Term outcomes for our unhoused neighbors with much needed stabilization and seek shelter. Thank you. Supervisors, we have to arrive at Critical Data how many homeless we have in the city. We dont count all the Homeless People. Then you want to make an age difference. It is not about age. This is the mentally challenged and physically challenged and people who have ailments, young people, 15, 16 years old. That are die betting i, on the street, dying. And going to wait until they are 65 years old to give them son benefits . Come on, San Francisco. You say that you are leading. We are not leading like the lady said. Other than one of the comments that you made. They opened up hotel rooms in august. Why . Because they want fema to pay for it. Im going to sit by fema because i have some influence by there. You will not do that unless you make that list. Thank you very much for your comments, mr. Decosta. Next caller please. Good afternoon. As someone who has worked with the unsheltered neighbors and the impact of this is worse than anything else that i have seen so far. The feeling of abandonment is pervasive and how it can impact what makes them vulnerable. The rumor went around that there was going to be hotel rooms. I had to say, i dont know, i hope its soon. By weeks four, five, six, people started to realize the rooms werent going to be for them. The mood in every neighborhood plummeted. People already felt abandoned by their community. This is a with the other stresses and to die by their own community. And appreciate what the doctor said about knowing our lens and our focus. And when you tie of an overdose, they are so dead. When you die of a heart attack, you are still dead. And the pervasive sense is driving some of those deaths. Next caller please. Caller this is joe wilson, executive director of hospitality house. I appreciate the committees work on this and having this hearing and we see every day the ravages of homelessness and poverty and the toll it takes on our community. As a formerly homeless person, i have to say it is extremely disappointing that 35, 36 years i had to stand in line to get shelter to avoid dying on the street. Several decades later, Homeless People are Still Standing in line waiting to die. This insis the answer on data is this insistence on data is 76 are age 50 years or younger. 60 are under age 40. How much more information do we need to take action . That level of density to a younger and Younger Age Group that also means, frankly, driven purely by economics, that group is the fema cases. So let someone explain to us why they are not. When a certain point, medicine has to be fuelled by no do no harm. And living on the street is harmful for people. It is doing them harm. We know all the information that we need to act. Their immune systems are comprised by stress. Dr. Borne knows this. Thank you very much for your comments mr. Wilson. Next caller please. Good afternoon, supervisors. Thank you so much, supervisor preston, for introducing this. And thank you, chair mar, for having this item on the agenda. I am just listening to discussion and shook my head in disbelief. The person who has argued against the legislation is saying the criteria for priority treatment and given sick hotels to the homeless should be based on rates and ethnicity and not the age. Well, i should remind this lady that its not like we have done anything for the people of color who are homeless in this city. Were not treating them any better and in fact, this is the city that has just totally forgotten about its homeless. So my question to this person is, what have you done for the people of color who happen to be homeless . This is a no brainer. People who are out on the street, they tend to age much faster. It is not a San Francisco thing. Its a worldwide. I urge anyone including the lady arguing against this to spend one week on the street and see how much she is going to age. This is not a matter of kambuccha or Holistic Healing and whatnot. Most people dont have access to the luxury items that person Peoples HealthCare Insurance will provide. So the best that we should do is look at the situation and realize that the most practical thing is to have people housed especially in the mid of the pandemic, and it is a no brainer that people on the street age faster. If you go through the scan, and age at 60, 65. So how about that for evidencebased medicine . Please, support this legislation, supervisors, because that thank you for your comments. Next us to the next speaker please. Caller hi, supervisors. My name is micah and i am a resident in district one. And i would like to thank and just feel the support for expanding the definition of vulnerable communities. I think the question of how much does the city value the lives of people who have been unsheltered by the structural system in the city and in the country. I feel like thats the question at the heart of this debate and i urge supervisors to really think about how much theyre willing to fight for the folks in our communities on the street. So please support this resolution. Thank you. Thank you very much for your comments. Connect us to the next caller please. Hi. This is renae and i am a resident of district five. I want to echo what everyone else has been saying in support of this legislation. And it is just unconscionable that we have the smokefilled skies and covid epidemic and even in the ideal conditions that we have so many people on the street and so many empty hotels and residential units that arent just sitting there. So that is all i had to say. Thank you. Thank you very much for your comments. Are there any further speakers . That completes the queue. Thank you. Public comment is now closed. But thanks again, supervisor preston, for sponsoring this very important measure and i like to move we recommend this to the full board. Supervisor preston, do you have any furthering remarks . Supervisor chair mar, i want to recognize the entire committee has really been so active since the start of shelter in place. And every one of the supervisors on this