Item of the agenda when your item come and up comment is called line up to speak to your right my leftment along the curtains and not necessary on provide Public Comment we invite to you fill out a card and leave them on the tray by the doors. If you wish to be recorded for the minutes. You may submit comment in the following ways e mail them to myself the budget clerk at brent. Jalipa sfgov. Org. It will be forwarded to the supervisors and include part of the official file. You may send written comments Via Postal Service to city hall 1 dr. Carlton b. Goodlett place room 244, San Francisco, california 94102. And madam chair itemed acted upon today will appear on the supervisors agenda of april 30 unless otherwise stated. Thank you, mr. Clerk. Before we call item one. Would like to reminds everyone that we have quite a baptist item for budget and legislative Analyst Reports today. And for those items well have Department Presentation first, followed by budget and legislative Analyst Report. Then have a discussion on the floor. And go to Public Comment. And so with this, mr. Clerk call item one. S item one, a resolution approving and authorizationing the director of property to enter in license to use and with honey bee foods. Doing business as jolly b usa for 414 square feet under ground of mihal day plaza effective upon approval of this resolution. Through december 82034 license fee. Of 1200 annually 3 increases thereafter and authorize being the director of property to enter in amendments or other modifications to the license that dont increase the obligations or liabilities of the city. For the purposes of this resolution. Thank you, before i call on you this is continue friday previous week. And what was amendd and that required continuance was the base reasoned a conciliation from a monthly to an annual of 12 thousand dollars with that, i dont see names we have our discussion and i wanted to thank you for being here last week. And waited until the entire meeting to allow us to wrap up your item. I will go to Public Comment now i dont see names. I dont have follow up questions i appreciate this. And so go to Public Comment on this item. Invite public joining us here wish to speak on item 1 to lineup now and come forward. And all speakers will have 2 minutes to speak. We have no speakers. Thank you. No Public Comment it is now closed. And i would like to move this forward with recommendation. And roll call. And on that motion to forward this resolution to the full board with positive recommendation. Mandelman. Aye member melgar. Absent. Chair chan. Aye member melgar is absent. Motion pass. Call item 2. Item twol a resolution stake the appropriation limits at 11. 7 billion for 2324. And due to the addition of local nonresidential new construction and the percent change in population in the San Francisco metro area from the Previous Year for the purpose of computation of appropriations limit of the madam chair thank you and we have the budget the Controllers Office here. Thank you good morning, im michael from the Controllers Office. Im here to present the appropriation limit, i have a presentation but the Controllers Office does not let us use usb drive the pack was to use g sxhal not letting me log on you have the presentation in your packet. The limit is limit on appropriations direct from tax proceased this is a limit on how much tax revenue we can collect if we exceed this over 2 years we return the amount to taxicabs. To establish the limit we start with relevant appropriations in fiscal 8687 and since that time every year we have been increasing it by population and by measure of cost living. Sorry. In 2022 the citys population failed by 6. and. 5 we can choose the greater we choose. 5 . And the cost living growth is the california per capita or increase in assessment rules due to new xhushl construction. Irrelevant was 4. 4 the second 9. Upon 74 . We chose the 9. 74. And the total percentage increase is 9. 25 . We can use both temp rare voter approved increases and our tax measures include such an increase. In the past 4 years we have 5 tax increases include those for a total increase in the limit by 1. 6 billion. As the time limit runs out that will drop down and will have less of a credit. And here is the calculations last year limit was 9. 2 billion. And when we run the calculations the current is 11. 7 billion. Our total tax proceased subject to the limit was 6. 2 billion. There are exclusions to make voter approved capitol expenditures and federal mandate and it is social security. Our appropriation limit was 11. 7 billion and that makes us 6. 3 billion below the limp and that is my presentation. Im happy to take questions. Thank you. Good morning. From the bla item two of the resolution approves the annual spending limit of the for the city. Which is upon 11. 7 billion dollars. Appropriations subject amount to 5. 