tv Government Access Programming SFGTV March 22, 2019 10:00am-11:01am PDT
>> clerk: good morning, everyone. this is march 20th, the regular meeting of the budget and finance committee. i am sandra lee fewer, and i'm joined by catherine stefanie and our clerk is miss wong. and i would like to thank sfgov-tv for broadcasting this. madam clerk do you have announcements? >> clerk: silence all cellphones and electronic devices and documents to be
included to the file should be submitted to the clerk and items will appear on the march 26th agenda unless otherwise stated. >> president fewer: can you call item one. >> clerk: resolution allowing the sheriff's department to enter an existing contract with community alternatives to administer the home detention and electronic monitoring program, extended the term by three months and increasing by $465,000 for an amount to not exceed $2.4 million. >> president fewer: we have the sheriff's department here. >> yes, ma'am. i'm a c.f.o. for the sheriff's department and i'm here today to request authorization for three-month extension to the sheriff department's contract for electronic monitoring that we do today with leaders in community alternatives and this request also includes a request to increase the not to exceed amount from $2 million to about
$2.5 million. and low program history, this was -- this program was initially established to provide an alternative to incarceration wherein participants are approved by the court. initially this program had a fee structure for sentence participants based on the ability to pay and then about a year ago there were a number of decisions that significantly increased the participation in this program that notably what we refer to as the humphries decision wherein an appellate court ruled that the court his to consider both ability to pay and nonmonetary alternatives to incarceration when setting bail or release conditions. and then at the same time sheriffhenessey waived all fees for participants. and following both of these occurrences, the number of program participants increased significantly from about 100 a
month to today to about 300 a month. so if we -- actually i have a graphic that shows this. if we could have the slide. okay, so you can see that we were running along fairly consistently about a hundred participants and now at 300 participants. so this has what has caused the need to increase the not to exceed amount and the reason for the extension is that we have bid this contract out and we have put out a competitive bid and the time that it has taken to move from current krrtor to our new contractor is longer than what we had expected so we're asking for this three-month extension. >> president fewer: colleagues, any questions or comments? i have a few. one, i wanted to ask are you
sure that three months is enough time to complete this competitive bid process? >> yes, yes, i'm confident. we're past the hurdles, the big hurdles now. >> president fewer: okay. and you can ensure that this will be the final amendment? >> yes. >> president fewer: okay. so i guess that the next question is -- so why all of the amendments for extensions? >> so initially this was a three-year contract with option 2, one-year options to extend the contract. and we exercised both of those options and after the five-year president or anticipating the end of the five-year period we put it out for competitive bid. we awarded it to a competitor of the current contractor. in our process to -- to make sure that the -- that the
process was fair there were a lot of questions that we had to answer. we worked with the city's attorney general office, with o.c.a. and we believe that we have answered all of the questions now and so now we're simply setting up to make sure that this new contractor can take over the contract. >> president fewer: okay. so quite recently we have heard contract renewals and extensions at this board. and sometimes we hear to have an extension is sometimes fiscally positive for the city and county of san francisco. is that true of these extensions that you've asked for in the past? >> i would say that they are fiscally neutral? i mean, i think that the -- this is fiscally positive inasmuch as it is much cheaper to have people out of custody than it is to have them in custody. the cost to have someone out of
custody on this program is roughly $12 a day and the amount that we report to the state -- there's a formula for what costs we have to include to determine what it costs to have someone in custody, that's about $250 a day. so it's significantly -- >> president fewer: so i think that the program itself -- but i think what i'm asking is the terms of the contract. >> the terms of the new contract are less than the terms of this contract. so i -- >> president fewer: got it. can i ask you then, we're serving 300 people, do you have any racial data on who these participants are? >> today, i do not, but i have my staff now working on a comparison of demographic information of who is held out of custody versus who is held in custody. >> president fewer: okay, that would be great. i would like, since you're
gathering that information, i would like to know of the hundred original participants, what is the racial data on that. and then the 300, the racial data on that also. i think that it is really important that when we talk about our city funds that there is also a lens of equity here in this contract, you know, almost $2.5 million, and a program which is supposed to bring -- i think a little bit of equity also to our incarceration program that i actually think that it is really appropriate to have racial demographic information when we have contracts like this because it allows us then to keep track of ourselves, even at the budget committee, of how well we're working as a city toward racial equity. but thank you for answering those questions. >> i would actually just like to
