Office of Small Business slide. We will end this meeting with a reminder that the Small Business commission is the official public forum to voice your opinions and concerns about policies that affect the Economic Vitality of Small Businesses in San Francisco and that the office of Small Business is the best place to get answers about doing business in San Francisco through the local emergency. If you need assistance with Small Business matters, continue to reach out to the office of Small Business. Clerk item 8, adjournment. I move to adjourn. Second. Clerk motion to adjourn seconded, roll call vote. Commissioner adams. He left. Clerk commissioner jully . Yes. Commissioner healey. Yes. Commissioner laguana. Yes. Commissioners, it passes 52. With two absent. And the meeting is adjourned at 4 30 03 p. M. Thank you, everyone. See you in two weeks. Good morning, everyone. The meeting will come to order. This is the may 20th, 2020, rescheduled budget and finance committee meeting. Im sandra lee fewer, chair of the budget and finance committee. Im joined by Committee MembersShamann Walton and rafael mandelman. Our clerk is miss linda wong. Id like to thank Lawrence Bryant from sfgov tv for broadcasting this meeting. Madam clerk, do you have any announcement . Clerk yes, maam. The board of supervisors, legislative chair and Committee Room are closed. However, members will participate in the meeting remotely, at the same extent if theyre physically present. Public comment will be available both channel 26 andsfgovtv. Org are dreaming the number across the screen. Each speaker will be allowed two minutes to speak. Comments or opportunities to speak during Public Comment period are available via phone, by calling 888 2045984, access 35010083501008. Code 3501008. And then press pound and pound again. When youre connected, dial one then zero to be added to the queue to speak. Youll be lined up in the system in the order you dial one and zero. While youre waiting, the system will be silent. The system will notify you when youre in line and waiting. All callers will remain on mute until their line is open. Everyone must account for the same time delays and speaking discrepancies, coverage and streaming. Best practices are to call from a quiet location, speak clearly and slowly. And turn down your television or radio. Alternatively, you may submit Public Comment in either of the following ways. Email me at linda. Wong sfgov. Org. If you submit Public Comment esaw email, it will be included in the legislative file as part of the matter. Written comments may be sent via u. S. Postal service through 1 dr. Carlton b. Goodlett place. Items will be forwarded to the full forward for consideration on june 2nd, unless otherwise stated. Commissioner fewer can you please call item number 1. Clerk yes, madam chair. Resolution authorizing the Human Services agency to execute a Grant Agreement between the city and county of through the Human Services agency. In the am of 144 million. Members of the public who wish to provide Public Comment on this item shoulded 888 2045984, access code 3501008. And press one and then zero to line up to speak. And today we have with us our guest. Im sorry if i mispronounce your name. Director of ihhs. And then we also have mark burns, executive director of homebridge. And we have joe nielsen, h. S. A. Deputy director of programs. And david, h. S. A. Contract manager. And i believe christa is up first. Hi. Good morning, chair fewer, supervisor walton and supervisor mandelman. Im the director of inhome services, the program of disability and aging services. Today im here to present for your consideration a request from the Human Service agency to enter into a contract with homebridge for the provision of contract mode ihhsbeginning julh june 20th, 2025. Ihhs is a medical benefit, San Francisco general fund will cover 27. 5 million. Please note that we originally submitted a resolution for 144,160,580. But agree with the recommendation to amend the legislation to reduce the contracts not to exceed amount to 142,000,265. Commissioner mar ihhs is a critically important entitle program that provides home care for lowincome, older adults and individuals with disabilities. In San Francisco, our ihhs Program Assists nearly 23,000 consumers and living safely in the community. The department of disability and aging services operates this program on behalf of the state. And our department is responsible for carrying out standardized assessment with ihhs recipients to offer as program elgibility and allocate home care hours for household assistance such as laundry and meal preparation. To support all San Francisco, ihhs is utilizing the program, we operate a robust range of supports designed to meet the tiered needs of our consumer population. This is the ihhs continuum of choice and support. Contract mode is an essential part of this continuum. If the services help some of our citys most vulnerable residents to live safely in the community, specifically homebridge provides supported and supportive home care to roughly 4 of the ihss consumers, who cant direct their own home care. Consumers of contract mode often do not have any other support systems in their live. And without services from homebridge, would be a significant risk of eviction, hospitalization, and longterm institutionalization. During the covid19 emergency, homebridge has further demonstrated their value role, through the implementation of the caregiver Response Team or as they call them sert. The rapid creation of this