4 billion dollars. It is well below and recommend approval thank you. We dont have. We do this every year. And thank you so much for the information and thank you for the budget and legislative Analyst Report it is recommending approval. We will go to Public Comments on this item. Members of the public who wish to comment on item 2 now is your opportunity to prop and address this committee. We have no speakers Public Comment is closed. I would like to move this item forward with recommendation. And a roll call. On the motion to forward this resolution to the full board with positive recommendation vice chair mandelman. Aye. Member melgar. Aye chair chan. Aye. The motion passes. Item 3 amendmenting the code to prohibit the Fire Department from providing or using a personal protective equipment containing add p fas and polyflower ibing substance by june 30 of 2026 and requiring the Fire Department to conduct regular meetings and reports in Fire Commission regarding progress toward meeting the 26 deadline. Thank you. Colleagues. The lead sponse of this legislation which is president supervisor peskin and myself and supervisor safai are cosponsors. It is regrettable today i know that many firefighters are attending the funerals for the passing ofllow lute steven silverrich and will not be present today to join us. So have been asked us to continue this item. To a week. And that to allow our firefighters the time to grieve. This morning. And so, with that, i would like to for us to have a moment of silence i know the board of supervisors in memoryium and adjourn our meeting yesterday in memory of him. And so lets have a mobile home of silence before we go to Public Comment on this item. Thank you. Lets go to Public Comment. We invite the public who wish to comment on this item 3 now is your opportunity to address this committee. Thank you, no Public Comments. It is now closed. And i would like to continue this make the motion to continue had to next week. And roll call on this motion, to continue this ordinance to the may first meeting of the committee. Vice chair mandelman. Aye. Member melgar. Aye. Chair chan. Aye. We have 3. Motion passes. Call item 4 and 5 fort worth 4 is a resolution exempting from the Competitive Bidding policy in the administrative code the potential lease on a portion of the east end of sea wall lot 301 the sky star wheel llc for operation of the observation wheel. And adopting environmental findings. Item 5 is a resolution finding the lease and development of pier 3032. Sea wall lot 330 and 15. 3 acre site located along the embarcadero between bryant and beale feasible under the administrative code. Madam chair item 5 budget and legislate ever Analyst Report. Lets go to the sf port. Good morning, chair chan and supervisors mandelman and melgar im Michael Martin the port director. We will start with item 4, regarding the proposed waiver Competitive Bidding for the wheel and the whatever. Last year approached by sky star to consider the relocation of the wheel from Golden Gate Park to Fishermans Wharf part of the apec conference. We worked with them and able to authorize a temporary special event permit for 6 months at the parking lot at Fishermans Wharf and install in the time for apec. We benched their operations engaged with our commission and the community. And thought there was a benefit to continuing their tenancy beyond the sick months it fit in well as we await the longterm project of revitalized will develop that same location with visitors serving and retail uses. We have this time where we do negotiations and Environmental Review for the longterm we felt was a chance to aline this lease with our port plan to increase foot traffic and bridge the gap from the restaurant closures to the fasill uts and reenergy iegz Fishermans Wharf. We engaged in meetings for feedback it was very positive. Our Commission Approved a resolution on february 27 recommending to the board wave competitive bid to enter an 18 month lease. We are here before you hopefully seek your approval to move ahead. We are happy with the wheel so far. There has been 137,000 tickets sold since last november am 190 thousand dollars of rent to the port and can that will increase as we get to the summer and the rest of the year people are familiar with the attraction. So, we appreciate the mayor for sponsoring this item and appreciate your support and hopefully moveing for approval so we move ahead on this extension. Im here for questions. Your 18 month is the 18 months from the approval of the exemption or 18 months with the exemption guin the Lease Agreement for 18 months of lease. 18 months from the execution of the lease we cant execute until this resolution is effective but have authority to do that as soon as it is effective. My guess is beginning of may is your Lease Agreement the terms and condition as they exist . Or it will be different . By and large as it exists we added a few things. But received Community Feedback about the intensity and timing of the light show or lights on the wheel. Incorporated those to restrict and sky star taken those operational changes. Broadly the operation will be what you see as it looks today. If i understands and correct me if im wrong. Because the lose agreement is south does not trirg 9. 