add that the people who come into this program are not chosen by the sheriff's department, they are -- it's determined by the courts. so we receive into this program whoever the courts send to us. >> president fewer: thank you very much. let's pivot to the b.l.a. >> good morning, chair fewer and members of the committee, from the budget analyst office. and i'm going to basically follow-up on what mr. hollings said. the board is asked to approve a three-month extension to the existing contract between the sheriff's department, the leaders in community, and alternative for electronic monitoring and approve the increase of $465,000 in that contract amount. my understanding is that those funds are available in the sheriff's department budget for this coming year. there will be a new contract -- our understanding -- as of august 1st. with a new vendor. and we recommend approval. >> president fewer: thank you very much. let's open this up for public comment. are there any members of the public that would -- yes, please
come up and you have tw two minutes. >> good morning, supervisors. my name is anne marie mafit and i'm an attorney and a public advocate and a resident of the city. i have sent a couple emails to you over the past two weeks and i'm going to just reiterate what i have mentioned in the emails. with all due respect i feel that the analyst report contains several errors. the l.c.a. original contract was never approved by the board of supervisors. it was scheduled for approval in april 2014. on april 16th, the day that the budget and the finance sub-committee, and without explanation announced that the board would not approve the contract. instead, the entire title and text of the legislation was changed and the supervisors instead approved simply evidence of the contractor's liability coverage for the upcoming year and purported to have the rules and regulations of the program. in 2017, and 2018, the board did
approve the two, one-year extensions to this contract. but the original contract was never approved. the language in file number 190203 is misleading and incorrect. the reference to the rules and regulations of the sheriff's electronic monitoring program and appendix a of the contract is simply not correct. appendix a is a description of the contractor's services under the contract. the rules and regulations that govern the program and dictate the movement of thousands -- of individuals who are shackled with these monitors is in a separate document which i have provided to the clerk today. copies for all of you. as well as invoices which you can use to match up to the figure that the budget and analyst gave for the total amount paid out so far which i respectfully say is also incorrect. according to my estimate, closer
to approximately $3 million is paid -- has been paid out under this contract so far. thank you. >> president fewer: thank you very much. any more public comment? seeing none, public comment is now closed. colleagues, any questions or comments? i'd like to ask the budget legislative analyst in relation to the comment that we just heard what is the original contract approved by the board of supervisors? >> that was our understanding. i have to go back and research. but what i would say is that this contract is not coming under the charter provision requiring the board of supervisors approval of $10 million or 10 years. what it is being approved is if you will notice in our mandate statement is actually the state requirement that the board of supervisors approve the rules and regulations of the program. and so that's why we believe that it's before the board today. but i would have to go back and
research what happened in 2014. >> president fewer: okay, thank you very much. anyone want to make a motion on this? >> yes. >> i'll move that we forward to the full board with a positive recommendation. >> president fewer: we can take that without objection. thank you very much. madam clerk. call item 2. cloik ordinance amending the business and tax regulations code to add provisions to administer the homelessness gross receipts tax. >> president fewer: yes. i believe that we have amanda fried here. okay. from the treasurer office. >> good morning, chair fewer and supervisors. this ordinance defines the administration the homelessness gross receipts tax passed in november. last year the voters passed three taxzs, two effective january 1, 2019. one of the reasons that we were able to begin the collections nearly immediately is that we
worked hard to fold the new taxes into our current administrative procedures to streamline our work and to ease the transition for taxpayers. thus, the ordinance in front of you today ties the homelessness gross receipts tax to our existing provisions, the same for payroll expense, administrative office and commercial rent taxes. given the number of taxes we know that are in front of this group as the annual business tax filing group. thank you for your consideration and i'm here for any questions. >> president fewer: colleagues, any questions or comments? seeing none. there is not a b.l.a. report on this. let's open this up for public it comment. any members of the public that would like to comment on item number 2? please come up, you have two minutes. seeing none, public comment is
now closed. colleagues, i would like to continue this to the meeting of april 3rd at the request of the sponsor. so i can take that without objection. thank you very much. madam clerk, call item 3. >> clerk: item number 3 is a resolution to retroactively authorizing the recreation and park department to accept the expend a grant for trust for public land in the amount of up to $520,50 for a feasibility study and concept design for improvement bees to the eugene l. friend recreation center, from the project term of october 2, 2018 through march 31, 2019. >> good morning, supervisors. so i'm here to request your approval of an expend resolution for an in-kind grant of a feasability study and concept design for renovations to the
