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tv   Government Access Programming  SFGTV  August 16, 2019 5:00am-6:01am PDT

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process of this renovation was that it was all about the community. we reached out to everyone in this community. we love this park dearly and they all had thoughts and ideas and they wanted to bring their own creativity and their personality to bear on the design. what you see is what the community wanted. these ideas all came from the residents of this community. as a result, there is a sense of ownership, pride and responsibility that goes along with what is going to be an exciting park.
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>> please be advised that the chair may order the removal from the room for any person using cell phones or any other some producing electronic devices. belief spee advised that a member of the public has three minutes to make pertinent public
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comment on each agenda item unless the port commission adopts a shorter period on any item. public comment on items not listed on the agenda is item eight. >> is there any public comment on any items not listed on the agenda? seeing none, public comment is closed. >> item nine a. is executive director's report. >> good afternoon. i am the board's executive director. i have one item to report on today and to ask for an in memoriam. i have discussed on april 23rd , 2019, when the port commission voted to take action to approve the navigation center on a portion of will lot 330, i have worked with the city and the neighbors in the south beach community to t-2 establish the embarcadero safe navigation center advisory group. the purpose of the group, which is a password -- which is meeting under the brown act, is to advise me such that the city maintains a balance of members
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who live and work in close proximity to the safe center, neighborhood stakeholders, people would lived experience of homelessness, facility and program operators, and that these residents and stakeholders meet and ensure that the navigation center is operating in a way that provides the maximum reduction of impacts to the neighborhood, is safely operated, and provides a path out of homelessness for those it supports. we have formed this group. the first meeting will be august 28th at 5:30 p.m. the meeting will be held at the south beach community room and meetings are open to the public. in terms of a request for an in memoriam, on a sad note, our port commission president's father-in-law passed away july 20th, 2019.
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his memorial service was held list past friday, august 9th. he was one of the most successful african-american entrepreneurs. is a civil rights activist who marched after martin luther king , and a man with a string of successful businesses in san francisco. he was born in louisiana. he was known as bunny to his friends and family, and also served as director as my note -- of minority affairs and action in debating in the peace corps. he is survived by his loving companion and wife for over 50 years, his brother, children, and many grandchildren. it is with our condolences that we give our commission president and the entire family. we ask that we close the meeting in his honor. >> thank you. is there any public comment on executive director's report? come on up.
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>> good afternoon, commissioners is this working? okay. my name is toby and i am the cochair of the central waterfront advisory committee. the advisory committee has been involved with the navigation center ever since it was first conceived, and there have been a lot of pros and cons with regard to it, but now you have appointed or you are in the process of appointing an advisory group, which i think is a very, very good idea because i think all of the people who are going to be on this committee have the intention of doing the best possible job. we all know that, right now, san francisco is in a homeless crisis, and it is our hope, or
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it is my hope that we will be able to make a difference there. i have some familiarity with navigation centers, and i will bring that knowledge that i have two hour meetings, and if the stars align in our favor, we will do a very good job, and lots of people will be helped, and that is the intention. we will keep elaine posted. >> thank you very much. so has the committee been formed >> it has. >> how many members? >> there's 12 members. many members of neighborhoods, there is a representative from a business in the area, and there are two members with lived experience, formerly homeless, and i can circulate that to the commission. many of the members are the same
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as the group that we were informally meeting with as the city did outreach on the proposal. it is a group that we have been working with some time -- sometime, so some of the names will be very familiar to you. it is posted on our website. >> thank you. elaine, has the department of homelessness chosen an operator, yet, or are those seats vacant? >> i believe there is a list of providers that is available for them to choose from, but i'm not aware that they have made a selection at this point. >> thank you. >> any other questions? okay. >> item ten a is request approval of amendments regarding cruise ship passenger fees, to increase the fees and provide for a volume discount. >> good afternoon, commissioners my name is michael.