committee in advocating to change this sort of zero sum game mentality. When i hear the analogy that doctor talking about the doctor with the heart or the lung, and which to give someone. I think we need to recognize that the analogy here would be a doctor who has plenty of hearts and lungs to choose from and yet goes to the patient and says, you can only have one. Thats what were looking at. We as a city could be doing more, should be doing more, you all on this committee have been leaders in that. The board has made this clear. And i think that the final thing i just really want to emphasize is the timing here because we are in a season where we are on the verge of more and more people as we follow the current path and the plans of the administration being moved into congregate settings. And when we start to deal with rain and winter and more and more people with the additional outreach and the broader definition. If we dont do those things and go into hotels, we will have more and more people in congregate and we know from the Public Health department and the Public Health officer that increased dramaticcally the likelihood of having outbreaks of covid19. Thank you, chair mar, for the time on this important item . Mr. Clerk, please call roll. [roll call vote taken] mr. Chair, there are three ayes. Thank you. Agenda item 8 is an ordinance amending the administrative code to subject dwelling units at midtown Park Apartments a Residential Development owned by the city and county to the residential rent stabilization and arbitration ordinance and making findings pursuant as required by the california tenant protection act of 2019. Members of the public who wish to provide Public Comment should call the Public Comment number 41565 a0001 and enter the meeting i. D. That is 14 146 706 3442. Press the pound symbol and star 3 to enter the queue to speak. Please wait until the system indicates that you have been unmuted which will be the time to begin your comments. Mr. Chair . Thank you, mr. Clerk. Thank you for sponsoring this important measure as well. The floor is yours. I am speaking to provide rent stabilization to the longtime tenants in district five and this is a lockstanding issue in our district and of significance across the city. So i will start with background in context with midtown and discuss the amendments i plan to introduce today that have been circulated to committee members. Mid soun Park Apartments dates back to 1967 and created as replacement housing who lost their homes in the notorious redevelopment era. It was in many ways an admission by the city that dwomd caused tremendous damage and that complex was seen as a way in part to redress the injustice and displacement of the redevelopment era. The residents believed they had the protections referred to as rent control and with letters allowed with the rent control law. That changed abruptly to calculate how much rent each tenant with a model typical for the Affordable Housing complex. Many longterm residents and many immigrants received huge rent increase of 10 with the staggers rent increases. And they went to the rent board and to the superior court does not extend to midtown and the property is owned by the city addresses and changes what we believe is the unshare results to deny the benefit of rent control. I will say that as an aside that the city made decisions and is unusual and in the past and to roll them back and there are many reasons for that and at the end of the day it is not possible and despite a with the legislation as introduced many months ago provided to roll back and the tenant who is occupy the units and base rent would be set to the time of may 1, 2014. And would be subject to allowable increases and would be excite led to a credit for that amount in april, my office met with a number of stake holders and the with what became clear is certains a peblths needed to be adjusted to avoid unintended consequences and describe the amendments which directly address the concerns. To aplay the roll back would stand to benefit a majority of the midtown tenants and those who had the increases. So their rent decrease and to reset their rent is the last thing and nothing to do would require an inq3s and make clear that they would pursue the increases on the lowest income residents at midtown and we are proposing alternative model as part of the amounts, our amendments instead provide tenants with a choice. Their rent is set at the 2014 amount with allowable rent increases in the intervening time period is what we call the rent control option or choose to calculate with the flexibility and stability and predictability to the Mayors Office or future owner of midtown. There were concerns with what happens with a sudden and traditional rent control does not provide explicit tools for adjusting down the rent in such an event. For tenant who is initially elect the rent control path under our ordinance, we wanted to make sure in that unlikely but possible situation with a big shift over to the percentage and is essentially an optout of rent control that they can do once at some pint in the future as they need, to and the amendments provide the flexibility to avoid unintended consequences. The second main concern that was expressed to the office regarding the original version that they could interfere with the certification that may be necessary for certain tax credit and Financing Options in the future. In response we also are proposing an amendment who choose that path, they are no longer required to income certify and in the event they need information for an application to secure financing for state or federal funds that they can demand the information and would be required to provide for informational purposes but not for calculation of rent and determining eligibility to be at midtown and most importantly doesnt preclude the city from having access to all financing tools. Finally, it is pointed out by mopd that this would significantly lower our proposal to lower midtown availability to cover costs and this is not an issue we speak to resolve