jean friend recreation center. it's through a partnership with the friend family foundation and after acceptance of this grant by the board of supervisors we plan to bring the concept design to the recreation park commission for approval this spring. and then the department will begin the schematic design and the development phase of the project with the hopes of bidding out construction in 2020 and breaking ground in 2021. pending confirmation of construction funding sources. for a little bit of additional background on the grant, the jean friend is in the soma neighborhood. the one-acre site has a recreation center with a full indoor gym and activity room and much more and is a recreational hub for the neighborhood. it's undergoing growth and in order to serve a wide range of community members into the future, the center needs renovation in the near future. beginning in 2015, the trust for public land in partnership and close coordination with the recreation and park department
led a community engagement process to develop this feasibility study and concept design for expansion and improvement of the facility. and this process included five public meetings, over 20 focus groups and a hundred survey respondents and direct engagement with many local stakeholders. the results were a feasibility study that provided a preliminary group of options along with the recommended concept design to renovate the facility, featuring over 10,000 additional square feet of expanded activity space and creating a welcome and open and safe environment. these resources will serve to inform the next phase of the project by providing us with the community supported concept plan to implement. i'd like to close by thanking the trust for public land for their partnership on this project and to recognize the senior program manager here with us today. thank you very much for your time and we hope that you will support acceptance of this grant. >> president fewer: thank you very much. any questions or comments for
mr. sinclaire? there is no report on this and i do have a question for you, mr. sinclaire. and that is that this term of this grant is from october 2n october 2nd, 2018 through march 31st, 2019. which is next week. why is this retroactive? and have you begun expending the funds? >> so this is all in-kind. so the final work product is what we're accepting now which is the concept design and feasibility study. we have been working for several years now with the trust for public land on that process. but no funds were exchanged as part of this grant. it's all in-kind. >> president fewer: thank you very much. let's open this up for public comment. any members of the public that would like to comment on item number 3? hi, sir, you have two minutes. >> good morning, everybody. i'm philip vitali for the trust for public land and we're part
of the design and feasability study for this project. and i wanted to point out how valuable this project is to the community. there's more than 1300 children living within a two-minute walk of that facility. and over 57% of the people within that walker low income. so this is a really important facility for the community and we really wanted to make sure that we examined the existing space. and we looked at what the community would really desire for a rec center. so we're excited to offer this and we thank the foundation for their gift which allows us to do this feasibility study and concept design, so thank you very much. >> president fewer: thank you very much. seeing no public comment, public comment is now closed. supervisor mandelman, would you like to make a recommendation on this? >> supervisor mandelman: sure, i move that we forward this to the full board with positive recommendation. >> president fewer: yes, we can take that without objection. thank you very much, madam clerk, call number 4.
>> clerk: item 4, ordinance amending the business and tax regulations code to add a credit against a person or bomb bined groups homeles homelessness gros receipts tax equal to 10% of the portion of a person or combined group's tax liability for a tax year with respect to the person or combined group enters into a agreement waives its right to a refund of its tax payments associated with any claim that the homelessness gross receipts tax ordinance is invalid because it required a two-thirds vote rather than a majority to the electorate to pass. >> president fewer: there's a b.l.a. report but i think that we'll hear it in full when we have the presentation also. any members of the public that would like to comment? public comment is closed. and i would like to continue this to the meeting of april 3rd. without objection. thank you very much. can you call number 5. >> clerk: item 5, resolution
authorizing the office of the treasurer and tax collector to accept and expend a grant in the amount of $150,000 from the workers lab for designing and piloting a workers fund at san francisco international airport from may 1, 2019, through june 30, 2020. >> president fewer: thank you very much. i believe that we have once again amanda fried from the office of treasurer and tax collector. >> good morning again, supervisors. amanda fried from the office of the treasurer and tax collector. i'm here this morning again to present for your approval a resolution that will allow our office of financial empowerment to accept and expend a $150,000 grant from the workers lab. the grant funds will allow the office of financial empowerment to pilot a workers fund intend to safety private sector workers at the san francisco international airport to manage
emergencies. around 40,00,000 non-government employees work at the hub. and many of these are low-wage workers struggling to make ends meet. half of the 40,000 workers at s.f.o. earn less than $50,000 annually. the workers fund would provide employees access to funds to manage financial hardships such as a car breakdown, a high winter heating bill or a medical emergency. the fund would draw in models from other sectors with employers correcting on behalf of their employees. access to this benefit and the workplace could help the workers to stabilize and make ends meet, maintain their jobs and reduce reliance on predatory financial services that can be detrimental to their financial well-being and often trap borrowers in a cycle of debt. in collaboration with the airport workers and their unions and s.f.o. and their tenant employers, s.f.o. will design and pilot a workers' fund.