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i'm the assistant director of the maritime division. this presentation is to seek your approval of an event amendment support terror number 5 regarding cruise ship passenger fees -- support tariff number 5 regarding cruise ship passenger fees which will increase the fees and provide for a volume passenger discount. u.s. public ports are required by law to file a port tariff with the federal maritime commission outlining the rules, regulations, and rates for use of port marine terminals and wharfs. the port of san francisco publishes tariff number 5 for this purpose. the tariff is updated periodically to reflect changes in regulatory programs, risk assessments, and marketplace rate increases. the port of san francisco is a member of the california association of port authorities, which is comprised of the 11 publicly owned commercial
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seaports in the state. any changes to port tariffs are reviewed by the membership for consistent application of rules and regulations. with your approval today, we will notify the ports of the amendments to our tariffs. the port of san francisco tariff number 5 is a 90 page document posted online on the port's website. the tariff item changes we are proposing for your consideration are in section ten, item 1,000, bundled port fee for crews ships the proposal is to increase the passenger fee from $18 to $19, effective january 1st, 2020. this applies to all crews passengers in barking, disembarking, or in transit. the current passenger fee of $18
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was established on january 1st , 2015, inch and -- in conjunction with the james r. herman crews terminal at. twenty-seven and has not been adjusted since then. the passenger fee is a bundled fee which includes passenger warpage, dockage for the first 24 hours, and stores warpage. before 24/7 . twenty-seven opened, it had been $12 per passenger. the increase to $18 was to generate sufficient general revenue to offset the hundred million dollar investment in the new terminal. the proposal before you today also includes future increases to $20 on january 1st, 2021, and to $220.60 on january 1st -- and to $20.60 on generate first, 2020. beginning in 2020, to incentivize increase crews
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business at the port of san francisco, a volume discount will be implement it as part of the port tariff or any and all corporations and affiliated brands that exceed 240,000 passengers in a given year. the volume discount program is based on new business expected in 2010 feet from the port's primary crews mac client, witches average 60 cruise ship crawls and 240,000 passengers per year since 2015 this client is adding 28 calls and approximately 112,000 passengers at the port of san francisco next year. using 240,000 passengers as the baseline, the port will offer a discount on passenger fees above this figure as incentives to increase future cruise volumes. it is customary for major ports to offer financial discounts to
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high-volume customers, and by adding this feature to our port tariff, the port of san francisco will be following an established industry practice. the expected additional net crews revenue in 2020 is $2 million. with a discount being approximately two and a half% of the overall revenue for this client. in the five years before the opening of the cruise terminal at. twenty-seven, the port of san francisco averaged 61 cruise ship calls -- cruise ship calls. and the five years since it opened, the annual average has opened to 81 it ship calls and 288,000 passengers, increases of 33 and 58%, respectively. this tremendous growth can be attributed to several factors, including the new cruise
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terminal, the excellent service provided by the terminal operator, metro cruise services, and the international international longshore and warehouse union. year-round homeport sailings, and larger ships. this year, the port is on track to establish records -- records inc. shipped calls at 85 and passengers, 297,000. the forecast for next year is even better. with 116 calls, and 390,000 passengers expected, more than 30% growth in each category over this year. the major difference is the entrance of carnival cruise line into the market for the first time ever, with 28 homeport calls of carnival miracle. the port secured this new business by promoting the many benefits of cruising in this region. the anticipated revenue from
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passenger fees will increase from $5.3 million this year, to $7.2 million next year, inclusive of the volume discount besides san francisco, the other major public crews ports on the u.s. west coast are, by volume, seattle, los angeles, and san diego. each port is different in terms of ship and passenger volumes, destinations, cruise types and rates. by far, seattle is the largest of the ports, hosting 1.2 million passengers this year for summer cruises to alaska, featuring two new terminals with a third one out for bid. the average bundled passenger fee is $29. los angeles will welcome 615,000 passengers at its existing terminals in san pedro. these are primarily short cruises of seven days or less to
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mexico, and a few 15 day cruises to hawaii. the bundled passenger fee is $14 san diego expects 338,000 passengers this year at its two downtown terminals. as with l.a., most of the voyages are three, four, and seven days to mexico. the san diego bundled fee is $9. as stated, the port of san francisco expects just under 300,000 passengers this year. we are a year-round crews ports, with alaska cruises in the spring and summer, and california coastal, mexico, and hawaii itineraries in the fall and winter. our bundled fee is currently $18 higher than southern california and lower than seattle. this tariff amendment supports the stability component of the port's strategic plan by
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increasing annual revenue to support capital improvements, particularly those at. -- particular those at 27. upgrades at both terminals, 35 roof repairs, and 27 escalator installation. there is an engineering mooring analysis currently underway to clarify the existing conditions and limitations at both crews terminals, as well as to determine the feasibility of improvements to accommodate larger ships. as for the california environmental quality act, these proposed tariff amendments are not considered a project, and therefore not subject to ceqa review. commissioners, thank you for the opportunity of addressing you today. this concludes my report and i respectfully request your approval of the proposed
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amendments to the port of san francisco tariff number 5 with respect to cruise ship passenger fees. i'm available to answer any questions that you may have. >> thank you. >> so moved. >> second. >> is there any public comment on this item? seeing none, public comment is closed. commissioner gilman? >> i want to say thank you for the report, it was very thorough it is exciting to see our cruise business will increase, and i'm supportive of the item. >> i am supportive of the item. >> good report, mike. i see andre is here. i guess i have to be supportive, i am the president. [laughter] but the fact is, i would like to see san francisco get up to a million passengers a year. i was just recently up and you know, alaska, and you see 30,000 people and they have one -- they have one-way 6 million passengers a year. i think it really helps our
