Transcripts For SFGTV Port Commission 92215 20150927

Open session. All in favor. Aye. I move that we dont disclose anything in closed session. So moved. All in favor say aye. Aye. Item six pledge of allegiance. I pledge allegiance to the flag to the United States of america and to the republic for which it stands, one nation under god, indivisible, with liberty and justice for all. Please be advised that use of cell phones pagers and similar sound producing devices are prohibited at this meeting. Please be advised that the chair may order the removal of the meeting room of anyone using a cell phone or pager or other device. Please be advised that a member of the public have three minutes to make Public Comment on each agenda item unless the Commission Adopts a shorter time on any item. Item 8 Public Comment on items not listed on the agenda. Call for Public Comment. [inaudible] thank you. Good afternoon commissioners, president katz and commissioners. My name is John Gallagher and i sent a letter and brought copies regarding eight washington which is not on the agenda today but im going to consider discussing the item today and take action or the next meeting with the negotiation of the end with San Francisco Waterfront Partners. As youre aware there has been a resolution to the litigation in the case. It was almost six years ago now that this body approved an exclusive negotiating agreement with a developer for the washington site and the project has been defeated by the voters, rejected by the courts, and even the board of supervisors this summer rescinded approval alls. Under the terms by the developer to extend this without your input and forced by a clause that was allowed to continue until the litigation was resolved. It has been. Its been more than three months since the eir was thrown out by a court. The developer has not appealed in that case. Its over. There was a second decision this week that i think cemented the deal. There was hope that perhaps the land swap would have been an issue but the court of appeal threw that out too and what the Community Wants and many voted against it is to move forward with the site. We dont want a parking lot on the beautiful site for the rest of our lives and until the port of San Francisco moves forward they will give it tied up and there are recreation and things to bring to the waterfront without block tg off the r of the site and i ask the commission to move that off if not today the next meeting. Just a note for the public we send out the agenda for the meetings unless there are exgent circumstances were not allowed to take up an item not on the agenda without the proper public notice. Just a reminder on that. Any other Public Comment . Supervisor. Thank you president katz, commissioners. Let me reiterate what the previous speaker spoke to which is that i believe that ema has expired under its terms as once amended by virtue of a vote you all took. I want to underscore that this process although its been somewhat unfortunate did really make the Community Start thinking about alternatives so theres a number of them out there. I think theyre alternatives that speak to the fact that the port of San Francisco is a Business Enterprise but there is thoughts out there if we all Work Together to move forward. Its time on close this chapter of the story and start the next chapter and i look forward to doing that and i think the community does too. Thank you for your time. Thank you. If you could state your name for the record. My name is aaron peskin. Thank you. Any other Public Comment . Seeing none. Public comment is now closed. And colleagues i would like to make a request i know for a variety of reasons we have a number of people here for items later in our agenda, but if it would be possible to take items 14a and b out of order at prior to item 11 between 10 and 11 if that would be okay. Seeing no objections. Thank you. Next item. Item 9 executive directors report. Good afternoon commissioners and thank you for being here today and i would like to recognize the former City Attorney who is in the audience today and i was going to recognize the supervisor but i think he departed already and thank you for being here and we have a special guest and john ram the director of city planning which you will hear from in a moment. I have a couple of items to report today. The first is to proudly tell you that the port of San Francisco was a finalist for port of the year in an International Award program hosted by the seatrade cruise awards which is summonsorred by Oracle Hospitality and its the premier program. Its a chance where all entrants be public ports or private cruise lines or anything that participates in the cruise industry has an opportunity to broadcast their success in the industry and encourage new business with a internationally recognized mark of achievement. Through the awards process this is the ninth year and this year it was held in hamburg, germany. There are seven categories of for the award including the port of the year award and judged by leading upon ands and we didnt win. The port of amsterdam was the winner but we were a runner up for the cr james r. Herman cruise terminal and the award was there done recently and we were there to get the award and congratulations to everyone involved in the james r. Herman cruise ship project. Its recognized by the international and local community and friday will mark its First Official anniversary although its soft anniversary was last year so were excited about that. Secondly i wanted to mention on september 15 the port of San Francisco which is the grantee of Foreign Trade zone number 3 with the city of oakland when the grantee of trade zone 56 held a free Half Day Forum for anyone interested in learning about the benefits of the free trade and Foreign Trade zones. Again it was a Half Day Program and hosted in the city of oakland, in city council chambers. There were more than 60 participant that came to hear about trade opportunities and from manufacturing, distributing, refineries, City Economic Development employee, economic forums and associations such as the east bay Economic Development alliance. The port of oakland was present and stockton was present others were present. The main presenter rfs Wayne Coleman and f tz networks and they operate Foreign Trade zone number 7 in memphis, tennessee and provides service around the country and considered one of the more foft authorities on Foreign Trade zone. Another presenter was the Foreign Trade zone analyst for tesla motors and talk about the experience of operating a site at their fremont manufacturing plant and bill wheelon also discussed their experience having been a participate in the Foreign Trade zone program for the past 35 years through the city of oakland so it was a very well attended and very Educational Forum held last week. I want to thank jim maloney for being a sponsor and host of it but working tirelessly on the program and ensuring there was an outstanding turnout. I think as you know commissioners the port of San Francisco has partnered with oakland and san jose to market our Foreign Trade zone opportunity if you will, and san jose which is Foreign Trade zone number 18 will be holding a south bay Foreign Trade zone forum in october so this is an ongoing educational process which is very current and very timely i think and very successful. Congratulations to jim and everybody involved. And then next i would like to share you with yet another award for the james r. Herman cruise terminal which is a very prestigious one as well is that the terminal was awarded the outstanding airports and ports project for the American Society of Civil Engineers awarded in 2015. The American Society of Civil Engineers San Francisco section runs from monterey bay up to oregon so its a pretty wide area and the james r. Herman cruise terminal was selected as the outstanding project of the year. The award was presented last thursday evening at the city city club in San Francisco and our manager accepted the award on behalf of the port but the award is bestowed on designs and construction that show case advances and or innovations so its a very prestigious award and bestowed on the james r. Herman cruise terminal for a couple of reasons. Its a leadership in energy and Environmental Design gold rating so a lead gold standard. It has ada gang ways that meet various heights of cruise ships and title sickles and has the shore power system which the cleanest source of power and has the best security features. It has fitted glass on the exterior for the safety of birds. Has a drain system that captures rainwater and reuses and it storm water efficient systems and proud to be recognized by the American Society of Civil Engineers with the achievements of this project and again thank everybody involved in making that dream come true. Lets see so next i think where am i . Is the San Francisco bay conservation and Development Commissions 50th anniversary which occurred last week. Their anniversary was september 17. The San Francisco bay conservation and Development Commission was established following the Grassroots Campaign by the founders. The women organized to save San Francisco bay from unchecked filling and development and lead to the plan and bcdc was granted authority and manage the development along the bayshore line and in its lifetime i guess is the best word its reversed fill and increased the bay by 29 miles since 1970 and expanded access around the bayshore line and the bay has not only become bigger but the water is cleaner and more accessible to the public for recreational enjoyment. As you know the Port Commission staff and the San Francisco bay conservation and Development Commission staff work side by side on many planning and improvement projects. Notably the alignment of the waterfronts Land Use Plan with bcdc and special area plan. Our collaborations have lead to positive changes such as the brown street wharf and the explor tearium and golden gate and had a summit last week at the explore torium and celebrate the 50th anniversary but also to look forward. They are recognized as a thought leader on rising tides and Climate Change and had a summit on where the future is for rising tides as it may affect the bay and it was a healthy discussion and a good celebration. All right renee if you will help me and on saturday the staff was able to place a bench at pier 14 with a small plaque in remembrance of catherine steinly and says whatever is good for your soul do that which is a phrase that she said