team required great flexibility, ininnovative thinking to ensure worker and consumer safety and effective provision of services in an everevolving team. The team is operating seven days a week in emergency site tallahassee are supporting homeless residents to shelterinplace in. The duties range from supporting wellness checks, emergency oncall. I want to thank you for your time and consideration of this resolution. In addition to contracts and budget staff from the Human Service agency, as you said, mark burns is the executive director of homebridge is available to answer any questions you might have. Supervisor fewer colleagues, any questions or comments . Seeing none, well hear from the b. L. A. , please. Good morning, chair fewer, members of the committee. This the resolution would approve a new contract between homebridge and ihss for services for the fiveyear period from july 2020 to june 2025. Homebridge was selected through a competitive process, but they were the only responder to the process, as i recall. But they also have been providing these services for a number of years now. We summarized the contract expenditures on page 4 of our report. As youll see, this is a budget we were provided by the department. The expenditures are about 142. 2 million, which is less than the amount in the resolution, so we do recommend a reduction to amend the restore deuce to the amount provided in the contract budget. And we recommend approval. Thank you very much. Any comments or questions from my colleagues . Seeing none, madam clerk, lets open up item number 1 for Public Comment, please. Clerk yes, madam chair, operation is checking to see if theres callers in the queue. If caller ares ready, if you have not already done so, please press one and zero to be added to the queue. For those already on hold, please continue to wait until youre prompted to begin at the beep. Madam chair, there are no callers wishing to speak. Supervisor fewer thank you very much. Public comment is now closed. Id like to make a motion to move this item to the board with a positive recommendation. Madam clerk clerk, could i have roll call . Clerk excuse me. Supervisor fewer yes. And i can make a motion to approve the amendment brought forth by the b. L. A. Could i have a roll call vote, please. Clerk on the motion to attend item number 1. Supervisor walton . Aye. Clerk supervisor mandelman . I three ayes. Roll call vote, please. Clerk on that motion, supervisor walton . Aye. Supervisor mandelman . Aye. Chair fewer . Aye. Clerk the ayes ayes are thri ayes. Colleagues, well move to item number 3 first. Clerk item number, approving and updated conditional property change agreement for property change agreement. Under the jurisdiction of the Fire Department, in exchange for a portion of the property at 425 to 439 washington street. Members of the public who wish to provide Public Comment on this item should call the 888 2045984. Also available to speak are San FranciscoFire Department communications and Outreach Coordinator olivia and mark from mohcdand jonathan. So right now were going hear from our director of real estate, mr. Endrico. Good good morning, chair few, supervisor mandelman and supervisor walton. Again my name endrico and i am the director of real estate. Im seeking your positive recommendation on the updated conditional Property Exchange agreement or cpeafor the potential exchange of cityowned property located at 530 sansom street for a privately owned parcel, which is a portion of 425 to 439 washington street. This exchange is part of the new fire station 13 project. I have a presentation, if i can share the screen . Hopefully you can see that . Supervisor fewer yes, we can. Just a bit of legislative history. In june of 2017, the board authorized the use of the air rights at 530 sansome for the development of Affordable Housing. The board authorized soliciting a proposal to develop marketrate housing and a new fire station at 530 sansome street, with the revenue dedicated to Affordable Housing at 72 pacific avenue. In may of 2019, the board conditionally approved the original cpea again conditional Property Exchange agreement, to facilitate the new highrise development and the new fire station, both at no cost to the city. Since that time, the project has been redesigned to better meet the needs of the Fire Department and the anticipated demands of the marketplace. These changes are substantive enough to warrant a new conditional approval, which we are before you today seeking. The changes from the original proposed cpa are as follows. The four station has been increased in size to 20,300 square feet. The original size was 19,266 square feet. This marks an increase of a little more than 1,000 square feet and a land partialel allocation increased by 26 . The developer is now swapping out 35 forsale condos for 40,000 square feet of office. In addition, the developer is adding a voluntary fee of 1. 6 million. The fire station delivery cost has increased to 31. 2 million. And we also added an additional apparatus bay for the fire station. And ill walk through the details of those changes. In the fee structure, the prior proposal included both the job housing linkage and inlieu fees. With the removal of the condos or office, switching to j. H. Fees would result in less fee revenue. In order to offset this decrease, the developer has agreed to add an additional fee to capture those reduced revenues of 1. 