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waterfront and everything like that. we have 30 million tourists a year that come to san francisco. where the second largest attraction, other than disneyland so we want to continue to give san francisco the exposure that it deserves and i know if i had a chance to get office san pedro or san francisco, there is no choice. san francisco is a world-class city and a beacon of light. i am totally in support of it. >> thank you. thank you so much for this report. i just have a question. the volume incentive discount, is this the first time we are doing this or have we historically done it? >> this is the first time we are putting a discount like this. what we're doing is putting it in the port tariff so it applies to the large client that it is applicable to right now, but we are hopeful that other cruise lines that are coming to the west coast with large fleets, it would be applicable to them if they got up to that level. >> great. and then the fee increase, i'm
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just wondering why in 2022 it is only a three -- a 3% increase went other years it is over 5%. >> we came up with the fee -- basically, we raised the fee by 50% from $12 to 18 in 2015. what has happened over the past five years is we have established 27 particularly, and 35, but as a very high ranking destination. the crews lines have seen it in action, the ratings on the passengers are very high. we wanted to get that established first, and now what we are doing, by the fee increases that we are putting in over the next three years, it would be equivalent to as if we had been doing a 2% increase every year, so by 2022, we will basically be equal to having had a 2% cbi throughout the opening
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of the new terminal. >> and then after that, we are just increasing 2% a year? just wondering. >> thank you. i really appreciate that. >> all in favor? >> aye. >> resolution 1932 has been approved. >> thank you. >> item 11 a is informational presentation and developed agreement and the form of a ground lease with an initial 50 year term and 16 year extension option would tea ck broadway l.l.c. for the lease and development of 192 room hotel, a dinner theatre, and approximately 14,000 square feet of public open space, and similar uses at sewell lot c. will lot 3.3 -- 333 -- 323 and 324, located on the west side of embarcadero.
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>> good afternoon. my name is ricky. i am the develop manager with the real estate and development edition of the port. i am glad to be participating in this recent addition along with our staff who have been involved in the negotiations with the developer team. next is the outline of my presentation. this slide shows the outline of this presentation. [indiscernible] our assistant deputy director of development will be making this presentation. we will invite you to make a few remarks on behalf of the rest of the development team.
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as indicated in this outline, we are going to be very brief. i will cover each of the items and the financial projections and next steps. [indiscernible] this is the corner of broadway and embarcadero. it consists of four pass-through his through lot 323 and 324. there is a distant right of way in these two pass-through his. zoning, building height, all these details are in the staff report. at this time i will not go into all those details. the project overview, the design is a popular dinner theatre
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performing in a historic tenant. it was a fixed show for many years on the waterfront. you provided live music, comedy, and entertainment. it was located on part of 27 and 29 under a lease with the port from 1999 until 2011. the lease was mutually terminated to accommodate the america's cup. as part of that meat will termination, the port agreed to allow them to come to the waterfront if they are able to satisfy some conditions to relocate to a portion of lot 324 teatro attempted to use a temporary structure but that location was not supported by the community because it was no
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-- not compatible with the historic district. as a result, they went out to get additional development help. they came to the port commission , and of course, we could not do soft engagement with them without competitive solicitation and process. he directed us to go to the board of supervisors to get our direction. the board of supervisors as to enter into an soft engagement with the developer. this gave way for the port to authorize exclusive agreement with the developer. so -- [indiscernible] the developer is making a whole lot of effort to move the development forward. they're acting on the performance benchmark required. one of the best benchmarks was
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the submission of the development concept. as you can see on this slide, the initial proposal back in 2015 included what is shown on this slide. currently the proposal is the one being shown on the right column before you. what has changed was elimination of the ground for the below grade floor area, or the basement, and the number of -- [indiscernible] they were able to do it because it brought on a new development pattern -- partner, who brought in the hotel development. when they came on board, they were able to help reconfigure the internal structure of the hotel to make it more efficient.
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the result is increasing roof count from 180 that was initially proposed, to 192 with a reduction in the building square footage. what are the benefits of this development? this development includes many benefits. particularly to the stakeholders the stakeholders are the public trust, who are providing open space, access to the waterfront, money for the port. for the port, it is increased revenue and. [indiscernible] for the city, it is job creation , currently we're projecting 550 construction jobs at approximately 350 -- [indiscernible] and the northeast waterfront is
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guiding an architecturally fitting addition to that district. of course, the community members , the amenities, the open space, the activation of the gateway to north beach and chinatown. very briefly, under this, these are all the documents that have been completed. [indiscernible] we are hoping to bring you the approval for the lease next month. the two key transactions that we will be bringing before you is called the lease. this development agreement is an agreement that will allow the developer to say, if you meet certain conditions and you complete the rest of your to do list, the board will be willing to enter into the lease. during that period, the
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developer will be required to pay fees and pay for transaction cost. in addition to what i have listed on this slide. the second key transaction document is the lease. that is the lease that will cover the construction period and the operational period and will allow us to actually pass possession of this site to the developer so they can start the development. it will include the initial term , which we are proposing to be 50 years initial term, with a 15 year essential reduction. to pay rent to the port, as well as the development has to be consistent with what has been approved by the city. i will go into more detail about the basic financing structure. overall, the port and the city is not putting any money into this development. the entire development is being funded solely by the developer. in times of rent, we have three categories.