frequently and at the france of pier 14 walkway so were honored to recognize her in that way. Our hearts and prayers still of course go out to her family and friends who we know have continued to be very vigilant in wanting her life to be celebrated and memorialized, and they came out on saturday to revel in having this moment of closeness with her. All right. And then i have two in memoriams. The first is for alvin b. Petrie. Alvin worked for the port for 29 years from september 1953 to july 1982. Works as a dredge lever man and a deck hand and retired as the retired port head dredge leverman in 1982. He passed away in august at the age of 93. He was the father of two including mike who is a port worker. Hes the grandfather of six and a greet grandfather of eight so in addition to seeing an immense amount of change along the San Francisco waterfront in his years at the port he also saw a tremendous growth in his family so we wish his family our heart felt condolences and in particular to our colleague will mike petree and i want to remember zeke grader who is the executive director of the Pacific Coast federation of fishermens association. He was a long time advocate for commercial fishing who fought to project fish as well as the people that catch them and he passed away at the age of 68. He played a very Important Role in keeping the fish in Fishermans Wharf and an advocate for San Francisco fishing industry, advocated for the rebuilding of pier 45 after the loma prieta earthquake and was an expert in the ports initial Land Use Plan adopted in 1977. He was raised in fortbrag and his family ran a business and the local newspaper and his dad was aid to a local congressman and worked with pat brown. He went to college at sonoma state and lived off a house boat and then went to the marines and went to usf for law school and after that quickly went back to the fishing industry and organized the fisherman into the Pacific Coast federation of fishermens association. He received National Environmental hero award and is known for his Lasting Legacy to build a bridge between blue collar fisherman and the environmental community. He was a great friend to all of us and he is deeply missed and i would like to request that you adjourn your meeting in their memory and that concludes my report. Any Public Comment on the executive directors report. Seeing none next item. Item 9 b annual presentation by the City Planning Department director regarding interAgency Coordination with the port of San Francisco for waterfront planning and urban design. Good afternoon commissioners, director. I am glad to be here today. Thank you for having me year and i look forward to the conversation with all of you. I am here to talk about three items today they would like to get into a bit and the work with the port and items high on our agenda right now and number one the growth that were experiencing in the city and the challenges that were facing with that growth. Number two, the infrastructure programs were working on to both address the current backlog of needs particularly around transportation as well as the infrastructure needs of all the growth that were doing and were certainly overlapping with your staff on a number of those efforts and thirdly just a bit about the waterfront Land Use Plan and the collaboration were working with your staff on that effort. I will start by just thanking director moyer and her staff for the collaboration of the last couple of years. I think the relationship is probably stronger than its ever been. I think there is a great working relationship at the staff level. I want to particularly thank diane and byron and brad and gill kelly who is the assistant director for planning for their collaboration and all the work were doing together which i think is to the benefit of all of us and certainly to the future of the waterfront so to my three items. In terms of growth to the city its no surprise to anyone here and all the cranes happening that the city is changing. Its growing at a rate not seen since world war ii. The population growth, the visitor growth and job growth are growing at unprecedented levels of the last century. The abag projections had us growing between 2010 and 2040 by 100,000 new households or 200,000 people and 160,000 new jobs. What is interesting the last five years has seen a lot of that growth already happen so we have seen about 10,000 people per year in terms of population. The city has grown by 50,000 people in the last five years. That is 20 of the projected growth. More significantly we seen half of the job projection occur within five years of the 30 years period. We have seen 90,000 jobs in the last five years in the city. That is more than 47 out of the 50 states. San francisco Unemployment Rate is down to 3. 6 which is essentially full employment and i thank the director for bringing this up and the city is seeing approximately 30 million visitors a year creating huge demand for the waterfront and other public areas of the city and creating both intense growth in the economy and in terms of challenges and how we address public space and access and Public Safety so it is welcomed news in many ways. The growth particularly under the Unemployment Rate and we know that the growth presents some real challenges for us. I also would like to see this period of growth and what is occurring in San Francisco right now is not unique to San Francisco and you probably have all seen this in other cities, but theres been a fairly dramatic change in the interest and urban living in the last 10 years. Theres a huge influx of residents to large cities in particular by millennials and the baby boom generation and its reversing half a century trend towards suburbanization and cities are growing faster since the Great Depression and there is a change in attitudes about city living. We seen a dramatic drop actually in miles driven by americans because many young people are not driving as much or owning cars or even seeking driving licenses and its a big paradigm shift in terms of that generation and urban living and lifestyles so the growth is impressive but its important to note that the region is growing tremendously as well. The abag projections although the numbers are significant the numbers for San Francisco are 15 of the regional growth. The region is expected to grow by 2 Million People by 2040 can you put that in context in terms of the region currently . Its about 7. 5 million today so while were seeing huge numbers in terms of city growth the 15 growth that were seeing in the region that will accrue to the city is what were at today with regional population and jobs. Were 15 of the regional jobs and population roughly, 14, 15, 16 that range so its not out of the realm of possibility or extreme were seeing this much grow begin gifnlg r given the given the interest internationally and we think its substantial and the Planning Department needs to take a bigger role and attack the challenges and as we work with the Mayors Office and the Mayors Office of housing is the issue of equity and inclusiveness. The city is changing dramatically. The Economic Conditions are changing in the city and were working with the port on their Development Sites and others on the issues of equity, inclusivity, Affordable Housing and broad access to all city services. Clearly thats a very important issue to the mayor, to the planning commission, to you all and to other people. The transportation challenges are huge. Not only are we growing not only are we growing the demand on the Transportation System but theres serious as you may have heard from the mta dollar say serious backlog of need. That needs to be addressed. Bart and muni are at capacity of rider someplace and the know that embarcadero and the montgomery stations are the heaviest ridden and there is a capacity issue as they grow as the ridership on bart continues to grow. So thats a segue to my second major issue which is the infrastructure challenges that were facing. Obviously theyre three major issues there. One is of course Sea Level Rise and urban flooding including the seismic vulnerability of your seawall and that is really something that we all have to deal it. I know the director has been trying to talk encoder dropped and that meets on a regular basis and is developing guidance for city agencies and the capital departments. Secondly were working to develop an sea level action plan to cover all boundaries of the city that face the water and include principles and objectives and recommendations to how the shoreline might have adapt and includes all jurisdictions responsible for the shorelines including the port and others, and thirdly and i think most perhaps of most exciting that were doing is were collaborating with your staff to scope what were calling the 2016 bay area resiliency by design challenge. This program is modeled after the redesign effort in new york after post sandy and the idea is develop an unified vision for an adaptable waterfront. What is interesting is the waterfront has continually changed and the bay line has changed and its going to change geafnlt we believe this is a regional effort. We have been working with partners in the region and focusing on public and private philanthropy to fund that effort. The idea is bring the best minds together to create Innovative Solutions for the waterfront that can be empplemmed and it will have an extensive public process. We are coordinating the schedule for the plan update in the process so were excited about this. We think its a great opportunity to focus attention on the waterfront and the issue of Sea Level Rise and bcdc we have engaged with them heavily and theyre interested in this as well. In the realm of Transportation Planning of course and i know many of you are interested in this and affects your property as well and the access to the waterfront. There are clearly huge challenges developing as the city grows and as we are trying to address the backlog. And i think for anyone who needs to cross the bay bridge everyday its obviously a huge challenge right now. What we are doing is a number of things. We have formed a partnership with mta and the county Transportation Authority to develop a long range Transportation Plan for the city. This might sound a little strange but its the first time the three agencies have developed this partnership for a plan and i am very excited about this. We have agreed on the scope and the management structure. We have the funding in place and were moving ahead with this effort, and we are there will