abstain for more than a year. I problems with Hotel Management or consulate trying to turn over rooms in order to rent them to torres and not taking care of their other responsibility to the resident tenants that were there. One of the issues they use the Hotel Management system with key cards, so youre automatically logged out if you didnt pay your bill every weekend 11 am which is against the rental code in San Francisco. Also, they charge me 15 hotel tax i paid more than 4200 over the course of a year in tax on what is supposed to be rent and i still have not been refunded that money. Requiring air b b to check their registration wouldve avoided this for me and other people. In addition to reserving those units which were supposed to be sro units and not poorest units for people needed them. Thank you. Supervisor peskin thank you. Next speaker, please. Testifier thank you my name is angel sanders. A couple points i see beneficial to this. First of all, where i live, one of my neighbors is renting out his units and without him registering theres no way for me to bring up to the board that he is not doing so. So having this in place would help a lot of people like this could also, another benefit would be having people register if im looking for a place to move into, i can at least find out how many of the units around the are doing so. What i currently have come, like is that people are doing it on unlawfully and it changes the dynamic of a community. So, i think having this register would benefit everybody. Also, used to do uber and i was in uber driver you cant just slap a u on a window and go drive around. This apostate i think this is kind of the same thing were you get a processing unit was doing what. Thank you. Supervisor peskin thank you mr. Santa cruz. Next speaker, please. Testifier good morning. Mine is karen casino and im a registered host. There are two reasons i think not to pass the legislation now. That we dont make the same mistake that we did last year, before theres time to assess the results of the current law, and the second, i think it is scares many host again to not register out of fear of what is to come. Just like last year. In the meantime, the board could set up a shortterm rental task force with Major Players coming up with recommendations for the board to consider. Such as, differentiating between different types of shortterm rentals. Low use. For those hosts that only maybe do like someone said, a couple of weekends were maybe two weeks a year, they are not registering because that the registration cost a lot of money and theyre not using it very much. Also, there are people who are going sabbaticals were going extensive volunteering events and they may be old weight more than 90 days but San Francisco is still the primary residence. There is also people who are work related absences like drivers, airline host, performers, and they may be a weight more than the 90 days due to their job hours, but there were still residence of San Francisco. These categories could be created and legislation simple five bringing in more register house and also beef 14 hotel tax. I know that those with little faith in city bureaucracy are in very early thinking way too complicated for staff. Well, i think San Francisco could show the rest of the country how to do it right. Thank you. Supervisor peskin thank you. Next speaker, please. Testifier my name isand we registered very early taken there was a right thing to do. I still think its the right thing to do, but i think that the city is making the process tremendously intimidating in so many ways good most recent move by the Assessors Office on 571 r having to itemize every item in the room or in the house, and the value and audit and one was obtained, etc. , seems a bit ridiculous added to all the other things that the city has done up to now. To discourage people from listing. Again, i repeat we were amongst the first to list and we were encouraging people to register, and ill be damned if i would tell anybody to register now. Ill be damned if i registered under the current information that i have about the city requirements. Criminal penalties supposedly [inaudible] 1000 a day, etc. Seems a bit exorbitant and again, intimidating. Having to for seniors having to deal with computers, im semiliterate computer wise, but even that in itself is difficult for a lot of seniors who are involved in this air b b or other platforms. It seems that picking on air b b platforms were other platforms are being ignored, other platforms that are ready to sue rather than comply is very unfair. I believe there is too much hate being made out of politics rather than wellthoughtout policy by too many of the supervisors. Supervisor peskin thank you, sir. Next, [calling names] testifier good morning. My name is eric and [inaudible]. My husband and i are hosts and register. But we feel very strongly that the registration as many as many on unintended consequences and [inaudible] to be prescribed. We believe in strong legislation for Housing Residents and to those that abuse the system from causing harm. We want to see other forms step forward to do more to help the city. There needs to be more time to make that happen. We also believe the city should simplify the process for hosts who rent that space just a few days a week a year. We encourage the city to develop a one step online registration process for hosts. The everchanging rules and perform only confuse the process of more. Including the newest tool that hosts must create an inventory of all their belongings right down to sheets, silverware, [inaudible]. I filled out my online form for my business license, which was due on may 31. [inaudible] license was issued in favorite. The form did not contain a phone number to answer questions of which i had several. I worry about the future of sharing and the proposal is passed. We fear it will only be to only more confusion for host. [inaudible]. It tramples critical online attraction and