The basket to the right of the lectern. Speaker cards will be called in the order in which they were placed in basket. Additionally, there is a sign in sheet at the table. Sfgovtv could you show our slide. The office of Small Business is the only place to start your new business in San Francisco and the best place to get answers to your questions about doing business in San Francisco. The office of Small Business should be your first stop when you have a question about what to do next. You can find us online or at city hall for now, any way. All of our services are free of charge or for the next three years. Small Business Commission is your place to voice your concerns about small bit matters in San Francisco. If you need assistance, start here at the office of Small Business and the Small Business commission. Clerk item 1, call to order and roll call. [ roll call. ] clerk mr. President , you have quorum. All right. Item 2, please. Clerk Public Comment. Allows members of the public to comment on items in the Small Business commissions role but not on the agenda. Do we have anyone that would like to comment on anyone that is not on the agenda today. Good afternoon. My name is bile pearcl pearce, think your Legacy Business Program is a great idea, and i wonder how you can improve that so you have best marketing ability, better marketing concept, and succeed in the program so that you have the results that you want . So two questions is one, what are you doing on the website to promote it, and secondly, is there anything thats intermediate thats less than the 30 years which could be leading up to like youre in prep for, so for for the legacy, so thats my question. Great. Thank you very much. Well, being a tenyearold business myself, it feels like a legacy already, so we have thought about that question and also, we are doing things on our website to promote we have a branding program which is currently underway, so thank you very much. Were on it. All right. Any other members of the public would like to comment on anything thats not on our agenda today . All right. Seeing none, item 1 is closed. Next item, please. Clerk we have two applications Cliffs Variety and tommasos Italian Restaurant. The promoter is richard kurylo, director, Legacy Business Program. Good morning, Commission Members and staff. Before you are two applications for your consideration for the businesses to be included on the legacy business registry. I have a Powerpoint Presentation for you. The applications were reviewed by me for completion and submitted to the Planning Department staff on october 19th for their review. Historic preservation commissioner heard the applications on november 15th, and made positive recommendations to the Small Business commission. For each applicant, your Commission Packet contains a staff report, the application, a resolution, case report from Department Planning staff, and a resolution from the Historic Preservation commission. There are copies on the table for the public. Item 3a is Cliffs Variety. The business is a Neighborhood Hardware and Variety Store serving the Castro District since 1936. Going to wait for the little buzz and continue. Founded by gerario debaca, the store sells hardware, home goods, fabrics, toys, cooking supplies, and much more. It is the castros longestrunning retailer and has long been known as the place to go for repairs and knowledgeable advice on economy rating, customing, cooking, suing and entertaining. Todays Cliffs Variety is operated by fourth generation Family Member terry aston bennett. Today it serves thousands of people daily and provides directions to other businesses. Second business is tommasos Italian Restaurant that was founded in 1971, but whose roots date back to 1935. The cantolupo family from italy opened a restaurant, lupos, in 1935 in the city. Its famous for its wood fired oven, which is the oldest on the west coast. In 19 1, the business, except for the name was given to its long time chef, tommy tomaso chin. In 1973, the business was sold to the karate family. Their traditions and decor remains essentially the same as it did under the previous two owners. The business remains family owned and operated to this day. Both businesses received a positive recommendation from the historic Business Commission. After reviewing the applications and the recommendations from the historic recommendation commission, staff finds the businesses have met the criteria for qualifying for listing on the legacy business listing. There are two drafts for consideration of the Small Business commission. Note that a motion in support of the business should be a motion in favor of the resolutions. In the resolutions, please pay close attention to the core physical features or traditions that define the business. Once approved by the Small Business commission, the the store was created by my greatgreat grandfather, and for Cliffs Variety, its always been about being a part of the community and having what the community needs, so were happy to maintain being a hardware store, but thats so much a little about what we are. Were a part of the community, and its really an honor to be considered for this. Thank you. Thank you very much. Hello, commissioners, hello, mark. I just want to say thank you so much for the office of Small Business and the Small Business commission to just let us doing to apply and do this project because it was such an