we need to inform our young people what is happening in that community. they are the ones who are going to live there in the future. when you reach a certain age, you close your eyes and go away and our baby's thigh and our youth have to have an environment where we, as we are the warriors and we are good people, we maintain quality of life issues. i don't want to go into detail so you can connect the dots. the navy, as it is allowed to do what it wants to do -- including creating a lagoon -- we have to be very leery of the navy and we have to be very leery of how they expand their money on hunter's point. thank you very much. >> thank you. >> good afternoon, commissioners. last time, i promise. i'm with the san francisco green party. i want to throw back this comment to the communications. i thought there was going to be a verbal presentation on the composting toilet tissue and hopefully you all saw that presentation and it was really exciting to see such an excellent report that shows it to the extent you're going to do major sewer improvements, it could actually cost effective to install composting toilet systems even in large buildings. that is a really exciting piece of work. every time i have run into tommy in the halls -- it's great to see this come forward and it's very exciting. i have a couple of suggestions. in bed basis and a couple of months ago, there was a news report about a contractor in the east bay that is going to make a presentation to some agency which was never specified in the san francisco government doing new outdoor toilets because we all know how successful the french ones were, and that is not very. these new toilets would be ego toilets, well design, open-air toilets, a lot like some of them in europe. very cutting edge stuff. even though they are 40,000, 50 -- $40,000 or $50,000 units, these toilets do not use water. they separate liquid waste from a solid waste that they do not compost the waste right there as the report shows can easily be done. my thinking is, reach out to whichever department is hearing about this new toilet idea. explore the possibility with them. if they're going to spend $40,000 or $50,000 on these outdoor toilets, we may as well spend more to make them compost on site. we could use various different models to learn what are the best composting strategies. the other ideas are to explore putting these systems for multiple users in single-room occupancy hotels. that might be a good place to introduce these. it would not hurt to try couple of composting toilet said in there as well. thank you to the staff for incredibly exciting report. i hope you look at. thank you. >> thank you. >> next item. >> the next item would be the consent calendar. all matters listed are considered routine by the san francisco public utilities commission will be act on base single vote of the commission. terms and conditions offers the general manager to access on behalf of the city and county to extend the term for two years under the current lease at rawlings work and at burning game. -- burlingame. improve the election and water improvement program funded agreement, engineering service, fish passage facility within the alameda creek watershed and authorize san francisco public utilities to execute a public service agreement with the u.s. corporation in an amount not to exceed $2,000,000.300000 -- $2,300,000. the contract and pipe installation on new mcgovern, stevenson, to the lowest qualified responsive better to replace renewed aging water pipes. -- the waste-water facility alighting efficiency at no. friends the oceanside to replace aging high intensity lighting features with high efficiency light a meeting diode fixtures for a contract of $500,093. -- 500900 -- 5000 -- >> so moved. >> we have no speaker cards. >> all those in favor? >> opposed? the motion carries. >> the next item is regular business. discussion of possible action to authorize the general manager to enter into equipment lease purchases with bank of america not to exceed $8,291,070.87 in qualified energy conservation bonds and $6,600,000 in new, clean grenoble energy bonds for installation of qualified equipment in the office building project at 525 golden gate ave. and authorized legislation to the board of supervisors for review and approval. >> good afternoon. i am the deputy chief financial officer. i have a few slides, mr. secretary. we have two requests before you today bundled as one item. we have to capital financing requests for green-related projects within the enterprise. we have project budgets that have been improved over the past couple of years. they require financing at this time. it has been about three years since we last shared with you capital financing. the last one was in 2008. we'll just go on. we have about 14 $29 million in project expenditures that will be funded with these two transactions. we have what are called qualified energy conservation bonds and 6.6 5 million in clean, renewable energy bonds. these actually result from a federal tax credit allocations provided to this city for green- related projects, specifically those of these provide a tax credit similar to what you may recall from our water financing with the build america bonds. it is a similar concept. the interest subsidy brings the overall borrowing costs under 2%. if we were able to pull the trigger today, they would be closer to about 1.2%. very, very low borrowing costs for us. we do anticipate these transactions to occur. the qualified energy bonds of december and the financing will occur in the spring. this is to fund the green components of our new headquarters building. solar, wind, the living machine, which is the water treatment, solar to control temperature and lighting within the structure. three projects will be funded with these