All right. Ladies and gentlemen, good morning the meeting will come to order this the regularly the Budget Finance Committee excuse me board of supervisors budget finance subcommittee im supervisor cohen chair of this committee and to my left is supervisor katie tang and to my right is supervisor yee and our clerk mr. John carol and linda wong thank you jesse larson and phil jackson from sfgovtv so for assisting us today madam clerk, any announcements . Devices. Completed speaker cards and documents to be included should be submitted to the clerk. Items acted upon today will appear on the may 2 board of supervisors agenda unless otherwise stated. Thank you very much call the first item Revenue Bonds or commercial placing the total Principal Amount of San FranciscoInternational Airport subordinate commercial paper notes for any lawful airport. Thank you id like at a call kathy from the airport to make a brief presentation on this item. Good morning chair cohen im kate hartley with the San FranciscoInternational Airport if i might make a suggestion to call item 2 since the budget Analyst Report addresses both piece of legislation madam clerk, call item number. A aggregate Principal Amount of San FranciscoInternational Airport second series Revenue Bonds to finance and refinance airport capital plan aggregate airport shrina sami vs. The department of building inspection at 555 33rd avenue. Thank you members of the board kathy with the San FranciscoInternational Airport the items before you are requesting approval of the supplemental appropriation one for 4. 8 million consisting of 40. 6 billion in new airport Revenue Bonds bopped authorization and 4 hundred and 74 previously thooshsz capital bonds that request see the authorization to sell in the airport revenue bond and increase the commercial paper by one hundred Million Dollars for Capital Improvement projects sfo use the capital be airport bojdz to finance the capital plan and uses commercial paper a short term Financing Mechanism for cash flow requirement prior to the long term bonds the property resolution will authors the sale of bonds in the amount of 4. 6 billi 4. 6 billion and an additional 100 million in the paper in before you appropriates 4. 8 billion of the airplane capital plan bonds at sfo last fiscal year Airport Passenger levels hit projection for 5 years in the future to fiscal year 2021 led to a demand for public that concludes my remarks and Ground Transportation as well as an increase in security requirements and infrastructure urban designs the airport prepares a 5 year capital plan in order to priorries the essential projects the capital plan is reviewed by the finance staff and the committee and the Controllers Office and is approved by the citys Capital Plan Committee the airport capital plan project to be funds to the legislation before you are focused on projected air traffic and passenger demands Major Projects to be funded by the subject bond precedes are the air excuse me improvements Airport Support improvements and terminal improvements and utility improvements the budget analyst has one hundred reviewed these im joined by the finance director kevin and im available to answer any questions you might have. Thank you very much ms. Wagner appreciate our presentation no questions at that time i suggest go to Public Comment and what is the public has to say all right. I understand all right. Go to the budget Analyst Report but looks like no Public School lets see what hashs say. We note the airport capital plan is the requested 4. 3 billion in new bond authorizations that file and then an additional 4 hundred and 4,832,455,418 in prior airport capital bond which was authorized by the board of supervisors but not sold the sources and use of 4. 8 billion in table 2 on page 5 of the report on page six the major Capital Improvement projects to be opportunity by the subject bond preys are on pages 6 and 7 of the report and also an appendix provided by the airport that shows the budget details beginning on page 9 of the report on page 8 we note the airport estimates total debt service of 10 plus bloinld in principle and in interest annual debt service is three hundred plus Million Dollar a comment ill make as you may know under the airports break even policy the airlines that are required to pay the difference between the budget is whatever the operating expense the difference between the 9 Airline Revenues and the expenses in effect any increase expenditures will be absorbed by the airlines through fees and terminal charges we recommend you approve the proposed ordinance. Thank you well take that under advisement anyone wish to comment on item number two minutes youll hear a soft chime with 30 seconds left seeing none, Public Comment is closed. Make a motion. I make a positive recommendation to the full board. Motion and accepted well take that without objection. Mr. Clerk. Agenda item 3 commission to execute services with mott of the exceed 21,000,000 and with a time from august 1, 2009, through april 14, 2018, pursuant to charter, section 9. 118. Public utilities commission. Welcome. Morning supervisors dan wade the director of capita water projects and programs for the San Francisco public works and here this morning to talk about the amendment that were requesting for a contract with Mott Macdonald for the new irvington tunnel projectconstruction Management Services this project is part of a 4. 8 billion Improvement Program this program is driven by 4 overall goals schematic liability and Water Quality and delivery reliability as well as water supply and these the new irvington tunnel projectconstruction Management Services is a very important link in to water system to provide water to 2. 6 million customers in 2009 the board approved a contract between Mott Macdonald and the city to provide construction Management Services for in project we had 15 million term with a 5 year duration its been amended 4 times since then in october 2016 the board approved a Fourth Amendment actually, the puc for 200 and 50 thousand for 5 and a half months in duration to continue the negotiations with the contractor for some disputes on the contract we resolved all but two of those disputes but have two disputes remaining and so we need additional time and money for the construction manager to assist us with closing out the contract the two disputes are an issue we have harder rock in the tunnels than previously experienced during the design phase or previously anticipated and then we have two repairs in the tunnel that were needed weve mad Good Progress with the contractor on the disputes and anticipate we show be able to resolve that without further legal action but need further time to get this down or done to close out our request to approve easement 5 on the contract increasing that by 3 hundred and 50 thousand and is duration for one additional year. Thank you is there a budget Analyst Report on this item . Yes. Mr. Chairman, and members of the committee on the bottom of page 18 of our report the subject the current total for the construction and related costs for the tunnel is 345 million plus and that is shown in table 4 on page 19 of our report that budget includes the Mott Macdonald construction Management Services contract of 700 million and the proposed request for three hundred and 50 thousand amendment it is a cost of 21 million plus we