o.f.c. will determine how employees access the funds and the funds accessible to each employee and how to administer and how to fund the model with contributions from tenant employers and the airport. they will test the workers' fund with a sub-set of employers and employees to access the financial well-being and household stability and to collect insights that inform how best to operationalize the funds on scale. as o.s.c. works with key stakeholders to pilot the workers' fund how to scale the fund to benefit all 40,000 non-city workers at the airport. the project period for the grant begins on may 1, 2019, and end on june 30th, 2020. thank you for your consideration and i'm happy to answer any questions that you might have. >> president fewer: thank you very much. colleagues, any questions or comments? seeing none and there is no b.l.a. plan on this so let's
open this up for public comment. any members of the public that would like to comment on item 5 in seeing none, public comment is closed. i wanted to mention that i am really glad to hear that the private sector actually is involved in this. and we're looking to -- seeking their funding, actually, to help to fund this fund which i think is excellent. but they should be paying for it, quite frankly. we approve and this committee, many, many contracts for private businesses actually to operate at the airport. and they're a social responsibility also to help out their workers. so, thank you very much. i'd like to move this to the full board with a positive recommendation. we can take that without objection. thank you very much. madam clerk, i'd like to make a motion to rescind item number 2. can i take that without objection? thank you very much.
and item number 2, we originally had -- it continued to the meeting of april 3rd, and we -- i'd like now to make a motion to give a positive recommendation and move this out of committee to the full board. take that without objection. thank you very much, thank you, colleagues. madam clerk, now please call item 6. >> clerk: item 6, resolution authorizing the public utilities commission to execute amendment number 4 to an agreement with black and veatch corporation, increasing the length of the agreement by 1 10 months for a total agreement amount of $71.8 million. >> president fewer: thank you very much, i believe that we have mr. dan wade here. the director of the water system treatment program. >> good morning, supervisors. i'm here to speak about the replacement project, the construction management contract, which is cs-911 with black and veatch corporation.
a little bit of the project background -- the replacement project has reached substantial completion. this project started way back in 2002. it's been a long journey but we have recently been able to have water at this critical reservoir as part of the water system for the first time in 17 years to full capacity. differing site conditions on the project have had cost and scheduling impacts over time. i can speak more to that if you have questions later. there were also severe rain events in 2017 that delayed the project. the original contract was awarded in 2010 for $38 million with a duration of five years and six months. and due to the site conditions there's been two amendments since the original contract was executed. and so black and vetch has provided these management services which are critical to the completion since initiation in 2010 when the contracks started and we went to
retainment through the end of the project which is an additional 10 months. this is a recent picture of calaveras dam, it's a replacement dam, 220 feet high and the largest local reservoir, when i say local i mean local to the barrier, and with the sierra mountain range. it's a critical water supply that stores over half of the supply here in the bay area for 2.7 million people. it's a 3.5 million cubic yard earth and rock filled dam. the previous amendments for this construction contractor are summarized here. amendment one was for time only due to an issue that came up early in construction because there were other issues that happened shortly after that. and that amendment was never executed. and so we have amendment 2, which was a small amount to buy us time while we prepared a
larger amendment to come to the board back in 2015. and those are summarized there. and so amendment 4, which is what i'm here to request today, is to essentially finish out the project. to finish out the construction which will occur this may. and then to do the closeout documentation which would take another 10 months. and these are the services that they are continuing to provide. i won't read those to you. and so our request is to approve the amendment with black and veatch for $3.8 million to bring it to $78.1 million with an increase duration of 10 months to nine years and eight months. this allows us to continue these management services for the very important project for the water system. i'd be happy to take questions. >> president fewer: supervisor
stefani. >> supervisor stefani: can you explain the cost overruns and i know that you mentioned the sub-surface conditions. but if you could expand. >> and i have been here to explain several times over the years to the board so i just want to say that so that people know that this has been well documented over time. so in late 2014, early 2015, there were two ancient landslides discovered in the sub-surface of the large fill that we call the left abuttment or dam that needed investigation. so the project essentially halted for about four months while that ancient landslide there -- they were investigated. these landslides were drove through during the geologic investigations during the planning and the design phases of the project. and so the natural question to ask -- why didn't we know about
these prior to construction? and so we actually, through the city's attorney office, hired an independent consultant to do an independent investigation. and the findings were that, you know, these ancient landslides were essentially very well obscured within the slope. they're 20,000 years old and there were no -- there was no active remnant to be observed at the surface. and even though there were 11,000 linear feet of coring done during the investigation phase of the project, during the design phase of the project, world-class geologists were not able to detect their presence. so as a result during construction when the contractor was excavating these -- the slope to make room for the new dam -- these ancient landslides were discovered. in fact, at the time it wasn't even clear that they were landslides until they did a lot more investigation and we were able to look for features.