be a high level manager within the Planning Department who will oversee this whole effort. Were excited about that and moving forward. A fundamental Building Block of that effort is the water front transportation assessment which you have been involved with and its going to look broadly at the entire Transportation System, not just at muni of course but bart and all the other aspects of the Transportation System and bicycles and pedestrians and so on so the program is important for us and were excited about that. The last thing with respect to transportation is the transportation tran Sustainability Program and by demand of new development. The mayor introduced legislation recently to amend and upgrade whats called the transportation fee that is paid by development for the first time that fee will apply to residential projects. Interestingly enough there was a fee in place which you heard of called the Transportation Impact Development Fee that only applied to commercial development. For the first time it will accrue to residential development. The second aspect of that program is what we call Transportation Demand management. This is actually programs to encourage residents, employers and others to reduce their demand on the Transportation System particularly on cars. It vfls a number of Educational Program and incentives for developers to encourage their tenants and employers to encourage their employees to use other forms of transportation, and thirdly theres an aspect of it that depends on some state work but changes to the way ceqa works with transportation analysis. We are awaiting on new regulations from the state that will allow us to improve the way we do transportation analysis of Development Projects. The last thing i want to mention with respect to infrastructure and larger scale planning is the southern bay front. There is a number of city departments including the port and planning who are working on what were generally calling the southern bay front which is basically from Mission Creek to the south looking at were trying to coordinate our efforts in terms of Major Development some are on port property and some not. Mission bay and pier 70 mission rock i should say clearly are but there proposals for the nrg site south of pier 70 and the basin adjacent to the Hunters Point shipyard. Both are in the pipeline for Major New Development projects. So there are four major sites in play amongst all of the other Smaller Development proposals in our pipeline for the southern bay front. Finally and thirdly i just want to say were pleased to be working with your staff on the update of the waterfront Land Use Plan. Were in a supportive role there. Your staff is taking the lead appropriately on that. Were helping with some of the process work. We will support the working groups and Community Work shops occurring around that planning effort, helping with conversations and development and Sea Level Rise and integrating the work on that issue with the waterfront Land Use Plan so thats a run down of what were working on and how were working with your staff. I am happy to take questions and have a long a discussion as you would like. Thank you very much. Thank you. Is there Public Comment . Seeing [inaudible] sue hester the attorney for fog which is we have been dealing with eight washington for a long time. I got a response from director ram which i am grateful for that neither the Planning Department or the Environmental Review have any dealings with reactivating the washington site, and so this is the proat place for the port to say whether you are Going Forward with that site with the Planning Department because that site is the planning jurisdiction port jurisdiction and both of you have a role. At the Court Hearings repeatedly people kept saying they were filing a new application and done really fast, so that has been said at least three Court Hearings. The attorneys for the port, the attorneys for the developer kept saying that, so has the port received any reactivation of eight washington from mr. Snowgrover from pacific Waterfront Partners . Thank you. Thank you. I have bill hanon. Good afternoon commissioners. My name is bill hannen and im president of the Golden Gate Way Tenants Association and my question is related closely to ms. Hesters question and are there any requests with appointments with the Planning Department or the Port Commission for reactivation of the eight washington or seawall lost 351 site . Thank you. Any further Public Comment on this item . Seeing none. Public comment is now closed. Thank you director ram. Its a pleasure to have you here and exciting to hear about what is hearing all across the city and through your departments efforts. I had just a couple of quick questions. I wanted to open up more. One is as you discuss Sea Level Rise and the citywide interagency efforts whats being done and where does it fit in on a regional basis as well given that the bay it affects the area . So there are a couple of efforts that are within the city, specifically the sea level Wise Committee that the mayor asked us to cochair and focused on city agencies and the work they have to do especially the capital departments but the larger resiliency by design is a regional effort so we have been working closely with bcdc and oakland and berkeley i believe as well on this issue to try to get them engaged in the larger effort of looking holistically at the by in terms of design efforts we could put forward and address that. It certainly seems in reaching out for federal funding and doing it on a regional basis might be more successful or fruitful. Absolutely. And then you mentioned working in terms of transportation assessment. Does that also include our water taxis, ferries and other water transit . Absolutely. The goal is to be as comprehensive as possible and we have to look at all the tools in our tool box as we move forward. Okay. And then im sorry you mentioned there are four major sites on the southern waterfront. Yes, two are under your jurisdiction which is mission rock and pier 70 and the one controlled by nrg and the power plant south and the basin which is a project proposed by a private developer primarily with the parks and Recreation Department and the idea is expand the park and do market rate housing [inaudible] of housing i should say. And touching on the transportation issue too that will all be incorporated . Yes. Whole liftically there yes. I dont know whatever you call it but personal privilege that you mentioned initially the infrastructure in the city and so Much Development going on and projects and the impact. From an air quality standpoint as our streets are getting more clogd and cars are idling i think that is having a negative impact on the air quality and i think its tan gential but is there any effort to use the gis system or some other program that we have at our disposal in the city to coordinate when streets will be closed or blocked so that we dont have traffic backing up . For example i think planning has better incite when there is need for cranes coming out and perhaps working in a more in some fashion with all of these groups to use that system to make sure that you dont have multiple streets blocked in the same direction or at least working it so they do it at different times . I know we see it in the waterfront here and with cars and backed up on the embarcadero because they cant get on to side streets. We work closely with the Public Health department when doing the air air Quality Projects and its interesting what youre raising and when you have multiple construction sites . Not only does it affect traffic and heard from neighbors and taking out lanes and interestingly enough once it leaves the department its hard for us to know exactly when the project is moving forward of the developers can get a permit from dbi but they can choose when to Start Building and were encouraged and helping with coordination between dbi and public works and they control the issue when sidewalks and lanes are closed and especially the issue you raised and multiple construction sites in the area. We are trying to encourage better coordination there. We recognize areas like the waterfront and dog patch and hayes valley this is an issue more and more as more projects are being built. I think prior to you arriving here we had something with the last boom of the street coordination and using the gis system and requiring everyone coming in with projects to coordinate their efforts and there were pennalits for not participating and maybe time to review that and get focus on. Very good. Commissioner brandon. Thank you so much. I really appreciate your report and i appreciate you and your staff working closely with director moyer and her staff and we rely on your expertise heavily on so many projects so thank you very much. My pleasure. It sounds like with the infrastructure and with the growth spurt that we have experienced over the last five years seems like the focus for transportation is anything but cars. In a sense commissioner it has to be, but i think the goal is to give people real choices because for many parts of the city there isnt a real choice or efficient choice to use ones car and thats the challenge we face with muni and the other transportation agencies, but if you look at the streets we have the streets are probably not going to get any wider. Were in a built up city. Most properties are to the edge of the rightofway so we have to think about other solutions. In fact im not sure i have the numbers right but right now were at about 70 of people driving with 30 from all trips, not just work trips weighed citywide and. We need to get that number to 50 . Munis goal is half of all trips whether its work, shopping, school half of the trips are not in cars. Thats a huge challenge given the fact were at a higher number now and the fact were experiencing all this growth. Having said that i think the benefit with the current millennials thinking different how they get around a lot of them arent driving and some of the larger employers south of market are telling us that a third of the employees ride the bike to work which is a huge percentage so were really bicycle infrastructure is a relatively low cost way of addressing some of the transportation problems and were looking at that and to improve bicycle conditions but clearly there is a serious backlog that muni has to address, that bart has to address which is not inexpensive. Its millions of dollars to address the need and in the longterm we need to start thinking now about