118 not coming to the board for approval . If that is the case, ksdz you elaborate about the lets agreement itself . That is true. Under 9118 we need Port Commission authority. On february 20th meet the port Commission Approved terms for the lose therapy attached to the resolution. Broadly the lease is our boiler plate form to protect the port from viability and required base rent and percentage rent. Encourages free tickets for under served communities. Similar to the license agreement with your approval we proceed on those same terms. Thank you. And im just looking at the attachment for the partial we have received a memorandum of information on the, on legislative file, looking at 18 month term. And Monthly Base Rent 10 thousand dollars and 185 dollars. To increase by 3 effective november of 24. Looks like that december 2023, that was impressive of 39,000 something riders generating 650,000. In gross revenue. That is impressive. And thats good news. Absolutely. We are seeing good ridership year over year compared with Golden Gate Park. Part is where it is. And we want to build off that we are plan to do more activation in the area next to the sky star wheel to attract more visitors the summer months come and the visiting season peeks. We hope to see them improve more. We are happy with them so far. Thank you and im sure you know i will say this, it is brother it is now than the original location. I have to say on record. I appreciate. Thank you thank you. Thank you. And go to item 5. Presentation. Move on to item 5. I will do a brief kickoff and hand it off. This pier 32 sea wall project is twhoon is important to the board. Over the last 25 years we seen a number of failed effort to develop at this attractive and challenging site. We think we have the right team to work on this between the port and our partners. We have been able to work with the bay conversation and Development Commission and the state legislator to address the regulatory challenges we are move to a feasibility project. You see in the item we dont Vice President that project yet we have more work to do, but advancing into Environmental Review and more dialogues we can find ways to bridge that gap. The import of the project is that we were in front of you talking about the flood study and the draft plan with the army corpse that will be an investment for the city to match federal investment this. Project is part of strategy to take as much of that hit off the taxpayers. This project because where it is located will build the line of defense for the embarcadero and that is a great Winning Strategy that bring activity and Public Benefits to what is now a surface parking lot and birth for us. And we think that is a way to also bridge the gap to the future we need to with Flood Resilience as sea levels rise. I will hand typeset to my colleagues. Good morning. Supervisors mandelman and melgar. Im here to talk about pier 32 sea wall 330 project. So first to talk about the project, there are 2 different sides. The first is sea wall 330, this will include phase 1 and potentially 2. Could go together or split t. Is two residential buildings with 15 inclusionary Affordable Housing and i land dedication for 100 Affordable Housing building the developer will look for a partner to develop that site. That would be funded by the development and generated there. 713 units total on sea wall 330. 25 which is affordable. The next piece is pier 32 across the street. The reconstruction of a single resilient pier. That is mostly office with a retail hall fronting embarcadero. Food market, retail along embarcadero and include significant horizontal infrastructure improvements, including recorrection of the pier and sea wall. There will be one of the flag ship things Aquatic Center with a pool and deep water for a cruise and military use. Speaks to where this is phased the first is the construction limitation. There will be intense construction on both sides that would be very, very challenge to do the same time. The second is financial. And i will talk about if the financing a bit the port will use similar financing tools to other port developments. The Public Financing with the residential side will help funds the pier side. Doing that side first you generate Public Financing for all of the pier and sea wall improvements. So. As i mentioned, the term sheet contemplates Community Facility district and infrastructure financing district project area they are similar tools what the port uses on pier 70 developments. And as mike said based on the current pro forma and market the project does require an additional 125 Million Dollars to balance. The assumption going in the fiscal study is identify additional sources and i will talk about those are. But fiscal feasibility and endorsement allow us to move forwards with additional confidence to identify the source. So, the first thing well look to is the market. Construction will take awhile on the pier side and the sea wall outside and office project. We are hope to see imprudent personments in the Office Market that could close that gap and completely. If the market does not improve we would look to additional public sources including impact fees. And utilizing tax increments or other tax source. Adjusting transfer tax, federal or state funding for infrastructure. We are working with army core this is in that flood study area. We are sharing revenue from east birth, any of these would be brought back as part of a Lease Division and Development Agreement we bring in the future. Finally to talk a bit about the term sheet. Contemplates several transaction documents including the develop that cover area and potential for Development Agreement and separate ground leases for each construction site. The projected time line currently based on execution in 2026, sea wall 30, 2028 to 31 and pier 32 to 2035 built on the assumption could change. 3032 lease a 66 year term with 900 thousand anual rent and the 3, 30 grounds lease 75 year term. Zero rent for affordable building to help that and 600 thousand dollarsanual rent for the other 2 market rate. Next steps after this step upon the developer made environmental evidences to planning. Well w on transaction documents and we will