moneys. the in line of micro hydro, which is a small generation plant placed within the water distribution system as well as to traditional solar projects. in terms of vendor outrage, we can best pretty much every firm that does this sort of financing. six of them responded and bank of america came in at the lowest cost. bank of america was the provider three years ago. they are familiar with us. i can appreciate that the doctor -- the documents are low-volume this. but keep in mind there are two sets of documents for the two transactions. but if i could quickly walk through what has been provided, the purchase agreements describes the equipment pledge and repayment terms. the acquisition fund agreements describe how the bond proceeds will be held and how reimbursement will be claimed for project expenditures. the filing agreements describes the relationship in terms of filing the appropriate documentation with the irs so we get our subsidy that we absolutely need to bring our net costs down. for the financing terms, we are aiming for 16-years and borrowing costs under 2%. we will more than likely be in the 1.5% range once we move forward. i do want to thank my a debt team under the new debt manager, along with his folks. they do all of the heavy lifting as relates to the bond transactions, not just this one. i like to thank them for their support and i'd be happy to take your questions. >> that rate is extraordinary. >> you cannot be dead. >> comments, questions? >> i think it's very exciting. thank you for all your hard work. it's great to get these rates and projects going. >> thank you. >> some time ago, i sat down with taut and charles and we reviewed a few things this is talking about getting educated on issues. we had a real good conversation which has allowed me to talk to many university students about the bonds and other stuff. these two gentlemen will tell you that i left a happy camper. i did ask them questions that never expected me to ask because most of my questions dealt with issues in the community which comes to the point i'm going to address now. i was at a meeting with city operations where we are taking how we do our investments. talk about the municipal banks and models used in the quarter. i think todd will enlighten you on that type of model. what i am pleading on behalf of the 99, because i and advocate, you know. we have the 1% and i belong to the 99. we do not have too much money, but hopefully we have a good heart and hopefully we can speak the truth, and hopefully we can do some good action so that when we leave this world, we leave a better place. when you say bank of america, i kind of get a heart attack. you know the bank of italy and their headquarters was in san francisco and now they are in north carolina. i know how the takeover took place. todd and charles -- hopefully they will look at ways of investing and stay away from any entity that has a lot of toxic loans. any entity that has participated in that algorithms, where they brought the downfall of our economy. thank you very much. >> thank you. >> i believe i need a motion. >> so moved. sion? all those in favor? opposed? the motion carries. next item. >> item 12, authorizing the general manager of the san francisco public utility commission to execute on behalf of the city and county a lease for the chevron pipeline company pursuant to charter section 9.108 and requests the director of real-estate division prepare and submit legislation to the board of supervisors to approve a 20-year police in alameda county to operate and repair existing petroleum product pipelines for an annual rental payments based on appraisal in the amount of $10,000. >> good afternoon. i am the real estate director and i'm here to ask you to approve our third lease with chevron pipeline company in this location. our staff report is comprehensive and i'm happy to answer any questions you may have. >> commissioners? >> i think that was very clear. this goes back a long way to leases with chevron. if there are no questions, comments -- >> quick comment i see no reason not to move forward with the item. i appreciate to meet with staff and discuss ways to move forward and hopefully get a little bit of advice from the city attorney's office and discuss how moving forward, these leases will address in particular maintenance agreements, especially outside of the city limits. i appreciate your time and time staff has given me so that we can kind of move forward. i look forward to having those meetings. >> thank you. "may i have a motion? >> so moved. all in favor? all opposed? the motion passes. the next item is a closed session. he would call for any public comments in a closed session? >> any public comment for the items we are hearing in closed session? >> if you would entertain a motion to invoke the attorney- client privilege and allow me to read the item and move the motion. >> so moved. all those in favor of? the motion carries. i will -- >> i will read the item. >> threat to public services are facility, consultation the agency chief of security, conference with legal counsel, existing litigation of the defense -- conference of legal counsel, anticipated legal obligation as a plaintiff, conference with legal counsel, existing litigation for the existing litigation for the county of san francisco. >> we are now back to open session. the announcement is item 15, no action. 16, no action. 17, no action. 