Okay good morning, everyone. Welcome to the budget finance subcommittee for wednesday, april 6, 2016, my name is mark farrell im joined by supervisor katie tang and supervisor yee want to thank linda as well as Jennifer Lowe and charles kremack madam clerk, any announcements . Yes. Completed speaker cards and documents to be included should be submitted to the clerk. Items acted upon today will appear on the april 12th board of supervisors agenda unless otherwise stated. Okay. Thank you madam clerk will you call item one. An ordinance amending the planning code for the establishing fees. Okay thats correct colleagues at the request of the depended after Public Comment to continue this item for a week unless other comments by the Board Members comment anyone wish to comment seeing none, Public Comment is closed. Colleagues, can i have a motion to continue to the april 13th budget meeting well take that without objection. Madam clerk item 2. Item 2 resolution approving the issuance of tax revenue obligation i the California Authority for the principle not to exceed 10 million for the facilities owned by the school of San Francisco. Okay. Thank you do we have the gentleman. Im from the Controllers OfficePublic Finance thanks for considering the item in attention camilla the tax responsibility with the Tax Exemption on issues for the tjpa in this case, the city issues the citywide authority or c s da the Transbay Joint Powers AuthoritySan Francisco is a member the authority is issuing the bonds for participation and other forms of indebtedness the resolution before you today because federalist tax law in which the project is located approve the project and after the Public Housing is it can be issued on a tax exempt basis city and county of San Francisco is not general Obligation Bond for payment on the embodying bond and published a notice in about San Francisco chronicle the public hearing was held and no comments if any members of the public assuming all the riders approvals are objected they will issue an transaction not to exceed 10 million the cancel is seeking to 10 million in taxexempt obligations to refinance an existing loan the amount of approximately 9 million plus which was used to acquire and install and rehabilitate equipment at 645 broadway in San Francisco and to pay issuance of financing an approval of this legislation wouldnt have an impact to the city and county of San Francisco any fiscal impact it is a Jewish School for k through 8 the school is established in 1963 to inspire the students to lead lives of purpose and an welcoming Community Deeply enriched by jewish tradition and an brochure enrollment of 4 hundred students in supervisor yees district. Thank you very much colleagues, any questions i appreciate we have no budget Analyst Report anyone wish to comment on item 2. Sir, can you step up to the microphone everyone has 2 minutes. Well, i just dropped in one thing id like to say that means when someone gets very upset it is a jewish word every Independent School sha show have the right inform different languages needs specific people to keep specific languagess so when it comes down to funding specific language type of schools i think San Francisco, california do that should be able to give an extension i was coming by the Supervisors Office you guys know me quite well the governing board is like the federal board your supervising each individual district if youre district has a school that teaches specific languages or things i think San Francisco should be able to come up with some process where they can do that as Tax Exemption whatever over and over a bay is a good word sometimes, i get anger and say that word it is a different language and different skills you work put together i think San Francisco, california afford to help a Jewish School my name is lee and you have a good day thank you. Any publion item 2 seeing none, Public Comment is closed can i have a motion . Sorry supervisor yee. I want to say i had the chance to visit that school it serves as a mentioned 4 hundred students and it is providing a Great Service not only in district 7 but for those who are coming throughout the city to attend the school i hope youll be supporting this id like to make a motion. Motion by supervisor yee well take that without objection. Madam clerk item 3. Ordinance amending amending the administrative code for the finance repairs and improvements needed to abate vision of inspecting. This was sponsored by supervisor wiener who sponsored this im going to turn it over to him. Thank you, very much mr. Chairman this legislation is part of a broader effort ive been working on with various city departments as well as advocates the community to try to improve Code Enforcement and ramp up the Code Enforcement effort in San Francisco to address a serious code visions with delipidated buildings and issues that really impact many tenants as well as neighborhoods when you have a building that is delipidated are falling apart and violating codes it is a health and safety and quality of life issue we need to do more to address our Code Enforcement deficiency if San Francisco on monday, i had legislation a few piece of legislation that came out of the Land Use Committee to next tuesday to reform expand and streamline San Francisco approach to Code Enforcement so that we our city departments are enforcing the law the goal is not to be punitive the goal so bring buildings into compliance and have safe healthy surrounding for people that live in those buildings and live around them and so in that spirit we know that there are pertains in the city particularly open spaces that h small Property Owners that want to be in compliance but not to have the resources last year, i was able to thank you, colleagues for your support approximately 4 million split between two fiscal years that you are think requires to create a Code Enforcement resolving loan funds the idea this 4 million would form the basis of a fund where a small Property Owners in particular could receive low interest loans to help them correct code deficiency theyll pay the money back and replenish the fund that approximately 4 million sits in reserve and once we pass the legislation the item before you it can be loaned out the legislation creates the resolving loan funds it will be funded later youre going this reserve money i hope as part of budget process that is coming up we are working the clerk will take the roll with the department of building inspection and the Mayors Office of housing and Community Development to come up with policies and procedures for this loan fund. The funding that is sitting in reserve comes from building inspection fees useless recall that last year the dbi proposed we accepted a reduction in building fees because dbis reserves were getting large what we did he with made the reductions somewhat less and that went into too this reserve that whether fund the loan because it comes down from that building inspection fees it can only be used for building inspection related issues so the Building Code the electrical code, the green housing code and the housing code and the mr. Flanagan code those are broad categories in terms of bringing the buildings up to standards and all expect in terms of safety and health, i ask for your support and skoovd is r Sophie Hayward here in the Mayors Office of housing and Community Development if there are any questions thank you thank you, supervisor wiener colleagues, any eggs he questions okay opening it up for Public Comment anyone wish to comment on item 3 seeing none, Public Comment is closed okay supervisor wiener tutor