awesome experience for me. You know, i grew up in this restaurant my entire life, but theres so much i learned over the last few months, reading articles and studying, and bringing the application together, so also even though its good for us, its also an amazing experience, so thank you. Excellent. Anybody else . Nows your chance to be on sfgovtv. This is prime time, man. This is live from San Francisco. All right. Well, going, going, gone. Any other members of the public like to comment . All right. Seeing none, Public Comment is closed. Commissioners in Commission Commissioners . Commissioner adams. I want to say one of the first pizzas i got when i moved to San Francisco was from tommasos, and i want to echo mark. Your pizza is probably the best in San Francisco, bar none, so thats awesome. I want to i got to give a huge shout out to terry Austin Bennett in Cliffs Variety. You know, today, with the amazons and everything out there, you know, after 80 years in business, this place has managed to change themselves and follow what the public wants. I was in there on friday, and they had a a an event where you donate money to Harvey Milk Civil Rights Academy and get 20 off. I walked in there for one thing and i walked out with, like, ten. But terry and her family are really part of the community, and im so proud of terry personally because not only is she a friend, but when she first got into the business, she would never say anything at a merchants meeting. She was always afraid, and all of a sudden, something in the neighborhood like parking came up, and terry spoke out. And you know, she became so active that she became she was president of castro merchants for two years, and under her leadership, you know, really expanded, and thats part of being in the neighborhood, so and you dont see many fifth generation businesses around anymore, and this family is able to do it i want to give a shout out to her father, ernie, and her mother, martha, for all theyve done for the community. They were personal friends of harvey milk and you know, back in the 70s im going to give a little bit of history here. When the Eureka Valley merchants didnt want to deal with the days, you know, Cliffs Variety joined the castro merchants and harvey milk to found this new business community. And those who joined survived like cliffs, and those who did, did not. So 80 years, legacy in business, i want to publicly thank you, terry, for everything youve done. Commissioner dooley . First, i want to thank the massos as residents of north beach in helping to keep our history and traditions alive in north beach. Its a battle, but its always well worth it, and you guys are right up there as as a matter of fact some of the stars of north beach. Cliff, what can i say . Whenever i need an oddball thing, some feathers for a project, cliffs is always where i go. I always think oh, cliffs will have it, and you always do, so thank you for your real variety and many more years ahead. Commissioners, any other comments . All right. Well, do we have a motion . Yes. I would motion to add to the legacy business and the resolutions for Cliffs Variety and tommasos ristorante italiano. Second . Second. Okay. Clerk clerk [ roll call. ] clerk that motion passes unanimously. Congratulations. Yeah, congratulations. [ applause ] well done. Well, we will not be the least bit slighted if you do not want to hang around for the rest of our show today. You know, youve got to go do your thing. Small businesses must do the Small Business thing. Clerk item 4, board of supervisors file 171133, business and tax regulations code, minimum filing threshold for gross received tax and payroll expense tax, discussion and possible action item. Presenter is amanda fried, policy and legislative manager at the tockax collectors offi hi. This item is just a cleanup item around the gross receipts tax. When the measure went to the voters in 2012, it included a provision that says Small Businesses who were exempt from the tax, the gross receipts or payroll tax, but still, the just over a certain amount over a certain threshold, so you were small, but almost going to be filing and paying still had to file every year. And if you forgot to file, you would be subject to a penalty. Well, weve had the tax for a few years now, and in looking, weve really reassessed the need for this kind of odd provision, and were coming to the board, asking that the board of supervisors just keep the Small Business exemption as is, and you only need to file if you exceed the Small Business exemption threshold, so it really shouldnt affect too many people. We found that not many businesses were aware of this requirement. It was a bit confusing, and really only found out about it if for some chance you got in trouble and got penalized for not filing any taxes. So hopefully, its up for your support and ill be happy to answer any of your questions. Commissioners, any questions . This is an easy one. Ive been with this from the beginning, and i look at this as cleanup legislation. Your outreach has been fantastic. You guys have done a great job with your outreach. Id like to hear what the general public has to say, but. Thank you, and since shes here, i will thank Marianne Thompson for all the work that shes done over the years. Commissioners, any other comments . Id just like to say thank you for the cleanup. I just think it makes a lot of sense. All right. So it is