18 failed. may i have a motion whether to disclose? >> motion not to disclose. >> second. >> all those in favor? oppose? motion carries. asking our there's any additional business -- asking now if there is any additional business. >> i would like to raise now in the event that we discuss it in more detail later. i see a letter here from larry mazzola jr. regarding matters surrounding leaves of absence and policies. while i do not believe it is within our jurisdiction to deal with the personnel matters at the distribution yard, and i want to be kept in the loop on how we resolve those issues. there are also questions we would have as well. i just wanted to ask that we would have a conversation about that. >> ok. any other business? seeing none, this meeting is now adjourned. ♪ >> hello, and welcome to the department of elections right choice voting instructional video. it is part of the department of elections right choice voting outreach campaign and is designed to educate san francisco rig franciscoht choice voting. today we will learn what it is and who is elected using this voting method. we will also talk about with the ranked joyce l. looks like and how to market correctly. finally, we will see how the ranked joyce voting process works and to you an example of an election using ranked choice of voting. so, what is ranked joyce voting? in march 2002 san francisco voters adopted a charter to implement ranked choice of voting, also known as instant runoff voting. san francisco voters will use it to elect most local officials by selecting a first choice candidate in the first column on the ballot and deborah second and third choice candidates in the second and third columns resect to do -- respectively. this makes it possible to elect local officials with the majority of votes. more than 50% without the need for a second runoff election. in san francisco, ranked choice of voting is for the election of members of the board of supervisors, the mayor, sharon, just -- district attorney, city attorney, treasurer, this is a recorder, and public defender. ranked joyce voting does not apply to elections for local school and community college board members. number the election of state or federal officials. ranked choice of voting does not affect the adoption ballot measures. when voters received their ballot, either at a polling place or an absentee ballot in the mail, it will consist of multiple cards. voters will receive cards with contests for federal and state offices, as well as for state propositions and local ballot measures. for ranked choice voting contest, voters will receive a separate ranked choice ballot card. it will have instructions to rank three choices, which is new. the ranked choice ballot is designed in the side by side column format that lists the names of all candidates in each of the three columns. when marking the ranked choice ballot, voters elect their first choice in the first column by completing the aero pointing to their choice. for their second choice, voters selected different wind by completing the arab pointing to their choice in the second column. for their third choice, voters elect a different candidate by completing the arrow pointing to their choice. voters wishing to vote for qualified write-in candidate can write it in on the line provided. and they must complete the arrow pointing to their choice. keep in mind, it voters should select a different candidate for each of the three columns of the ranked choice ballot card. if the voters elect the same candidate in more than one column, his or her vote for that candidate will count only once. also, a voter's second choice will be counted only if his or her first choice candidate has been eliminated. and a voter's third choice will be counted only if both his or her first and second choice candidates have been eliminated. we have talked about how to mark the ranked choice ballot. now let's look at how ranked choice of voting works. initially, every first choice vote is a candidate. any candidate that receives a majority, more than 50% of the first choice to vote, is determined to be the winner. if no candidate receives more than 50% of the first choice votes, a process of eliminating candidates and transferring votes begins. first, the candidate who received the fewest numbers of first choice votes is eliminated from the race. second, voters who selected the eliminated candidate as their first choice will have their vote to transfer to their second choice. there, all the votes are recounted. fourth, if any candidate receives more than 50% of the votes, he/she is declared the winner. if no candidate receives more than 50% of the vote, the process of eliminating candidates and transferring votes is repeated until one candidate has a winning majority. now let's look at an example of an election using ranked choice of voting. in this example, we have three candidates. candidate a, b, and c. after all the first choice votes are counted, none of the three candidates has received more than 50%, or a majority of the first choice vote cast. candidate a g-205% ofb the votes% received 40%. and c received 35% of the boats. because no candidate received a majority, the candidate who received the fewest number of first choice votes, a candidate a, is eliminated from the race. voters to pick a candidate a as their first choice candidate will have their but transferred to their second choice. and the voters to pick and a, 15% chose candidate b as their second choice, and 10% chose c as their second choice. these votes are then applied to b and c, and the votes are recounted. candidate b now has 55% of the votes. candidate c as 45%. candidate b has more than 50% of the votes and is determined as the winner. >> thank you for watching. we hope you have ranked choice learned ranked choice of voting and was elected. you have seen the ballot, learned how to market, and learned how the voting process works. if you have any further questions about ranked choice voting, please contact us at department of elections, city hall, room 48, 1 dr. carlton be good lit place, sentences go, california, 94102. or 415-554-4375. visit our website, www.sfelections.org.