bringing this forward can i have a motion . To send that forward. So moved. Motion by supervisor tang well take that without objection. Madam clerk item four the distribution of common stoke and authorizing the durability to into enter into agreement to accept the distribution of shares with the stakeholders architecture in order to amend it with the stakeholders agreement. Mr. Wagner from dpw. Good morning cfo department of Public Health the resolutionblast before you relatives e re89s to the membership and an Group Organization that was formally University Health care to pool the purchasing power with other Health Systems for materials and metal supplies a year ago u h c merged with another organization and under the new Corporate Structure for the organization which is now called busy u h c members receive common stock shares in the organization on a perforate 83 based on the membership were authorized to accept those shares of stock at the this time there really on asset on paper only closely Held Corporation but having those shares will allow us is a say in the governance of the organization that is helpful we do a lot of purchasing and has a potential financial upside for the city at sometime in the future and i think their really very little identified Going Forward were asking for your acceptance of those stocks that are held in trust. Thank you, colleagues any questions okay calling names any Public Comment on item 4. Seeing none, Public Comment is closed. Colleagues if no other questions love to entertain a motion. Ill make a motion to move forward i move we send it to the full board with a positive recommendation. Madam clerk item 5. Ordinance 30 years the execution of the participation in an aggregate not to exceed 95 million to provide fund to assist in the development, acquisition, construction or rehabilitation of affordable renting housing project. Good morning jane i didnt with the Controllers Office of finance the item before you to execute and discover in an agency gate amount not to exceed 95 million for the housing projects ill including phase one and phase two known as rad and construction for the Affordable Housing on city owned parcels the state will be borrowing and repaid the Housing Trust fund and the approval of this ordinance the board will approve all dloush documents in the form including a supplemental to the property lease and supplemental property lease and other markets to the prior sale this ordinance approves the preliminary official statement back to the board prior to the sale the certifies are delivered to the supplementals again, a trust agreement property lease all which were dictated may first 2009 there leased property is secured and related agreement are in the laguna honda implementation that serves as a seat for outstanding series 2009 ab and 12 a which is why their supplementals to the original document the lease property is located on laguna honda an evaluation of 5,001,934,000,000 and has a capacity of three hundred plus Million Dollars to, available and the proposed authorization not to exceed 95 will be the remaining capacity the laguna complex this authorized total of 95 million is a 6 million that allows for flexibility and counts for interest experiences between the issuance and is use of funds the co p are not to be sold until 2017 it allows mohcd to move quickly to respond to marking conditions as the this allows the office of Public Finance to authorize the paper prior to the issuance and a authorized the kropz depending on the housing projects fund the Mayors Office of housing and Community Development will only allow the specified expenses ill be happy to answer any questions you may have. I have benjamin here with mohcd to provide more background on the project. Good morning, supervisors my name is benjamin the cfo for the Mayors Office of housing and Community Development were going to do go over a few slides to highlight some of the items that jamie mentioned as you may know the Housing Trust fund is set aside for housing approved by the members in 2012, the allowance are multiple single families and down payment and the assistance in order to address the housing crisis the last two budgets approved by the board have included borrowing against the transfused as loud the 20142015 and 20152016 aa o have appropriated money from the trust fund leveraging with an additional 25 million for 20162017 total of 75 million for housing uses as jamie mentioned the repayment will be from trust Fund Allocations this shows the summons with the cost of issuance and the marketing conditions bringing the total to 95 million approximately 70 percent of revenue is appropriated for the rental program in partnership with the hubbed for four promotions in those multi family piling e pipeline and Treasure Island and a portion of hope sf even though the rad project is underway the investment is not needed until rehab of each building because of that the phase one is the cropping fund is needed with additional cropping revenues in early 2018 or 19 those projects are underway and the ability for the office to move quickly and respond to the changes the market potential trick or treaters and borrowing costs were asking our approval so we can begin work on the projects ill be happy to answer any questions you may have. We have kate hartley director of housing to answer any questions. Okay. Thank you very much colleagues, any questions right now for staff okay mr. Rose, can we go to your report. For item 5 please. Yes. Mr. Chairman, and members of the committee on page 5 of our report we note summarized in table 3 which is on page 7 of the report the total Affordable Housing project development or estimate at one billion dollars plus of which the Housing Trust fund be contribute one and 79 million plus that includes 75 million from the cropping freerdz to construct a total of 3 thousand plus Housing Units on page 8 of our report we report that the requested not to exceed 95 million will be issued for thirty years assuming a one 83 million plus issuance and a converting 7. 5 Interest Rate the this will result in a total estimated design team service 200 million over a thirty year period the 200 and 13 plus total includes a one and 29 million of interest and 83 million in principle that is based on estimated afternoon annual design team service of 88 thousand plus we replacement not to exceed 95 million of cops will be from future housing fund we recommend you approve the ordinance. Thank you, mr. Rose colleagues, any questions. Mr. Rose question in your naufs you have a conservative 200 plus figure. That was an estimate by the Controllers Office. Okay real quick what are we seeing on todays market the cops. So most recent cops were around 3 and a half percent so 7 and a half percent is a conservative amount were allowing a buffer in the market over the course well decide. Colleagues, any questions for mr. Rose or the staff can we opening it up for Public Comment anyone wish to comment on item 5 seeing none, Public Comment is closed. Colleagues motion to send i move we send it to the full board with a positive recommendation to the full board. Mirena burns call items 6 and 7. Item 6 resolution approving the figure it out amendment for the probation and the leaders in alternative for the reoperation of the Community Assessment and Services Center to increase the policies monument to 500 million plus and located on 6th street for the adult probation at 71 thousand. Okay. Thank you very much i know we have a number of people to speak on the item. Barbara on behalf of supervisor kim the experience of items six and seven