6 million. Thats making the city whole for that change. The developer is also agreed to cover the increased cost for the delivery of the firstclass, nextgeneration fire station. The cost increase was 5. 7 million. Fees allocated to 772 pacific Affordable Housing project will exceed 5. 9 million, which is sufficient to complete the financing gap of that project. Originally budgeted 4 million for this project. Now were at 5. 9 million. Again there are no fiscal impacts to the city, due to these changes. The condition of project Exchange Agreement is also subject to the board and mayors ratification post. Thats the action that youre taking today is not the final approval of this project. With you will you will have another opportunity to review and approve the project, after the process. The efficient delivery of the new fire station, be it private delivery at no cost to the city, is currently estimated at 31. 2 million, which as i said before is an increase from the original cost. Private delivery put the risk of those cost escalations on the developer and not the city. Upon completion of the project, any cost savings in the station delivery are realized by related, except that any savings below the original cost of 25. 5 million will be paid to the city at the close of escrow. , in other words, this risk is bracketed. The city in any event will certainly get the value and benefit of the original 25. 5 million price. However, if there are savings between 31 million and the original 25 million, those savings go to the developer. On the other hand, if there are Cost Increases over the 31. 2 million, that risk is born by the developer. All housing job linkage fees, which were estimated to be 5. 9 million, will be dedicated to the 772 pacific avenue Affordable Housing project. This project will also require Transferable Development rights, which will be purchased by the city, which will generate an additional 5 million in general Fund Revenues. The project also requires prevailing wage and other city requirements, that would apply not only to the building of the new fire station, but the hotel and office development. The developer is increasing its financial participation, while at the same time our updated appraisal shows that the citys Property Value has actually declined. The project would next proceed with entitlements. So if the approval is obtained, we anticipate permitting in 2021, 2022 after the final agreement is ratified and the ancillary documents. Construction will begin in early 2022 and a new project should be completed by the end of 2023. Just to give you a visual of what the project looks like in your orientation. What this picture is, its not a very good one, i apologize. What its intended to show is the pink box in the upper right lets go back. How do you go back . One second, please. There we go. The pink box is the Current Location of the fire station and its on the corner lot. The new fire station will be located in the block that is bordered in blackout lines. Just to give you an orientation from the neighborhood. You see that the new project will be facing sansome street, it will be bordered by washington and merchant street. This is a diagram view of the stack of the project, as currently envisioned. Youll see the fire station in the lower righthand side. The Highrise Hotel office tower sits to its left. And you can see that portion of it is over the fire station. This is a rendering of the North Elevation on sansome street, facing the project. You can see the fire station in the lower left. And the highrise tower above it. Again noting the cantilever over a portion of the fire station. Youll also note that there are four bays in the fire station, when the original proposal only had three. Next steps. The developer has made significant design changes. We believe that these changes favor the city and they produce a better project for the fire station. It is also in favor of the developer, because these changes deliver a better project, that is positioned to be successful in tomorrows marketplace. And specifically switching out the office for the condos. That concludes my presentation. Im available to answer any of your questions. I also have with me jonathan, the Senior Vice President for related california. I believe mara from the Mayors Office of housing and Community Development is also on the line. And Olivia Scanlon from the Fire Department are also available to answer your questions. Thank you. Supervisor fewer thank you. Any comments or questions from my colleagues . Mr. Pinnic, i have one clarification. In your presentation, you mentioned about a couple of facts. You mentioned that our City Property has the value has decreased. And and i think you gave a verbally you said a some of i think it was before that. The page before that one. Yeah. You said 5 million and you have 3 million plus. So is it, indeed, 5 million . Im sorry. Could you repeat the question . Supervisor fewer on the second bullet point, when you read it out loud, were reading, resulting in additional general Fund Revenues of 3 million plus. And you gave in your verbal presentation 5 million. Chair fewer, i must have misspoken. We anticipate that the sale of t. D. R. Will generate a little more than 3 million. Supervisor fewer okay. Shucks. Okay. I thought it was the 5 million. No. The linkage fee Prime Minister 5. 9 million. Additional 3 million in t. D. R. Supervisor fewer thank you very much for the clarification. Any comments or questions from my colleagues . Seeing none, there is no report on this. So madam clerk, can we open up this item for Public Comment, please . Clerk yes, mad