perhaps another crossing of the bay or other ways of addressing the regional growth because in my view and the projections of all people a lot of people who are smarter than i this region will grow by roughly 2 Million People whether we plan for it or not and it behooves us to address the demand created. Thank you. Can you briefly touch with the growth that we now have the Affordable Housing crisis . Can you just sure. I mean its probably where i am personally spending most of my time with my colleague of olson lee at the Mayors Office of housing. We are looking at a number of tools. The mayor has a multifaceted strategy he has and we have multiple tools. Right now the city has an inclu eagz program and has the developer provide 12 it to people under a certain income. The mayor proposed legislation to increase that percentage but allow for people that make slightly more income to address some of the middle income needs. San francisco like other cities not building housing for middle income populations. We can do it at the low levels with subsidies programs and the market takes care of the people with higher incomes but the middle incomes are not addressed and we are interested in addressing that and were developing programs for developers to bring in. We developed with the Economic Development office and Mayors Office of housing and sites that the city owns particularly mta and puc that they doe longer need and were working on a large site in balboa park and the reservoir that has been vacant for decades and accommodate Public Housing and because its a public site we believe we can bring the housing in at a lower cost and that would be one of many sites we could do that. Were looking at a program to allow developers and builders and owners to add a modest amount of height to the projects in turn for more Affordable Housing. Its a state that requires every city in the state to include in their zoning. Whats called the state housing Density Program that allows additional density for additional affordability so those are three examples that pop into my head. It is a challenging effort. We think its important and theres a number of programs across the board that were working on. Thank you. Thank you. Thank you very much again echoing my colleagues. Its great to have you here and give this overview which is helpful to us as we look at our particular agenda items in the Port Commission as it relates to the rest of the city and i think it was great to understand how we stand not only the growth in this city which you mentioned all the statistics, but also the regional growth because i think that ties into a couple of the comments you mentioned related to infrastructure and housing across the region, et cetera, and i guess i will go back and just in order of some of the things you mentioned in terms on the Sea Level Rise and i think commissioner katz asked a couple questions. One of the things i am struck and i know we have to do this with a longer and shorter term horizon we spend a lot of time studying and i guess my question is great to have the interagencies and studies and working with bcdc and i dont disagree with any of that. I guess i am asking do we have a specific timeline when we will finish theing studying and what were going to do and the execution of the action plan is enormous and the cost and how its funded et cetera so not for you to answer specifically, but i guess we would like to hear when you come back again or if the Port Commission can have any other presentation is to understand the action timeline related to Sea Level Rise because i have been hearing about studying this item for some time and its a real challenge and i relay the comment on the transportation side. We had presentations from mta on studying specifically the issues weve had on the waterfront and embarcadero i think we made some improvement proves and obviously we need to look longterm and there were improvements with embarcadero and there were traffic snarled up and we made changes and the transportation issues in the city are related to two other factors. One is there is so much construction going on now i understand from what you said you give the permit but you dont know when its going to start. Its two other departments issuing it. But those in the city cant understand where there is blockage and pg e is doing at the same time and gosh who is in charge here and how the residents are affected so maybe there is a better way to coordinate and maybe it has to go on but the hours. Why do they pick rush hour and they can make differences in the lives in San Francisco and transportation and cars and bicycles and you mentioned the bay bridge and i go to napa or south bay. The issue is not just the city its the growth that you mentioned in the whole region and we cant get rid of cars and seems like were studying this in silos now. Were doing it in San Francisco with all of the agencies but what about regionally and this is a regional issue . The bay bridge is not just for San Francisco. Its a regional growth issue coming in and coming in on the highways and its getting worse. I have to add time to get around the city now because of increased traffic and construction and i am wondering how we will address the regional issues with the regional areas . And everyone knows on the Port Commission im a proponent of water transport and do more with the ferries and you mentioned bart and mta but i think we need more people on the ferries and east, west or over to marin and each agency has their issues and address those on silo basis and i know you cant answer all of these but were trying to step up as a commission and keep urging more regional addressing this issue and talk and break down some of the silos on the agencies focused on their particular route and we only have so much influence too on the Port Commission and i am on the soap box with this. I might address that because i think youre spot on. People you know roads dont end at the city boundary. It makes no sense. I will say we have a strong relationship with mtc and at the table with them on a core capacity study that looks at the trans bay issues and all modes and cars and buses and ferries and bart of course and youre right its a regional issue. We just cant study transportation within the city. There are certain local issues that we have control over but the regional issue is correct. We appreciate that and at the city level we have coordinated effort to go across to the other regional agencies that exist and have more specifics i think the fact that you mentioned another crossing whether its on the water or a bridge and its longterm vision. Were not going to get rid of cars. Were talking about electric cars, driverless cars. Its still there and its how we implement and use and looking at it in the short term and i guess what i dont hear enough in the city is the short term improvements and the coordination of traffic lights and why arent they synchronized more to make the traffic faster but anyway im going to get off of this and thank you for coming and you will remind us and we will do what we can as far as the waterfront is concerned and we get issues in terms of transportation up and down the embarcadero and how to free up that in any given day we know there are issues there but we appreciate the bigger overview and if we tackle it together and hold hands hopefully we can make improvements. Thank you so much. Thank you very much. We appreciate you and your staff being here today and your presentation and look forward to your visit next year. Next item. Item 9 c Port Commissions report. Commissioner brandon. I have the opportunity to attend the bay view gate way park Ribbon Cutting ceremony last friday along with director moyer and president katz and a lot of port staff and it couldnt have turned out better. Rene dunn did a great job of putting everything together and david he was just phenomenal. He was the master of ceremonies but hes the one that had the vision that made the site what it is today, and i just personally want to thank him so. Thank you very much. [applause] and also within the park there are quotes from maya angelou and we were fortunate to have her son there to honor us with his thoughts about how she would feel about the park having lived in San Francisco and all that she the relationship she had with San Francisco so it just turned out so nice and people didnt want to leave. People were there until six, 7 00 oclock having a good time. I guess thats what its there for so thank you. Thank everyone. Ditto to commissioner brandons comments. It was a wonderful, wonderful event and opening and please check out the park. Its beautiful. No, nothing to report, thank you. So if i could ask two items to be explored. One is executive directors moyer if you could explore some drafting some guidelines for us regarding hoteling on cruise ships so that we have some guidelines and policies in place Going Forward, and second if you could calendar so that we have a meeting with Legal Counsel regarding actions over seawall lot 351 and a briefing on that. And thats all i have. Any Public Comment . Seeing none. Public comment is now closed. Thanks. Next item. Commissioners would you like to take 14a and b now. Yes, and i wish everyone who is celebrating or observing yom kippur this evening that those that may to leave earlier since we have a crowd for that happy new year to everyone. Item 14 a requests approval of a resolution endorsing a request for proposal for the San Francisco Mayors Office of housing and Community Development to solicit a developer for Affordable Housing on seawall lot 3221 located at broadway and front streets. Are you ready ricky . Sorry. Good afternoon president katz and commissioners. My name is ricky and im the Development Manager there is an icon on the bottom left corner brad. Im ricky the Development Project manager with the Planning Development division of the port. Brad, can you press exit to clear it . Thats interesting. Thats only on the screens. Manny, can you see that on the monitors here . Its not on the big screen. Whats that . Okay. He says that will dissolve it. Weve got an icon on ours that doesnt show. Okay. Take it away. Okay. Im the project Development Manager with the planning and Development Division of the port. My presentation today will consider of two components. I will go first and then i will turn it over to theresa of the Housing Office to provide more details in terms of the rfp back to the support of this item. Since last year when you authorized the approval of the mou