This. Hernandez and ianes. Clerk please make sure to silence all cell phones. All documents should be submitted to the clerk. Items acted on today will appear on february 27th innocence otherwise stated. Chair thank you we are also joined today by supervisor jeff shea. Thank you for joining us. If you can please call item number 1. Clerk item number one is ordinate submitted by supervise is r sore for the amended regulated codes to impose a 1. 7 tax on the grocery sheets from the rate of commercial space for low and middle Income Housing and social services. The chair thank you. So this is a measure that myself, supervisor shae and supervisor tang and supervisor colin and now farrell all signed and promoted. If i have forgotten any names, let me know. But this has been something that we have been talking about in this building for years. But in earnest we have been talking about this issue of housing and the housing crisis for the past year. This really began with the conversation about our inclusion near housing update. It was the first time in 15 years that we updated our inclusion near housing, and we were really, really conscious about making sure that this was not a conversation about taking and robbing from peter to pay paul. And i made a comment then that you know paul hasnt had a drink in over 20, 30 years. And what i meant about that was those that are working in middle class families and those that traditionally were able to access housing in this Housing Market are no longer able to do so. And as someone that has lived and worked in the excellier for going on 15 years in the southern part of San Francisco that has traditionally been a working familys part of our city, that neighborhood that would sell for 200,000, 300,000, those homes are going for well north of 100 1 million and same thing is happening in peaks and glen park. Our super vision sore lives in glen park and has expressed that story. So many of the neighbors that were accessible to are working families have disappeared or are disappearing rapidly. So this conversation, at least from my perspective, from what im coming from. Is how will we, one, include working familie families and those that work in organized labor. Teachers, nurses, firefighters, those in the building trades. Those in the teamsters, those that are cleaning our hotels are those that are caring for our children. Those in the nonprofit sector. So many of the different folks that are part of our working and middle class families, how are they going to be able to continue to live in San Francisco . And how are we going to expand housing and how are we going to ensure that we have a well balanced city . Because if anyone and i know many of the folks on this board are students of history, any time a city becomes so out of balance that its middle class disappears, that is a recipe for a failure for our city. And its happened over and over and over again. So i believe and i think many of the people in this room believe and we all are pretty much unanimous on this board, that we are beyond a crisis in San Francisco. This is truly a crisis of dramatic proportions. And so this attempt and in measure, this housing measure is a step that we believe its not a silver bullet. Its a step we believe in the right direction to fill buckets of funding that dont have steady Funding Sources. So going back to the robbing peter to pay paul, when we are talking about low Income Housing, we have gone and done very, very aggressive measures. The Affordable Housing bond. The Affordable Housing trust fund. We have the lohausing Tax Credit Program although it might not be enough. We have millions upon billions of dollars to fund low Income Housing and those are for families making 50,000 a year or less but anyone above that or anyone slightly below that going tonight that category doesnt have an existing Funding Source. So we are talking about folks in the 70 to 150 ami range when we are talking about middle and working class families. And then we have this added conversation that no one can avoid, and its visible and its real. And we confronted it on a daily basis and that is our homeless crisis in this city. And it is vexed the city for decade. It is something i know everyone in this room has a strong reaction to and believes strongly in. We have dedicated public servant, the director of homelessness and Supportive Housing the director of housing. We have the nonprofit sector. He we have folks in the Supportive Housing net work. We have so many different people that have dedicated and are dedicating their lives to dealing with this crisis. But again this is not consistently a Funding Source to housing individuals who are homeless or formerly homements. Yes we will not be able to deal with this crisis on our own. It is a regional problem. It is a state problem. It is a federal problem. But this again is a step in the right direction with the housing funding measure to create funding streams. After my presentation, and my opening remarks i will ask the departments to come up and do their presen presentation. And then we will hold questions from this body to after Public Comment and remarks from this body. Because i know my colleagues here have some really strong statements and supervisor shae was a major part in putting this initiativing to but im going to ask you for you to hold on your remarks and we will have the department speak. But i wanted to