conflicts conflict with important federal laws. Thank you. Supervisor peskin thank you. Next speaker, please. Testifier good morning. Thank you for lending your effect on Kevin Craigie district for voter and redshirt host and we have a new law and her inlaws stay out when they visit and the rest of the we host and really enjoying the experience i believe like others everybody should get registered and they should agree with a lot of your intent of what your time to compost. You know, threatening imprisonment in the county jail to move the housing crisis from our homes to the jail, thats one point. I think it just basically extreme in my opinion i think when he to work on solutions were the hightech innovation and social tech capital of the. Lets work with us which look for solutions i welcome to talk with anybody from vegas two, gated a issued a think this is just a bit extreme and were kind of the top tier industry of San Francisco our hospitality and information communication technologies. I think some of this legislation is basically attacking the toptier industries of our city. I could go on and on but ill leave it at that. I would appreciate your peers and hope we can find Solutions Working together. Thank you. Supervisor peskin thank you. I just want to point out to folks the section of the law with regard to criminal penalties to my that is actually been on the books since supervisor chiu, my predecessor, past the law. That is not in any way changing the legislation. That is the force. The legislation that is before us only adds hosting platforms to that provision in law could so, in addition to holding hosts accountable what supervisor campos legislation does, is also hold opposing platforms accountable. The civil and criminal penalty statute is the same statute that supervisor chiu introduced in 2014. Thank you. Next speaker, please. Testifier hi. My name is esther ricci. Im district for voter. Im one of the many who went through the painful and timeconsuming process of registration to be in compliance with the city. I read this legislation and i find it very disturbing and highly punitive. It is basically and intends to implement proposition f which was defeated by San Francisco voters last november. I dont see how somebody who has more than one listing because is renting more than one room in the house into going to jail regardless of its david chu were a new one, is going to encourage anyone to register. Were demanding to have Public Information. Theres many hosts, a single woman or retirees, or divorced that they dont like to have their information to anyone public. This legislation doesnt offer any solution to solve the housing problem. San francisco is known for being progressive and open minded, this legislation is very regressive and conservative jerk we should be a model of innovation and [inaudible]. Please, do not pass this legislation. It is going to hurt many decent people who could not be in the city if it were not for renting out empty spaces. The of the actions have been going down since shortterm rentals are up. I never heard any direct you to get person in these two years i have been coming here for the shortterm rentals. Thank you. Supervisor peskin thank you. [calling names]. Testifier hi. My name is jessica mullen. Thank you for your time this morning. I live in sunny side and supervisor yees district with my family. The law as written let us down. We need this legislation to address the problem weeks. Personally. Moved to sunny side several years ago and her neighbors were longtime San Francisco family could overnight they were forced out by the landlord we found our selves living nextdoor to an illegal hostile wizard on air b b. Even imagine living nextdoor to someplace renting out room beds, individual beds at 30 a night 46 is a room in 1000 ft. 2 house, with key goes on the door, no keys, no host anywhere to be found. They rang the doorbell in our house at all hours of the night waking up our young son which all parents know is really the worst. I called dbi, they cannot help it they told me they could not help me. I contacted ospf. They tried but they said they could not help me because they could not catch the host in the act. Those were pulled on the listing during the day so city staff cannot find him and i be able to observe it again at night. My spirits is exactly why this legislation is needed. Air b b Shopping List illegal units especially illegal hospitals cramming an individual residents in residential neighborhoods in the first place to complex permitting is a red herring. I appreciate all the legally redshirt host were here today, but frankly, this legislation is nothing to do with you. Section 230 of the cba is a post and scared sat there at the City Attorney pointed out at the beginning of this hearing. I also want to point out that any proposal from other supervisors to add provisions that apply to hosts a poison pills and i urge everyone to reject them. This legislation is great as is. Its needed. I urge you to support it. Its fair. Its practical. Its a minimum we should ask our citizens here in San Francisco, including and i think especially, most bondable corporate citizens two byebye. Please stand up for regular San Francisco like me. Supervisor peskin thank you ms. Malone. [applause] supervisor peskin i want to it knowledge your bravery and leadership in appearing on the nbc bay area investigative units expose on the abuses of shortterm rental such as you experience. That was a i think, a helpful piece of Public Information and you did a Public Service in doing that. Next speaker, please. Testifier jenniferi think you know we are very supportive of this legislation already. Ive even become friends with the Apartment Association staff while crafting this legislation. So, i think that is significant and shows the broad support we have. I know that air b b set up an email generator to expand and it was a very bizarre email that said hosts would have to count all the forks in