between the port and the Housing Office our staff has been working with the Housing Office staff on their Community Outreach effort which is to solicit input from the community and the stakeholders not only to provide input on goals and objectives of the proposed rfp but also to make sure that the development that is going to be eventually built on the site will be a Community Asset that is accessible to everyone and particularly the neighbors represented by the neighborhood association, Telegraph Hill dweller and [inaudible] Telegraph Hill association. Let me briefly remind you about the site that is the subject of this presentation. Seawall lot 3221 is at the korjer of broadway and front and vallejo streets across from pier nine. This is the view of the site looking at it from the corner of intersection of broadway and front street. There are more details about the location and the site in the staff report. I will point out quickly in the district its 38,000 square feet. There is no building on it and used for parking. In terms of togetherrive yesterday there are two pieces of state and city legislation that provided an opportunity for this site to be used to leverage to have finance our challenges at pier 70. Again there are more details in terms of the background and this legislation in the staff report. The mou that you approved include several key terms, but two of them that brought us to where we are now is the delegation of [inaudible] process to the Housing Office. The Housing Office will be responsible for for noticing the developer and responsible for the costs and at the end there will be a negotiation of the lease that will eventually come to the Port Commission for approval. As part of that mou was a call out for an extensive Community Outreach to which they have embarked upon. Theresa will cover the details of that Community Outreach. As i indicated it has been a very extensive Community Outreach. A working group has been formed. There have been 11 working sections held since the approval of the mou18 months ago and we provided update to the community as well as [inaudible]. The rfp is ready to be issued by the Housing Office and thats why were here asking for your endorsement. In reviewing the rfp because the mou request the draft mou that presented to the port staff to comment on before they issue it but i wanted to point out one of the key components of the rfp is the the [inaudible] Development Team in that the developer and the Architect Team are going to be the one that really help shape, form and build the development that will be on that site, so its of importance to the port. Those qualifications include that they need to have experience developing a mixed use development in a section similar to that site. Minimum 510 Years Experience and dealing with the typical issues that you face when you are building in a Historic District and experience with obtaining [inaudible] from Historic Preservation commission. Im going to turn it over to the Mayors Office of housing because this is theyre proposing the rfp and they will go through the requirements specified in the mou so at this point im going to turn it over to theresa and let her go over the details. Our apologies. We still need to load. Sorry. My apologies. Good afternoon commissioners. Theresa from the Mayors Office of housing. So as ricky had pointed out the site the seawall site but the rfp is including your site at seawall lot 3221 but also the adjacent parcel located next to it at davis that is owned by the department of public works. In conversations with the department of public works its currently used as a parking lot and going to be transferred to the Mayors Office of housing for development that we would have a larger parcel and developed both in conjunction with the seawall so it can provide more Affordable Housing. Ricky mentioned Community Outreach and we have done extensive outreach and we formed a working group that provided a lot of comments and feedback on the various rfp goals and objective and design guidelines. We met with them 12 times since march 2014 and met with the new aggroup to give updates and were ready to issue the rfp. Were fine tuning the goals and objectives with feedback from the working group but were plan to issue it in october per the mou with you so one of the key things that the Community Asked for and including supervisor christensen was to have a Community Design workshop. It was done back in july we hired the Architect Team through a contract with public works and the intent was try to get a third party to give us Technical Analysis and what could be built on the site with the design criteria that will be in the rfp. From that workshop there were 35 members of the public that came along with city staff and a full summary of the workshop is available on our website. So this is just an example of some of the studies that mark and carrie provided. They were looking at different what would be the maximum Development Potential on the site if we build it to code and the seawall and adding the dpw site and as an alternative what the site could look like if certain characteristics were taken into account and not building out to that and the Community Context so the Development Objectives at this time were including family and Senior Housing now that we have the inclusion of the dpw site which will be 20 of the units are former homeless households and the agency and department of Public Health and looking for 150 units across both sites and providing 25 of the units for moderate income households to the extent there is funding available from local resources. There is a 310 million housing bond on the ballot and one of the programs in the bond is a middle Income Housing program so if it passes we will provide rental housing actually on the site. And then one of the key components per the understanding with the port is evaluate the potential for parking on the site. It has to be taken into consideration and staff will look at the design and the financing option thats developer will propose. Moving on the other key component that we received feedback from the working group as well as the community at large was to have really active ground floor uses on the ground floor of the building. Because were required by the code to have active street frontageos any street but the community has a preference for retail or a cafe, small market, book store and those are examples in the rfp. We are looking for appropriative Supportive Services to all and some Community Amenities whether its an after School Program or senior programs and open to residents and non residents. So the other objective is dealing with the design. As a result of the Design Workshop we want to address housing habittity that is comfortable and secure and stable for the residents and responsive to the urban design context. Because its in the Historic District we have to be mindful of the historic elements. The project has to be meeting the standards. The other thing in the workshop that came out is the inclusion of midblock alleys and cut down on the massing of the buildings so it doesnt look as gigantic in this context. Other issues include building with within the height limit and massing responsive to the Historic Buildings and the neighborhood context. Other buildings in the area are 50 to 63 feet and building next door to the site are one to two stories so we dont want a huge building that over powers those buildings. Also taking into consideration scale and characteristic when is looking at the massing. One of the things that mark and his office looked at with the Community Workshops is looking at the building from up above so he did a model looking from Telegraph Hill the site how would it look so taking consideration the roof and how they would look. Okay. So just briefly amenities and sustainability is a key thing. Community process we want to point out were coming back to the Port Commission and new agfor Community Input. Selection criteria as ricky mentioned looking at experience, looking at the concept, financing and services for both the family and the Senior Housing. Process wise we are forming a selection panel. We will have expertise in both housing, development, finance, architecture and Supportive Services and have a working panel and members of both groups to be on the panel and reviewing qualifications and interviewing and selecting and the director will accept or deny the recommendation of the panel and we will be coming back schedule wise once we issue the rfp in october we expect submissions back in january and hope to select the developer by march or april next year and come back to the commission after that process is done. Im here if theres any questions. Thank you very much. Ricky did you have sorry. That concludes the staff presentation. Thank you. Is there Public Comment . Please come forward. Please come up, and i dont have any other speaker cards on this item so if anyone else is here to speak please line up. Good afternoon commissioners. My name is bob and i am president of the Barbary Coast association and have been on the working group for all these months. With that in mind i basically wanted to say a couple of things. First of all we support the issuance of the rfp by october 2015 as called for in the staff report. We also support the possible inclusion of Senior Housing facility on the adjoining dpw lot and we think its also beneficial to the project and while were still discussing a few details on the final wording of the rfp were pleased to see that the communitys viewpoint and comments on the possible design issues have been largely not accepted but are giving some direction to the development of the project, and in particular things such as midblock alley, setbacks and the building hite, things like that we think will go a long way in helping towards the perception were dont have a blockbuster type of development here and something that again be attractive in the community. There is one important point though they do need to bring up which is we dont support the Public Parking garage with the 110 spaces on the ground floor. Were concerned that such parking would limit both the type and size and potential for retail and commercial development. We believe its essential to dedicate the ground floor to retail and commercial and possibly some community uses, so that we can develop something here thats definitely attractive in the neighborhood, that builds the ambiance and a pleasure for people to be there. What we dont want is the effect of the Maritime Plaza