say also a little bit about how this came about slightly a little bit more. So we had the conversation about inclusion near housing. At the end of that we talked about funding. And then we started having conversations about how we can create more rev if you for the Funding Sources. Homeless and formerly homeless along with working and middle class fundings and transitionalaged youth and low income seniors we are talking about purchasing property and acquiring property but we are also talking about creating new property and creating new units of housing. So actually and i share this with the general public because it had such an impact on me, the day that mary lee passed away i was with him mayor lee pass the away. I was talking to him just before his death and we were talking about this issue. And he was saying to me about how dedicated he was and how committed he was to putting tremendous amounts of money and effort into getting people off of the street. That was his number one priority and i expressed to him my desire for creating working middle class families and that was the basis of this final conclusion of this coming together. We had been in conversations since the beginning of last year but more in earnest once we passed inclusion near housing in september, october with the Business Community, some of whom will come up and speak with them today. The Business Community knew that we wanted to create new revenue. Where we were going to go for that revenue we hasnt fundamentally decided 100 but the conversation about new revenue came and we do have other measures that are on the ballot that are similar in nature and are going for similar Funding Sources. But at the end of the day, in our conversations with those with the Business Community it was very clear that housing was a crisis for them too and they were committed to this issue. So the final day, the final conversation with mayor lee is where this really came together and then we worked in earnest over the last two month with many people in the room from the housing sector and from labor, from the Business Community and from the Department Heads and we brought this Initiative Forward with the support of five of my colleagues, including myself, and we are committed to seeing new revenue for a crisis in San Francisco that we believe that we should all be a part of. So the at the end of the day we named this housing for all and we are committed to seeing this forward. So im going to stop there. Im going to ask the departments to come up kate martially from the Mayors Office of housing and martin from homelessness in support of housing and they will have their presentation and we will take Public Comment and open it up for questions for my colleagues. Good afternoon, supervisors. Jeff with the department of homelessness and Supportive Housing. I want to talk about the overall purpose of this measure and specifically how it will impact the lives of people. Experiencing homelessness in San Francisco. As i said at the two other hearing that i attended today the solution to homelessness is housing. Its not shelters its the not temporary measures we need to have more housing in the city that said forrable for people at a various active different income levels and that is it key to ending homelessness in San Francisco and around the country is having more Affordable Housing and im pleased that this measure does just that. It will provide additional housing and shelter for people experiencing homelessness and it will create interventions to help prevent homelessness and will prevent single room occupies Hotel Residents to help prevent homelessness and help control with building and affordability and build new housing for middle income households. As you know we have a very serious homeless crisis here in San Francisco. When we did our important time count in january 2017 we identified 7,499 people experiencing homelessness on that night. However during any given year we have about 21,000 people experiencing homelessness here in San Francisco. The problem is very visible here. 58 of the Homeless Population is unshell erred, one of the highest unsheltered Homeless Populations in the u. S. 32 of the population who are experiencing homelessness, or over 51. 39 pars report having some sort of psychiatric condition. 31 report Chronic Health issue and 41 report having drug or alcohol abuse issues, and 18 are transition aged youth from the aims of 18 to 24 years old. This problem has certainly been noticed by the citizens of the city and county of San Francisco. Will you see it here, we are experiencing nearly 5,000 nearly 10,000 calls and the 311, and to 911 with people who have concerned about homelessness or homeless encampments. We can talk just for a moment about what this measure will help to address. That 45 of the revenue, approximately 30 million a year over a 12year period of time will be spent on addressing homelessness. It will help expand a Rapid Rehousing Program for youth. Really focusing on help. Ing the transition aged youth population, be able to serve 100 youth a year to help them get off of the streets and into housing. That is 1200 people during the life of this tax and with it will also help them find employment as well. It will help fund 350 units of new permanent Supportive Housing to serve individual who are experiencing homelessness. And it will provide funding for permanent funding for three