so the slope had to be redesigned. and those three million extra cubic amount of material that had to be moved and increased the cost and time to the project. now the independent consultant also determined that, you know, had we known about these slides at the beginning of the project that there was really no other way to design the project. so the project that we have is the project that we would have had during the design, and we would have planned for a longer construction project and, you know, a more costly construction project. so it was very difficult to find out about it during construction, but the conclusion was that it's still the right project. >> supervisor stefani: what was the estimated completion date and do you see any risks for budget changes? >> so we do not anticipate needing to come back for budget changes, no. we have -- we did a -- this project is part of the water system improvement program which
is a $4.8 billion program. so although this project as a stand-alone project has had large budget increases, we've had some projects that have been under budget so we've been able to bulle put the funds to this h the program. so overall the water system improvement program is at about a 12% increase since 2005, even though this project has had a much larger increase. >> supervisor stefani: okay. last question, what is the useful life of this project, like, how long will this last? >> 50 to 100 years, and the dam is designed so it can be razed in the future. as we know there's a lot of movement within the water industry to -- to account for climate change and to account for water supply needs here in the bay area. but also environmental needs. so it's possible that a future generation, maybe not too far down the road, would decide to
raze the dam. so we designed it so that could be done without taking down the entire dam. so the previous dam served us well for almost a hundred years. >> supervisor stefani: thank you. >> yep. >> president fewer: and i believe that we are the only report on this? sorry, the microphone is touchy. and the board is asked to approve the fourth amendment to the construction management contract between p.u.c. and black and veatch for the calavas dam project. our understanding is that the completion of the project is scheduled for may. this contract would extend conception management services through march 2020, increase the amount from $68 million to $71.8 million and an increase of
$3.8 million to go through the closeout period. we do summarize the contract budget on page 10 of our report. and we recommend approval. >> president fewer: thank you very much. let's open this up for public comment. any members of the public that would like to comment on item number 6, public comment is now closed. i'd like to make a recommendation to move this motion to move this to the full board with a positive recommendation. we can take that without objection. thank you very much. and madam clerk, please call items 7 and 8 together. >> clerk: seven, resolution approving a lease agreement between the treasure island development authority and the treasure island sailing center foundation for its development and management of the sailing center for a term of 66 years following the board approval for a minimum annual price rent of $10,000 with rent increases adjusted annually by the consumer price index. and item 8 is a resolution approving the agreement between the treasure island development authority and the treasure island enterprises for the
development and the management of treasure island marina for a term of 66 years following board approval for initial placement of 90,000 with rent increases adjusted annually by the consumer price index. >> president fewer: thank you very much. we have miss courtney macdonald, the aide to the supervisor's office and robert beck from the treasure island development authority. >> good morning, supervisor, i'll have bob beck from the development authority speak first. >> thank you very much, chair fewer and members of the committee. bob beck with the treasure island development authority. so i have two items to present to you today. first, a long-term lease with the treasury island sailing center. the treasure island sailing center first came to treasure island in 1999 and entering into
a lease with the authority to establish its programs on the island and in clipper cove. the sailing center's mission is to create opportunities for people to learn and grow through sailing and to provide facilities, sailing instruction and access to the water for people of all socio and economic backgrounds and skill levels. clipper cove, for those unfamiliar with it, lies between treasure island and and treasure island being the manmade island. and the cove was created when treasure island was constructed. there was a shoal that extended off to the northern shore of the island and materials from that shoal were dredged and pumped into the containment that became -- formed at treasure
island. that -- that created clipper cove and dredged it to its original depth. and in clipper cove lies between treasure island and yerba buena island. and the treasure facilities are at the southeast corner of the island today. here's a perspective on that. you can see the waterside facilities that extend out over the water and down to the water. and the base structure there was existing naval facilities though treasure island sailing center has made some improvements to the access. and then they have some modular facilities and boat storage on the land side. and the 201 entitlement and transaction documents for treasure island committed the community development to provide a geotechnically improved site
for the continuing operations of the sailing center programs and the land-use plan identified that site as shown here just to the east of what is the historic hangar 3. this proposed lease would provide the sailing center with a 66-year lease to facilitate and financing and permill permif new facilities. because large portions of the island are subject to the state lands trust, including this site, 66 years is the limit of how long of a lease we can provide underneath the lands trust. here's a planned view of proposed improvements for the site and showing their landside and their water side improvements. so the lease terms, the premises, are for a little over
78,000 square feet of land space and a little over an acre of water space for the -- not just for the construction of their facilities and the proximity adjacent to the sailing center utilized a great portion of the cove for their training programs. the initial base rent for the lease is $10,000 upon initial occupancy of this area. we're entering into the lease now while they continue under their old month-to-month lease, utilizing their existing facilities, to facilitate them going through the financing and the permitting process. but the term of their lease will -- and the base rent will kick in after the master developer has made the geotechnical improvements to the site and made it available to the sailing center. the sailing center has up to 15 years to complete their