and several blocks length of block walls hiding a garage. Finally then it appears there would be two potential representatives on the selection panel, one from new ag and one from the working group and we believe it is also a good outcome. Thank you. Thank you. Thank you for speaking. Any other Public Comment on this item . Seeing none. Public comment is now closed commissioner brian whitlow. I want to thank rickys report and also from the Mayors Office of housing. I think it was a very complete. I want to complement the process. Seems very thorough. We have had obviously a lot of Community Input and validated by the previous speaker and i think were moving along very well hopefully on this rfp so i am certainly in support of it. I think there is one area they want to ask ricky a question and i recall we talked how this project will help out meet some of the housing i guess affordability goals of pier 70. Can you explain a little bit how we actually calculate that and what that value do we think for pier 70 so we have an understanding what value are we creating here to fill that vacuum for pier 70 . Thank you. The first step is to appraise the property to determine its fair market value based on highest and best use and once that is remember didded the city legislation that was passed for the site from trust restriction required that we pay for the cost of the appraiser and some other related costs so we are deducting those costs from the appraised value and the net value which is almost 95 of the appraised value which is going to be about 10 million would be then used to calculate the job housing linkage credit that would be provided to the port. There would be a separate mou between the port and the Housing Office regarding the job housing linkage fee credit that is provided and then used to offset some of the Development Costs on pier 70. Those Development Costs are usually [inaudible] for instance for the Office Component or housing component they need to pay to the Housing Office is off set by that credit. Okay. On the pier 70 side we dont know since that developer is not that far long in terms of the total the job housing linkage credit what is required but this is one component to fill that requirement, but we dont know we dont have the answer to that what that dollar value is for pier 70 . Is that correct . We dont know the dollar value but we will know the amount credit to offset that. We know from the magnitude of the development its more than that amount of credit that will eventually be available from the site. So we think it will more than satisfy . It might not be enough. Okay. Thats what i thought. I wasnt sure i interpreted answer correctly but this one way to offset the pier 70 . Okay yes. Okay. Thank you. Commissioner brandon. Thank you for the great report. The dpw site when will you know its included . Its. Were work with them right now to work on the jurisdictional transfer. So there will be 150 units . At least 150. And whats the break down. You said 20 homeless and 20 moderate and seniors whats the other . Its variable and median and below. It depends what the developer ends up proposing so were giving them a range and see how many they can fit on the site given all of the parameters. So the total project will be affordable . Yes with the homeless and the moderate income. Okay. And then parking. Will there be parking if the port doesnt build a lot will there be parking . Were anticipating no residential parking but car loading for the seniors and for the commercial space. And the port parking option that we maybe looking at. Yeah, when we came to you with the rfp we indicated that we may need to include parking to not necessarily to get the revenue that the port is collecting on daily basis but looking at [inaudible] when developed its almost 400 spaces lost for the community and although its reduced parking than we anticipated [inaudible] as a parking garage am any. Were saying that some parking will be available and currently estimated less than 90 and its going to be surrounded by the retail spaces that the community is asking for and screened from the streets so you wont know that the parking is there. Besides those retail commercial do need some parking for them to be viable otherwise those spaces would be because the developer who created the space but is the entrepreneur, the individual owner that will make it work and one thing theyre looking at is there support for the retail space compared to commercial . And were thinking that the number of parking is not as big as the community is expecting and the word garage is misleading and garage occupies the entire footprint of the building but in this case its not that case. Its going to be reduced parking. Thank you. Thank you. I had a similar question. I was wondering so with respect to parking is there any contemplation of below ground level parking or even above ground level as was raised by our during Public Comment or just on ground level behind the retail . Were looking at all possibilities but we know at that site the water table is high so if you go below grade its cost prohibitive and thats why we will do the analysis and if it works we will move forward but most likely its on ground Parking Spaces wrap around by the retail and the amount is going to be smaller than the community is expecting but were waiting for the developer to go on board and go through the iterations and look at the various schemes and what will work. Thank you. Along those lines in waiting for somebody to come in i think its a key point and its still anity rittive process and were looking at all options. To that point i know there has been a lot of discussion and i appreciate there is a percentage number here both with respect to moderate Income Housing, but is that a hard and fast number . Is that going to be able to be adjusted or is this the set percentages because i get 105 if i do the calculation there. Its 25 for middle and 20 for homeless and the rest is for affordable and hopefully not 105 so were looking for at least 150 units on the site so whatever the balance ends up working at least. Okay. Thank you. Thank you both for your presentations really. It was very clear and lack of extensive questioning means you addressed most of the concerns up front and thank you everyone. Is there a motion . So moved. Second. All in favor . Aye. Opposed . It carries. Item 14 b informational presentation on the public presentation and process for the waterfront land used update. Okay. I could use some i thought this was loaded on already. Im going to actually try and shorten up my presentation in light of the hour while brad tries to find there it is, the waterfront plan powerpoint. Anyway diane o sheema with the ports and planning division. Thank you very much for the long process that preceded our presentation today which im going to sort of incorporate by reference where weve walked through the public review of the ports waterfront plan and a proposed public process. Today i just wanted to review with you the outcome of big solicitation process and announce our working group and Advisory Teams that have been set up for the public process moving forward. As you may recall we had proposed two prong approach to the waterfront plan public process and at your direction we want to make sure we got maximum Public Participation and the Waterfront Plan Working Group was set up to be a body that would hold Public Meetings that would be the public forum for interactive discussions on the various topics related to looking at the waterfront plan, but as there are topics that probably will spring up that need a deeper dive we have created four Advisory Teams that are indicated in the side box to the side to focus in on specified topics so that we have another body of citizens who have solicited submitted their interest to take a deep dive, do some technical and focus analysis and be able to provide that information to the public in the working group as structured in this process. We did solicitation. We were frankly bowled over and overwhelmed by 128 applications from members of the bay area and San Francisco citizenry who wanted to get involved in this public process so we were very gratified by that, and what we ended up with was sort of the maximum number of participants both on the working group and the Advisory Teams. On the working group itself we have 33 members that are listed. On the Advisory Team we have another 54 members. I would note in the staff report we said 55 members. I had a typo i apologize and as mentioned they come from outside San Francisco and through the neighborhoods within San Francisco and each of the 11 districts. We strode for having Ethnic Diversity in what membership so we could get the broad breath of perspectives and knowledge both from people who have been following the port and know the waterfront well and a lot of it is regulatory and financial background as well as citizens who are new who wanted to jump in and learn more and help us figure out how to prioritize the various demands Going Forward. In your staff report we have included the full roster for the working group and also seven waterfront plan Advisory Teams. This slide just indicates the roster for the working group itself, and because there are 54 members on the Advisory Teams the font size got too small to put it on a slide so i refer people to the staff report. There is one correction on the staff report roster and we listed Stephanie Greenberg on the water Advisory Team for the land use neighborhood section. That was a typo on our part. I apologize because these a member of the Waterfront Plan Working Group as shown in this slide here. Just to give you a breath of the distribution, the geographic distribution at least within San Francisco it maybe is a little small for the audience to read but each dot is representing when the Waterfront Working Group plan members reside. We use the home address as a basis to get the geographic distribution. Similarly for the waterfront advisory plan members theyre distributed throughout San Francisco as well as representatives from the region as well. We have lets see did i skip a page . Anyway let me move forward. We have made some minor update to the timeline for the public process moving forward. This is a schedule thats similar to what we presented previously where we actually thought we would be kicking off the process in september but the extra time to go through all of the applicatis and land on the rosters means that weve had to move it back out a bit, and i think the important