if you make less than 150,000 you dont have to file, correct . Well, now, what its saying if you make for 2016, the gross receipts filing threshold was 1,060,000 you dont need to file. So the threshold, i wanted you to state it in the record, so the threshold, again is. For 2016, so they will be updated for the 2017 filing, but for 2016 it was 1,060,000 for gross receipts, and for payroll, its 280,000. Okay. And for real estate, if you are there, also no. Yeah. Its based on payroll. Gross receipts and payroll. Okay. Great. Thank you. All right. Any other questions or comments . All right. Well open it up to Public Comment. Do we ahave any members of the public that would like to comment on this item . Seeing none, Public Comments are closed. Thanks for coming over. We appreciate it. All right. Action . We have a motion. I motion that we approve the board of supervisors file 171133, the business and tax regulation code. As is . As is. I second. Okay. Clerk okay. [ roll call. ] clerk that motion passes unanimously. Thank you, amanda. Yes, thank you. Next item please. Clerk item number 5, number 171153, permit licenses and inspection fees for cannabis businesses, discussion and possible action item. Commissioners, because of the timing of the cannabis legislation moving forward, the board of supervisors, we dont have a presenter for this item, but im going to walk you through, and itll be to your discretion as to whether you want to take action on it, but did think it was important to make you aware. Theres an updated legislative review. Ive got some questions answered. I want to thank the director of the office tof cannabis, nicol elliott, and israel nieves from the department of Public Health to answer some of the questions, so again, just as a reminder, our application fees, our fees have to be cost recovery, and since we are establishing a new office of cannabis not really knowing exactly whats absolutely going to be involved, the best estimate guesstimate or estimate of what these application fees and annual fees will be, but it is noted in the legislation that after the first year, the director can adjust those fees, so if again theyre over the fees are too high, theyll be adjusted down. If its determined that the fees need to be adjusted up, then, the fees can be adjusted up. So on page 3 of the legislative review, just a quick review, so interests theres a onetime nonrefundable application fee for 2,000 with the office of cannabis. The office of cannabis is going to be again, a refresher going to be the department that issues the license to operate for this industry, so the so it has the it does the application fees. It is it is the primary entity that does the zoning referral, so getting the land use zoning referral, well be working with dph, with fire, police, anything that they require from other agencies, theyre the predominant agency to be getting the referrals. If there are amendments that need to be made, adjustments to work out or revisions the business wants to make, then, theres a 110 hourly fee with a minimum of two hours charged. And then, the annual permit fee for the first year is 3,000. And then, for the subsequent years, its 5,000, unless that get adjusted. The department of Public Health and to be very clear on this israel asked me to really clarify this is they dont have an application fee. They are doing a plan check fee, so their role with this is to plan check the businesses operation, primarily where they have oversite and governance as the department of Public Health, which is why you will see under the category of Cannabis Retailer, medical Cannabis Retailer, delivery only retailer, they do not necessarily have to do a plan check for that for that category of businesses. But for cultivation facilities, manufacturing facilities, and microbusinesses, those are businesses that they actually do need to provide meet with the business and make sure that there are Health Code Regulations that are setup when theyre setting up their business, building out their business. Their Health Code Regulations, and so that is why there is a plan check permit of 3,700. And then, underneath it, based upon the size of the business is then the inspection fee, which is for each year, an annual inspection fee, based upon the size of the business. And then, another fee is being established for consumption, so should Cannabis Retailers want to add skemgconsumption, its for prepackaged cannabis products where theres no food preparation happening. And 1,000 for limited preparation of cannabis products. So i did just a quick sort of analysis, so it does not necessarily include all all permit requirements that a business may need, but for a small, nonvolatile adult use manufacturer, thinking of our edible and topical businesses, with gross receipts up to 100,000 because the state the state charges their annual licenses and application fees based upon revenue generated. This business would be looking at 12,435 for some of their base application and license fees and permit fees. So just to give you an idea. Lets see. And then, also, in the provision of the various codes, file number 171042, which is creating the permitting structure with the office of cannabis, there is a require there is a stipulation that allows the director of cannabis to be able to apply a fee waiver or reduction. And while there arent specific criteria set out in the ordinance, the director will b