improvements on the land side and water side under the lease. and with that i'd like to ask crist oharris-adamson from the sailing center to come up and she wanted to provide more information on the programming at the sailing center. >> thank you, bob and to the members of tida for their support over the years and for getting us to this point today. on behalf of our organization, staff, and sailors and supporters, i want to really thank you all for having us here today. we're really thrilled to be here. it's been 20 years in the making. our vision is really simple -- we want san francisco to have a first-rate community sailing center to provide universal access for the bay. and we want to serve all of the children in our community and teach them more than just sailing. we've worked really hard over the last 20 years to show that this vision can be realized. we currently have stem programs
for fourth and fifth graders and robust after-school and summer program, and high school and college racing programs, and adaptive sailing programs for the visually impaired and individuals with physical disabilities. we have an avid adult sailing program as well that reaches over 500 adults each year. our set, sail learn program is the very first experience that brings the bay to life through active hands on lab sessions and sailing and creative lesson plans that instills a sense of conservation and stewardship in youth. most importantly, it opens up the door to the bay, to outdoor activities and the world of sailing. every child goes home with an invitation to return for after-school or summer camps and classes. we've had the joy to teach more than 6,500 kids through this program and continue to serve about 1,200 kids per year and we invite you to come and share this experience with kids from your school districts if you have a chance. and as kids grow up they're encouraged to participate in
more advanced sailing classes and high school programs and instructor training programs, both which lead to college sailing and job opportunities. we're home to the u.c. berkeley sailing team and the high school sailing team. and because we know that the drive for the mastery of skill brings opportunity, a core part of our future will be preparing kids and connecting them with career opportunities in the sailing or racing, maritime industry and education and stem industries. 20 years ago, community sailing centers were really uncommon in the u.s. most sailing happened out of yacht clubs and now there's over 329 registered sailing centers, 229 sanctioned by the u.s. sailing association, our governing body. and we're proud to be one of those centers and one of the seven to host olympic development programs and one of the two sailing centers in the united states to host u.s. sailing team training clinics.
because we know that striving for excellence creates stronger people and better leaders having a world-class center with coaches to help our instructors to be more effective world-class athletes and have visiting and training out of our center will inspire our young athletes and the world-class facilities that we anticipate on building will help to advance and educate our students. we also know that heroes in our sport or in any sport create hope and inspire, grit, and determination. as tennis gave us billie jean king and the williams sisters we feel that we will raise heros in sailing. we have served an estimated 55,000 people over the last 20 years. our instructional programs alone have served over 2,700 people and provided more than 31,000 hours of instruction this past year. 84% of our youth received partial or full scholarships.
65% are minorities. and we have roughly an equal number of boys and girls. to extend our reach we partner with 64 community organizations and 52 schools. our vision is to provide a best-in-class sailing center in san francisco to change our community and the sport of sailing by providing more access to sailboats and more educational opportunities and more pathways for kids to develop excellence and stewardship and citizenship and athleticism for generations to come. this is a picture of olympic medal winner kayla payne, interacting with some kids from one of the elementary kids in the san francisco unified school district. in order to do this, we do need a long-term lease. the most critical next step in our future is getting this long-term lease. a long-term lease allows us to raise capital funds and apply for the permits that are necessary to build the waterfront that is desperately
needed. our current pier has had costly repairs to keep it fumpgdzing and the clock is ticking on its life span. we need to build a new pier to have water launch access and to continue our programs. as bob mentioned the lease is 66 years from commencement. we plan on raising at least $15 million to invest in this project. securing a long-term lease will allow us to plan, staff and fund this endeavor. i want to point out that our lease is really been carefully written to include not only milestones but checks and balances to make sure that the education of our youth and accessibility for our community are always a priority. we have stipulations for scholarships for youth as well as a volunteer rewards program to make sure that adults from any background can access sailing in the bay. we believe that we've shown the city that we're sustainable,
non-profit organization that is true to its mission. in building a place where kids from all backgrounds can learn to grow together through sailing. so we ask for your approval for this long-term lease so we can continue to serve our community. i want to thank all of you for your time today and particularly supervisor haney and for getting us to this point today. and the numerous people in our community who wrote letters of support and are here today to speak. we truly appreciate your time and support and involvement that's made it is what it is today. thank you. >> president fewer: thank you very much. >> thank you again, members of the committee. so the treasure island marina
was originally formed in 1966 when the base was still under navy jurisdiction and control. members of the navy formed the treasure island yacht club and the navy dedicated piers and the cove for use as a marina. and an improve and expanded marina was originally proposed in the 1996 base reuse plan and has been carried throughout the planning for the island since that time. in 1999, the authority entered into an initial lease to operate the existing marina on the island. and in exclusive negotiating agreement for its replacement and expansion. the existing marina is in the south -- northwestern corner of the cove. and it holds around a hundred boats. you can see it here from th.