thing to indicate is that the Waterfront Plan Working Group and the Public Meetings that we will be holding for that are structured like the port Advisory Groups and we want to have interactive exchange, not only amongst the Waterfront Group members but with the audience and the participants that attend the meetings as well and that cross fertilization were going to have to be working further to come up with ground meeting rules so everybody has an understanding how to have a fair chance to participate in the discussions. This public process and the topics that are going to be covered are going to implicate all members from all divisions but we have a core group in the planning and Development Division that are staffing this and i wanted to take the opportunity also to introduce you anne cook and carrie killstrom who are sitting right here. Because of the import and scope of this we felt we needed to call in the reserves from our wisdom pool and they were both i worked with them as part of the original waterfront plan so their roots and their knowledge are really going to be fundamental in helping the process move forward in addition to the inner Agency Coordination that was referenced earlier in the meeting with the Planning Department and bcdc and state lands bringing fortcontent that is really relevant to the process. You can never really leave the port . Its like riding a bike. In terms of next steps we have what we are calling the waterfront vision workshop and that is intended to be an open house for the general public, not just the Waterfront Working Group and the Advisory Teams but all citizens to be able to start afresh to give incites about their experiences of the port waterfront to date and their ideas what we should be thinking about moving forward, and were scheduling that for monday october 19 at the cruise terminal, james r. Herman cruise terminal at pier pier 27. More notices are coming forward on that shortly as well as online comment opportunities for those that cant make the meeting and then to be able to follow up on that were scheduling a waterfront boat tour. Blue and gold has been kind enough to work with us to marshal this tour so people get to look at the waterfront from a different perspective, the water from San Francisco bay and we think its really an unique perspective that should be brought into the fold. So we are launching. We have water front plan web page set up. We are inviting people who want to follow this process to sign up on our email list so they will get meeting notices in the future. We will be having newsletters were working with renee martin and others on and along with social media messaging and key points and developments in the process so thank you very much. If you have any questions and actually i forgot. There are many members of the working group and Advisory Teams that actually just came. We did not invite them. This is a show of their excitement and enthusiasm and support for the port so i really want to thank all of the people who have come here. I couldnt say them all by name and still keep within my time limit so thanks so much. Thanks. I was actually going to ask if those people are listed as members of the working group or Advisory Group to please stand so we could see you here in the audience. Thank you. [applause] thank you to all of you. Congratulations and thank you very much for the hard and critical work that youre about to embark upon and we really appreciate your wisdom and advice so thank you all for that. Is there Public Comment . Seeing none. Public comment is now closed commissioner brandon. Diane thank you for the wonderful presentation. I think its the shortest one you have ever done. [laughter] but thank you. I think this was an exciting time and i think you have put together a great group and i am very happy to see representation from all over San Francisco and its going to be great to see what everybody comes up with. Welcome back anne and carrie. Nice to see you two. The page you skipped says that the meetings are opened to all interested citizens along with some other stuff but just want to note that anyone that wants to get involved can, and i think its an exciting time. I am looking forward to the results. Commissioner woo ho. I want to echo commissioner brandons comments. I think diane and brad and the team did a great job putting together the group and i think this also represents in the evolution of the port and the waterfront a major step forward in terms of the fact that we have such widespread representation across the city, not just the neighborhoods that are neighbors of the waterfront as well as even we got interest from outside the city boundaries. I think thats tremendous. I think we have and looked at the representation on the and in terms of the expertise, not only the geographic diversity but the expertise, and i know that we have some people that are well known interested vocal in terms what the waterfront represents and i think we hope that people see were going to respect in this process all the points of view that can be expressed. I hope that the groups will respect that there is dialogue. It is an Advisory Group, and that the points of view will be heard but hopefully the groups can also come to some sort of consensus, and that this is not to let one voice drive everything but were hearing input and we at the Commission Want to hear that we want a process, a synthesized way that the community and the public give the feedback in a way we can all work with and i think that is the goal of having the waterfront land use Advisory Group to help us and to make sure with the process that fair to everybody and gives a chance to everybody that is done in a way that makes it possible, and we really look forward to hearing the feedback. I think the interest in the waterfront is tremendous. Its a tremendous asset for the city as we know and it is for the whole city if not for the whole region now. Thank you. Thank you. I will concur with the remarks of my colleagues and want to thank anne and carrie for coming back, brad for your tremendous work as well and diane i dont know how to single you out for the the incredible work that you do for the port and putting together the initial foray and the team and assembled and i want to thank you for all of your hard work. And what has transpired over the years and thank everyone, director moyer and everyone for moving the initial plan along and making the waterfront and the port here such a dynamic place. I think the excitement around this update effort and the work was impressive and valuable so. To thank everyone so i want to thank everyone that is participating in the working group as we move forward. I am excited to see what comes out of it and look forward to the recommendations and the advice and i think its really a wonderful time, and also to echoing just the diversity of opinions, perspectives, expertise and geographic range that the groups and the Advisory Groups will represent so thank you all and look forward to future updates. Next item. Commissioners for the record items 10a and 13a have been postponed to the next meeting. Item 11 a informational presentation on revised rules and regulations harbor berthing license agreement, fee schedule and other administrative documents for South Beach Harbor. Thank you. Can thank you. Okay. Commissioners appreciate daily maritime director at the port and as amy said the item in front of you is informational presentation on some administrative matters at South Beach Harbor. South beach harbor as you know next to at t ballpark 700 slipses, one of the most beautiful marinas around and a guest dock, pier 40 and south beach park. It was built in 1986 by the redevelopment Redevelopment Agency on property leased by the port. The redevelopment agencies were dissolved in 2012. We assumed operational responsibility then and earlier this year in february the Commission Approved a memorandum agreement with the Redevelopment Agency to transfer the operations and assets of the harbor to the port. There is one final transfer responsibility left. Its the final transfer of the cal boating waterways loans totaling 8 million to the port that should happen next month or so. Since the port assumed management control of South Beach Harbor several steps have been taken to stabilize the financial situation and improvements to the management and the facility. In 2012 the harbor was facing an annual deficit of 800,000 a year and weve turned that around through a series of rate increases to this year to expect a surplus of half Million Dollars a year and expect to grow to a Million Dollars next year and 1. 7 million in 1718. These surpluss are needed for Access Requirements and requirements of a facility that is 30 years old. We are monitoring our current slip rates compared to other marinas in the buy. We instituted a 22. Five increase and had 2cpi increases and a third in january. Were going to under take a formal evaluation of the rates in the First Quarter of the next calendar year and bring those rates if below market up to market for all boaters Going Forward with the Port Commissions approval. The harbors nine time Staff Members have transitioned from redevelopment employees to members of the family of the port and its wonderful to have them come to the port and i think staff has embraced them and welcomed them. Hopefully they feel welcome. I have a couple of members i will introduce in a second. The harbor master retired and we hired a new one and i will introduce him in a bit formally but staff hit the ground running and implemented paperless invoicing, enhanced Security Systems and alarm systems and new tv systems, maintenance with the help of tom carter and the Maintenance Crew and replacing the wall for the water to be at acceptable levels. Replaced harbor navigation lights with led brighter lights and instituted monthly stakeholder meetings to ensure that the South Beach Harbor community that they hear what the Community Wants and we work collaboratively moving forward. Pier 40 the real estate staff has begun to process leases with the tenant tenants bringing them up to market rates. We added new restrooms and cleaned the pier and changing out Storage Units replaced with mental metal storage cases, and very important to the community and to port staff. Were working with a long time tenant the Bay Area Association of disabled sailors to enlarge the premises for access to the bay for the disabled community. Those discussions are well under way and we anticipate having that finalized in the next 30 