of our Navigation Centres. We are constantly opening and closing nav centres for 12 years with 100 additional beds as well as opening up a new Navigation Center for transitioned youth. Alltold with this funding we will be able to assist nearly 25,000 people experiencing homelessness. And again i just wanted to point out that 20 of the fund will be used to serve transition aged youth and again that will be through that Rapid Rehousing Program and a new Navigation Centre. And i will turn it over to my colleague kate hartly from the mayors housing office. Good afternoon, kate hartley, the director of Community Development and housing. As the supervisor described this measure provides critical Housing Resources so a continuum of need. And as jeff kasitski described we need serious Additional Resources for homelessness but we also need gaps in our delivery for Affordable Housing for very important members of our community. And just to talk about what we are up against, our housing crisis is exacerbate by many things that are complex. First of all, we have diminished resource, from the state and federal government. We have extremely High Construction costs which continue to rise. We have historically low production in San Francisco. And across the country, there is increasing income disparity that has led to rising rents fueled by our strong economy. So this graph shows the availability of apartments in San Francisco relative to increasing costs. And i think that its pretty self explanatory about the need for additional housing. I know that theres many people in this room who themselves have been hurt by the housing crisis. At least Everybody Knows friend and loved ones who have just to take an example, a household of 3 in San Francisco. That makes 80 of area median income. Say two wage earners and a child. They make about 83,000 a year. A good salary. Two people making around 40,000. These job types that where would you earn that type of salary includes construction workers. Teachers aids. The developers can cover the cost ask we with house the extremely low income seniors safely and permanently and also as we have discussed, middle income households have no federal programs with which to assist their housing need. They have to state programs. In measure will help us address that hole in our housing ladder. We will use most of the money for acquiring and rehabilitating existing rent control buildings that means it is an antidisplacement measure. It will serve people at an average income of 80 ami. Which also allows us to serve people at slightly higher incomes and extremely low incomes sort of balancing out the range of people we conserve. In addition, these funds can be say this housing speaks to the microcosm of issues we are seeing in chinatown in virtually every facet of the measure. For years now, the tenants we work with, particularly at the Tenant Association have been supporting Affordable Housing, yet they dont have enough income because most folks are in fixed, in. They dont have enough income to actually qualify for Affordable Housing. This deal with. That for years now we have been fighting against gentrification and eviction and displacement in the neighborhood surrounding chinatown which actually used to be 40 chinese at one point. This measure will address that through the middle income piece to actually loot city to expand its Small Site Acquisition Program and i really want it relabel this into an antidisplacement acquisition program. I think its really critical for folks to think about it that way. The same something now happening to our sros. Sros are going crazy in terms of rent. Speculators are looking at them and buying them and kicking people out this. Will help us address that as well. Nobody is talking about that issue as well. And it needs to be talked about. And lastly homelessness, is a huge issue in chinatown. I cant go to any Community Meeting without this issue coming up we have been pushing for a nav centre and pushing hard for a nav centre and every time im told we need more funding for the nav centre and permanent supporting on the back end. This measure will support. That please support this measure. Thank you. The chair thank you. Next speaker. Good afternoon. My name is joseph. And ive been formally homeless for many years and im moving on and i want to support changes especially when it comes to homeless and the people on the streets because that brings the lack of protection in the homeless and the stability in the city and crime. We need to provide more funding for housing. And i support jeff kasinski100 because he makes a different city. I want him to run for mayor of the city and i thank you so much for your time. The chair thank you. Next speaker. Good afternoon, have advisors. Mark gleason with Teamsters Joint Council 7. Our organization sits with private sector employers throughout the bay area attempting to get good wages and benefits and i think we are exceeding with that. But our members that receive those wages and benefits and im talking about members who work in the solid waste and recycling industries and the hotel sector, the construction. Private sector. Bus drivers, automotive workers and so many more, regardless of what we are able tie chief for them at the negotiating table, it is not enough for them to stay here. And they find themselves sevenning with their families for adequate housing. Outside of San F