and the original expansion from 2001 through the planning process was for a 400 slip marina and you can see the extent that marina would have occupied in the cove in this diagram. beginning in 2015, there had been ongoing discussions about how the marina expansion might be modified to better support the programs of the sailing center and other activities in the cove. several members of the board of supervisors, led by supervisor kim, helped to facilitate discussions, culminating in last june, the board of supervisors adopting resolution 173-18, which included a scheme for a reduced marina footprint. this was exhibit a to that resolution and this is the
layout upon which the current lease has been developed. the length of the marina along the cove shoreline is about 724 feet in this as opposed to in excess of 1,700 feet in the original proposed configuration. resolution 173-18 went on to say that the board found that the footprint of the new marina is consistent with the vision marina development in the reuse plan for treasure island naval station approved by the board of supervisors. and further find that this upholds the principle that marina development should not diminish the recreation and public education on clipper cove. the resolution included five further resolved clauses. first that the marina redevelopment should not harm existing resources in clipper cove. particularly the eel grass beds
in the cove. and i would say that this was also a mitigation measure of the original e.i.r. as well, that activities and construction should not harm those eel grass beds. marina redevelopment should not cause diminished water depth in other areas of the cove. and marina redevelopment should provide consideration for current tenants and small and medium berths and that the city agencies and the regulatory bodies should ensure environmental reviews are completed. and calling for a fiscal analysis of the financing revenue and projected expenses of the marine development. in response to the first two of those provisions, the authority commissioned a study performed of marina development on sedimentation rates and eel grass habitat in the cove. that study concluded that the marine project would not change
sedimentation patterns in a way to diminish the water depths and further concliewtded that pat rein project would not result in negative effects on the eel grass beds. we've consulted with the planning department and they reviewed the changes that have been proposed in the marina development and the marina was originally evaluated in the 2006 e.i.r., both land side and water side. and in the 2011 e.i.r., the land side evaluation was updated based on changes to the land side program and the land-use plan, but the 2011 e.i.r. had proposed improvements. and the planning department has reviewed the configuration and conclude that it is within the scope of the e.i.r.s. and for existing lease holders, the first two bullets here were
in the resolution 173-18 that existing slip holders will have the opportunity to relocate to new slips as they are constructed and that those slip rental rates are set at market rates based on comparable rents charged at other marinas within the greater san francisco bay area. and the developer is further committing that a small or medium vessel, smaller than the available slips, that the slip holder would be placed in the smallest available slip and charged the rate based on the actual length of their vessel, rather than the size of the slip. and g.i.e. has provided an update pro forma based on the revised footprint and the number of slips and through the department of real estate, tida commissioner appraisal for the fair market value of the lease holder which sent set a markett at $90,000 a month.