days. Theyre a cornerstone of Public Access in the community down there. They do a lot of work with the Wounded Warriors and other organizations and the port wants to be supportive of them, so next on your list of what weve done was update the rules and regulations and other administrative practices. The current rules and regulations date back to 1986 whether the harbor was founded. We wanted to transition the process of the harbor to reflect city and ports policies and have a transition into the financial systems. In consultant with the City Attorney the staff has put together new documentations, new rules and regulations, harbor birthing agreements and statement of owner, fee schedule, locker agreements. These rules are more transitional in nature. Theyre evolutionary rather than revolutionary. They define the harbor masters rules and allowable and prohibited activities in the harbor and how applications are made for births and how theyre assigned or terminated and more uptodate stuff than when originally written. A couple of specific changes. There were definition to partnerships. Many ships are owned by partnerships and it clarifies how many are allowed and sunset provisions and spousal rights. Before if a husband and wife or husband and husband owned a boat together and one died the rules stated they would have to leave the harbor so that has been changed to a more actually its in concert now with San Francisco marinas rules and regulations and recreation and park department. Another thing that is new how the boats might be saild and seem odd and a number of boats dont move and because of at t or access and rules must be taken out of the slip at least 10 times a calendar year or the harbor master can take away the berthing rights. Insurance rate have been reviewed and new policy limits have been updated and standards of San Francisco marina and other marinas. The staff has worked hard with the slip holder association, the advocates for South Beach Harbor to review the rates with or these rules with them. We are going to have another Public Meeting with the south Beach Community on october 1. I want to correct the Commission Meeting package that says october 8. Its actually october 1 at 5 00 oclock at South Beach Harbor. This will be advertised well and emails sent to all slip holders to gain input. The new rules are hosted on the web page and an email blast to slip holders was sent to solicit comments and we will meet with the public again on october 1 to gain feedback on the new documents and procedures. We anticipate coming back to the Port Commission october 13 so we can continue this evolution and transfer of the South Beach Harbor into the port. Lastly i would like to introduce the new harbor master joe monroe. Joe has been at the harbor for about three, four years but new as the South Beach Harbor harbor master and i will let him introduce himself and some of his staff. [applause] youre making me feel real important. You are. Good afternoon commissioners. My name is joseph monroe. Im the current harbor master of South Beach Harbor. A little history of myself. I started in South Beach Harbor in 2009. Before that i worked at marina bay yacht harbor and with Marine Spill Response and served our country in the United States navy so its been a pleasure to work with the port. If i speak on behalf of my staff and myself we have enjoyed the transition. Its been an honor working with peter daly and port staff updating the rules and regulations and we really think this will help in the long run making sure that the harbor runs well. I would like to take the time to introduce linda green. Shes our Office Manager down at south beach. She will get everything prepared and signed with the tenants so its a pleasure to meet you all and thank you for your time and peter daly and i will not hesitate to answer any questions that you have. Thank you. Thank you. Congratulations and welcome. That concludes our report. Thank you. Thank you. Public comment . Seeing none. Public comment is now closed commissioner woo ho. I recall in 2012 when we first took over the marina and i guess the reaction to some of the actions that we took at that time. I still remember we had 41 public speaking cards at three minutes each so if you recall [inaudible] [laughter] i counted them up that day. I was president of the commission. I just want to say the fact there is zero Public Comment on what we have done thus far and that we have a new harbor master so congratulations again and the fact we are now continuing to improve how we manage and administer this facility, and bring it uptodate in terms of how the rules and regulations and i think some of the changes are needed so we can have clarification and i think its a testament to the fact that while we didnt start out on perhaps the right foot we had a lot of reaction, very angry people, but i think over time they have understood i guess hopefully the wisdom of some of the actions that we took, and we did hear them on the pricing and that has now been absorbed and i think now we have a smooth functioning marina so thats a testament to all of you and the actions we took at that time so its a real delight to sit here today with zero Public Comment to go ahead and recommend the approval of these new rules which make a lot of sense. Thank you. I would like to echo commissioner woo ho. I think you guys are doing a great job. Joe welcome. Theyre a lot of documents here and when you come back can you just highlight the major changes in each of the documents or where we were to where we are now . Yeah, commissioner thats a real fair question and executive director moyer and i we will elaborate more. One of the issues that came about was the old rules in 1986 you could put on one page and now they have now its many pages as you can tell but we will do a better job to show you any significant changes. The main ones are on partnerships and the license agreement incorporates the citys rules and regulations, but we will be glad so are the fees staying the same . For now, yes. Okay. Good luck on october 1. Thank you. Could i just ask i guess when you develop these did you consult with other marinas to the rules and policies so we know what the standards are out there . Yes. [inaudible] i copied some of the rules from San Francisco marina and they had more than 41 people that came in and i learned from their mistaked and incorporated some changes and in consultation with the attorney we crafted a hybrid document that has San Francisco marina but the ports slant as well and yes. To answer your question yes. I echo the comments. It sort of speaks for itself theyre not a lot of people objecting but i heard from people that berth the boats they appreciate the changes that have taken place and i only heard positive feedback about our initial foray into some changes and i look forward to hearing more specifically but i did have just knit picky things and from the absence of bert i have friends that are sellers and will go on long trips so if theyre absent from the bert longer than six months approval wont be with held if its along those lines . Correct and the harbor master details the authority if theyre hung up in baja or something he is not unreasonable and kicking them out. I am curious why we dont allow siewba diving tanks and seems they put tanks on the boat. As a diver im not sure about that one and will leave it for another time but curious about that. I dont know off the top of my head. Joe do you know . [inaudible] safety. I will find a little more about it. Seems counter intuitive to not allow them on boats and really want to thank all of you and as i said the feedback that were getting anecdotally is very positive. Thank you. Thank you. Next item. Okay so just want to take a quick opportunity to officially recognize joe monroe and linda green for their tremendous work. We did have a rough start as you pointed out commissioner with our boaters but a very long transition period for the staff when they didnt know when they were going to leave the state employee as the redevelopment employment and be city employees. That was complete beyond our control and created an environment of anxiety that joe and linda and denise who has been Denise Turner and our liaison between pier one and south beach have been handling magnificently and i couldnt be more pleased to be working with all three of you and thank you and welcome aboard. The staff is terrific and i have gotten but fantastic reports and if we could have more berths. Thank you. Thank you. Item 12 a authorization for negotiation with desilva Desilva Gates Construction company in the alternative with the newly formed joint venture with newco and exclusive negotiations agreement. Good afternoon commissioners. I am joined by staff and i would like to ask given the hour would you like a presentation on this item. Im sorry. I read the item and i have no questions. It was pretty clear. And you missed the presentation on this item last month last meeting. Yeah, i was here. You would have been the one commissioner brandon because you werent here and if youre happy we had the briefing. So moved. Is there a second . Second. Public comment. Now Public Comment and is there public is there Public Comment on this item . Seeing none. Public comment is now closed. I do want point out in terms of changes from the last presentation most of it was just clarifying some of the details and theres not as i see it no significant substantive from the prior presentation but some further clarification on the roles Going Forward. Correct. All in favor . Aye. Opposed . This resolution carries. Thank you. Item 15 new business. Commissioners i have the two new business items that you suggested earlier. President katz i wont reiterate therm in the interest of time. Is there anything else . Thats it. Great. Thank you. Is there so moved. Adjourn in memory of alvin b. Petrie and zeke grader. So moved. Second. All in favor . Aye. Meeting is adjourned. Thank you everybody. Please silence any devices that may sound off during the proceedings. And when speaking before the commission, if you care to, do state your name for the record. Id like to call roll at this time. Commissioner president fong commissioner wu commissioner antonini commissioner hillis commissioner moore and commissioner richards we do expect commissioner johnson to arrive commissioners, the first item on your agenda is for continuance under our consent calendar for the items west portal is continued indefinitely and that comes from the brlg and item 11 regular calendar for