through amendments today and will not too so and the majority are africanamericans and many others who are immigrants and many other communities of color. The city needs to step up and make midtown thrive now and well into the future and we also believe the estimated costs are overstated. This brings me back to midtown history and the very existence of this complex is an attempt to right the wrongs of the redevelopment past with a mixed record and called midtown home for generations and to impose massive rent hikes and we hope this will go a long way to rectifying the situation. To the extent there are costs we need to invest in midtown, we are living in a moment where so many people and the country are taking to the street demanding our leaders recognize not only the black lives matter but that black homes matter. We need to address the racial injustices of the past. I am hopeful with the leadership that we start a new chapter at midtown in which the edesires of the tenants of midtown are centered and rent hikes were imposed and the entire plan to demolish midtown was advanced. Unconscionablely in my opinion without the support of midtown residents who had to organize for years to defeat and hopefully we are entering into a new era where the city can rebuild trust with the community. In closing i just want to thank the midtown Tenants Association and all the residents who meet quickly and have been very much involved in every step of this complex legislation and i appreciate their organizing determine to stop the demolition of midtown to force the city to abandon the misguided plan. Again and again you fought not just for yourself but a Better Future for all the residents of midtown which is so important to our city. So thank you mr. Chair and as i said, i believe the amendments are substantive and require the item to be heard again at your next meeting. Thank you, supervisor preston, for all of your work on this legislation and the amendments that were brought forward today to stabilize rent and support midtown community. I do want to know that we do have colleagues, we do have mocd director shaw and other staff available to answer questions and we also have nick menard and actually, nick, can you present on your fiscal analysis . Yes. And hello, supervisors. Nick menard from the Budget Office that amends chapter 37 of the administrative code to make midtown apartments owned by the city subject to residential rent stabilization and overall this will lower the project total rent collected as we say on page five of the report. The estimated increase of the operating subsi diwould be 550,000 a year. And this is just looking at the legislation that is immediately before you and not the amendment that supervisor preston is eluding to. We did have two recommendations and one is to request clarification from mohcd and the rent board on how the proposed ordinance would impact tenant rents. Tenants that are temporarily relocated there with the permanent residence under construction and request clarification on how the proposed changes would apply to the background owed by certain midtown tenants and other wise consider this a policy matter for the board. A thank you so much, nick. Supervisor before we go to Public Comment and i believe there are a number of members of the public who will be commenting on this item. Supervisor i do. Thank you, supervisor preston, and thank you to the tenants at midtown apartments who have been organized and treated very unfairly during this process by the city. Just so i understand it, so for units that are owned by the city, we have the power to by ordinance place those units within the explicit requirements of the rent control ordinance. Are there any limitations to that or is it only for units owned by the city . [please stand by] a recall a building on post street he and a walked on back in guessing 2005, 2006 which presented some very similar issues. It was a tax credit building. And what happened was and this has not happened a lot but it does come up, what happens when you take an Affordable Housing model and allow for protections and plot that on a place where people either were rent controlled or thought they were rent controlled tenant and that raised issues and complications and we worked through that and did legislation and supervisor peskin made clear tenants werent losing the protections even if you overlaid Affordable Housing. Honestly, colleagues, if midtown had been build in 2014 and everyone had come in we wouldnt have that problem and thats a shift in people with rent control protection to another program. Many protections of rent control exists in the program for example eviction protections, you dont need the rent board and frankly theres more loopholes in the rent control that allow people to be protected so in some cases the rental housing is stronger and you cant just assume the program authorized or operated by the city would have protections that are as strong and theres exclusions for cityowned property but theres nothing im aware of and the City Attorney can correct me if im wrong but theres nothing from limiting that exception and saying in certain circumstances were going to extend all to something that is city owned. Thank you, we appreciate that. Chair, i just wanted to clarify and something we brought up after reviewing the proposal we have discussed this estimate of revenue dropping by an estimated 550,000. I just want to clarify that so there are many vacant units, right now 22 in midtown, 17 are being used for temporary relocation from other projects the one in district 5 tenants are temporarily being relocated. When we look at the balance, i believe no revenue is on the Balance Sheet for that. In other words, if you look at 22 units and the revenue off of that that would more than make up were those units rented out would make up for the 550,000 but regardless event if there wasnt direct payment and this is saving the city money, it would otherwise have to be paying for temporary relocation. I want the public and if you can clarify thatd be great but i want