and these materials were provided in comparing the analysis. and the lease terms, again, the footprint of the improvements is roughly 724 by 718 feet. capable of supporting up to 220 slips. and the base rent is $90,000 per year, subject to adjustments based on c.p.i. and there's also percentage rent for gross revenues for live aboard fees and other gross revenues of the marina. and the developer is eligible for rent credits against the percentage rent but not the base rent for initial dredging and is responsible for all future dredging at their own expense. and treasure island enterprises has eight years from the point of execution, the effective date of the lease, to complete all of their marine improvements. this diagram just shows the
dredging to be performed, most notably the access channel into the cove. which will be the bulk of the dredging as well as some dredging adjacent to the causeway connecting two islands. this proposed resolution would authorize the authority to enter into the lease with them and to have mitigation measures. the marina as with the sailing center project will -- will be subject to review and permitting through the joint aquatic resources permit application or jarpa which includes the army corps of engineers and water quality and fish and game and ultimately by permitting through bcdc. and i would like to invite the jay wallace from treasure island enterprises to say a few words. >> president fewer: i'd like
to hear from supervisor haney's office. thank you. >> thank you, supervisors. courtney macdonald with supervisor haney's office. first i want to start by clarifying that although these leases are being presented as together, that they are separate. but we had heard from a lot of folks from the community, as i am sure that you have too, about both issues. so we wanted to give people an opportunity to comment on both items at once rather than to drag this out a little bit lock longer. that being said our office would like to ask that the committee make a positive recommendation for the sailing center lease. item number 7. and to incorporate the recommendations from the b.l.a. about annual reporting. regarding item number 8, the that reina lease, as bob -- marina lease -- as bob mentioned last year in june the board and relevant stakeholders had agreed upon the footprint of both
projects and five conditions and safeguards for the approval of the leases as bob mentioned. and consideration for the eel grass in the cove and mitigation plan for sedimentation and consideration for current tenants of the marina and further environmental review if needed. you should have received some amendments that we -- since we have taken office and have been working on with tida and stakeholders that we think that reflect the five items from the board's agreement last year. i do have a couple of small changes after consulting with the city attorney. on page 8, of item number 8, the marina lease, on lines 6, 11, and 14 to indicate that the authority has indicated that it will perform surveys, etc., rather than just saying otherwise, and so we ask that you consider those changes.
with these proposed amendments to item 8, the marina lease, that also incorporates the b.l.a.s recommendations and we are supportive of this marina lease moving forward. and we'd like to thank all of the stakeholders and the sailing center, tida, in helps us to uphold the board's intent. >> president fewer: thank you very much. let's pivot now, we have a b.l.a. report on both items? >> yes, we reported on both the sailing center lease and the marina lease. item 7 is approving a 66-year lease with the sailing center foundation, a non-profit, to operate the sailing center and actually develop the property. this is an as-is lease. and we summarized the terms on page 14 of our report, and the initial base rent is $10,000 per year, increasing by c.p.i. between 2% and 4% year, plus if available percentage rent. this was determined to be fair market rent by an independent appraisal. and in terms of the development
agreement, there are terms set out in this lease about the responsibilities of the foundation to develop the property. within two years they need to begin the initial improvements. and installing perimeter fencing and surfaces and landscaping. there is a building they are to construct on the site but they have to 14 years to begin construction of that building. there are other sort of milestones within the lease in terms of the construction performance. the costs are estimated between $2 million and $4 million, and it requires the foundation to do fundraising and at this point we don't know hoich of that fundraising has been achieved. and so we amend the resolution to have it report back to the board of supervisors each year and just so that tida can report to the board on how the foundation is achieving meeting the milestones that are set out in the lease for fundraising and
construction. otherwise we do recommend approval of this resolution. item 8 is the marinea lease, again, a 66-year lease with treasure island enterprises to develop the marina and it's approximately 200 slip marina and there were -- which is already discussed here -- the board did pass a resolution in 2018, setting out some of the criteria for this project. and the treasure island enterprises would develop a new marina. they have three -- it can be developed within three phases. the first phase needs to be completed by december 2021. and the total construction costs are expected to be somewhere around $19 million. and now we summarized the lease terms on page 19 of our report i believe. and it's 90,00,000 per year base rent and a percentage of gross receipts and this was determined to be fair market value by an
independent appraisal. we summarized sort of the financial capacity of treasure island enterprises to perform this project, not all of the money has been raised at this point in time. so once again we are recommending that this be an amendment to the resolution to specify a reporting back on how they're meeting the milestones we have spelled out in our report. i want to point out that there's rent credits involved in this lease. there is dredging to be done. now the dredging is specific to the channel and the marina area itself and not to all of clipper cove. the rent credits are up to about $5.9 million -- yeah, $5.9 million for the dredging for implementation of the project itself, not for future dredging to maintain the area. and those would be applied not against the base rent but against the percentage rent. so, again, we are recommending an amendment to the resolution
to require report back to be able to -- for the board to monitor how treasure island enterprises is meeting the construction requirements and milestones that are set in the lease itself. otherwise we recommend approval. >> president fewer: thank you very much. i would like to hear from the city attorney that we have some proposed amendments here from supervisor haney's office and are they substantive at all? >> deputy attorney john gibner. no you can adopt these amendments today and pass it out to the board. >> president fewer: okay. let's open this up for public comment now. i have public comment cards. johns harrison and christopher notten and james hancock and jim paulson and steven bails and karen opierce and tim knee rious and linda richardson and sherry williams. please come up and you have two minutes to speak