recommend you approve that resolution. Thank you for your recommendation well go to Public Comment is there any Public Comment on item 3 come up seeing none, Public Comment is closed. All right. Lets take those recommendations from the budget analyst. All right. So ill make a motion to. Send it to the full board with a positive recommendation. Okay without objection. Agenda. Call item 5 and 6 together. I will item no. 4 ordinance amending the administrative and environment codes to require that any new Passenger Vehicles in the city fleet by zero Emission Vehicles by december 31, 2020, and to encourage selection of zero Emission Vehicles in other vehicles classes as technology improves. All right. Thank you. Supervisor tang thank you so today your city family celebrated earth day that is on saturday with our annual breakfast at the city hall and i want to thank the wonderful sf environmental staff we know Everyday Needs to be earth day and if we dont collectively take action to deliberately stop well not to have the earth to celebrate one of the most existing and meaningful issues ive been working on is around sustainability and the protection of our environment one the ways and San Francisco can do our part to evaluate the footprint and change our behavior for the negative declaration negative impact this seeks to change the types of vehicles are City Employees drive the legislation requires all late night will be zero Emission Vehicles unless a waiver or exemption like Public Safety or Emergency Response use requires well have an amendment for this by the year 2022 the light passenger fleets will transition to zero Emission Vehicle and 10 percent to address the range and challenging issues for the department that contemplates future technology and want to encourage the City Departments to adopt Better Technology that is available we also hope that legislation will really cause a shift in the market and lead to the availability of additional zero Emission Vehicle like the light duty trucks and i see that legislation as a huge opportunity for office of Economic Workforce Development so we as a city develops more clean meblgz mechanics a huge program introduce city college that will be wonderful to learn the new skills and adopt to the environment outside of San Francisco and make them competitive with high sought after skill sets with that as is legislation, however, ill be proposing some amendments to address some of the concerns ive heard so number one, and members of the board a summer sheet im allowing for the existing usable fleet by the year 2022 ramp 2020 the reason that every year our city currently off roads one hundred passengers so the contribution of the municipal fleet to 20222022 and that assumes were not were reducing the vehicles we have in the city fleet and then to clarify the purpose of those new vehicles needs to be zero emission under section 40 is the depiction to clarify f we added a definition regarding the light duty Passenger Vehicles to clarify separate and apart in the ordinance which is the health air and transportation ordinance what we mean by this legislation and essentially meaning Passenger Vehicles no trucks are included as part of this analysis we clarify emergency vehicles and is there are existing exemptions for emergency vehicles but into the health air and transportation ordinance we clarify that unless your vehicle is equipped with lights and sirens vehicles use this for administrative function for passenger transplant shall not be considered a zero Emission Vehicle if youre trying not to purchase the zero Emission Vehicle we add existence for general passenger advances advancing and the hybrids and clarify the intent of the legislation only light duty Passenger Vehicles must be zero Emission Vehicle and with the plugin vehicles were allowing 10 percent of nonexempt fleet to be ev for the additional option and plugin vehicles require the level two plug ins so the waiver we clarified the department will submit one waiver requesting the Zoning Administrator to specify all vehicles needs a waiver exemption and the reason rather than forcing a department to submit a waiver for every single vehicle and lastly on page 6 line 10 we actually just clarified that moving forward the city could do recent options rather than pretty much we might want to consider leasing those are the amendments we can adopt or ill make a motion for later after discussion first, id like to turn to our Budget Analyst Office that will report on this after that ill call up jesse if sf environment to speak about the ordinance and some of the overall dream goals in San Francisco followed by admin from the Administration Officer and rogers. Yes. Yes. Madam chair, and members of the committee. Supervisor tang said there are various version and thats what ill recite you should as supervisor tang stated some of this has changed the proposed ordinance will necessitate the difference between seven hundred o. J. On page 24 and 5 hundred and 50 zero Emission Vehicles by december 2020 therefore the total estimated cost of respect procurement will range from 80 million plus to 72 million plus over the next 2 and a half years. On page 25 of our report we note that the total estimated cost purchase 759 between those two numbers new zero Emission Vehicles and install between 636 and 1427 will range from 23 million to 95 million those costs will be occurred through the proposed ordinance and thirty days after approval for december 20, 2020, a period of approximately 2. 5 years we note that the city currently purchases one hundred new Passenger Vehicles a year as it is written weve reviewed it will require the lease of seven hundred and 59 vehicles over the next 2. 5 years or three hundred and 4 vehicles per year on supervisor we have various other policy issues weve brought up our recommendation on page 27 this is a policy matter for the board of supervisors. Thank you, mr. Rose ill speak is about this after the Department Presentations i have questions and issues with the analysis i understand that was a large amount of analysis to be completed over a short period of time ill bring up jesse denver from sf environment that has been helping us lead the charge when it comes to protect ferguson our fleet. Good morning jesse Energy Program manager thank you to supervisor tang for her leadership of zero Emission Vehicle these the department of the environment supports the proposed ordinance and is available to support the Zoning Administrators office and is interdepartments as supervisor tang noted weve heard this morning 45 minutes ago at the mayors breakfast the city will deliver 50 percent of the citywide with Renewable Energy enabling the residents to power their businesses and vehicles with Renewable Energy it is important for the demonstrates of leadership id like to highlight the heather clean air and transportation ordinance and the lead of Zoning Administrator in implementing that and describe how the department of the environment supports the City Administration office it there 0 loading order the city transit first policy insuring that employees are utilizing Public Transportation and or sun power to get where they need to go on city business and reduces the size of vehicle fleet and insures the vehicles are right size for their appropriate case and finally that establishes a vehicle list that dictates the type ofs of