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the base rent is what they need to pay us. they have to pay us to protect the port. that base rent was based on the existing operation revenue from -- we want it to be not above that and not below it. that base rent will be escalated over time. the percentage rate rate allows the port to participate in the project doing very well, so that percentage rent is set against the over the gross revenue from the development and it varies from three-point 5% to six by 5% over the term of the lease. usually the developer will pay the higher of the minimum base rent. we will go into that in the next slide that rebecca will be
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covering for you. next is a participation in the next slide. this is whereby if the developer sells the interest and making money, we want to be able to participate in that. that is a function of setting the internal rate of return and participation of the cash flow after they have achieved the initial rate. late last year, the developer came to us and said, look, we introduce this back in 2015. market conditions have changed, many things have changed. investors are asking for higher yield given what they have seen. and given that this development is not just a hotel by itself, but it will include space for dinner theatre, as well as public open space, the file was different for the investor. investor said, you know, they requirement needs to be a little
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bit more than what i agreed to. the developer asked us to increase the internal rate of return, and the participation changed from 70, 30 split with the port to change it to 80, 20. so we push back and we negotiated, and what we identified has changed eyes increasing the internal rate of return and that is listed in the slide from number 1 through number 5. [please stand by]
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year ten and you're 20, that is where we really see a separation between what the part would have achieved in terms of lease revenue from parking, being much below what we would act the hotel operation will be doing at that point in time. looking at it on a net present term. just for the first 20 years of the lease area i want to be there this excludes any revenue we may be able to achieve their formation of an ise. able to form and an ist through the board of advisors and collect the tax revenues from the site. we anticipate that would go towards seawall or other shoreline types improvements. this is what i'm showing you, not including those potential revenues. as shown, the minimum base rent over 20 years, under the proje project, a little bit more than
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$3 million then the existing surface parking lot. when we add in the percentage rent it is much higher than the surface parking lot. over time, looking back to 2012, we show the parking revenues on that lower line. we had some ebbs and flows in terms of parking revenue. we projected them out consistently increasing under that dotted line. the minimum base rent nears that for a number of years and then the base rent scratches up in the percentage rent is above that. focusing in on the term sheet modification, mentioning the hurdle rate, the first tenant area very interestingly, as you know, we have kept a very post- with the base rent on the percentage rent as we had with the term sheet in 26. the capital participation is the change in revenue. we traded -- the term she
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anticipated, every tenant would have an 18% hurdle rate before we participated. under the proposed deal we provided the first tenant the ability to go above, from 18 up to 20. every subsequent tenant will share with us on the hit six% return. that is why that capital event share under the proposed deal is higher than the term sheet. over a 50-66 year term we anticipate we will have more than one tenant and each time a tenant cells we have the opportunity to participate in a share of the sales area we are very satisfied and happy and feel that you can support this deal very free of any financial considerations. in terms of next depths, we will be very interested in hearing how everything goes today. if all goes well and with any amendments that are requested. we will come back to the port commission on september 10 where we was weak abduction of the transaction -- adoption. they go to the board of supervisors in the coming month.
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hopefully complete his full transaction prior to running out on november 4. we are cutting it too close though. don't be concerned. a quick view of the project documents. i'm going to flip through quickly. i got the okay that i could go fast, because these drawings have been reviewed and heavily embedded. i do want to show you some new ones, these are new renderings of the park, you can see the tent in the background, that glass and casing. this is a view from vallejo, the potential public art might be the building, and on the way the public would access the part from that side of the street. you can see the development that's at the corner. sitting in very nice the with the existing context around it. inside this tent, we will be so
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excited to have performances up and running again and hope to see you all joining us there. i want to give jay wallace a couple of moments to ask is his appreciation to the port bath. [laughter] and tell us about his commitment to the project. [laughter] >> thank you, rebecca, ricky, commissioners. jay wallace. all joking aside, i do want to extend my appreciation to the port bath, we meet regularly, they are tireless in their advocacy of the ports interest. they let me yell and scream from time to time. we all work well as a great team. you have some tremendous port staff, it is your to work with and i'm just excited to finally be here with the dates ahead of us after many years. ricky, rebecca, mike, elaine, grace park, who is not here, all
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of them do a great job. thank you very much. i'm happy to answer any questions. >> that is the end. that is it area any public comment on this item. oh there is a lot of public comment on this item? don't feel compelled to eat. we know that they have a lot of support. we know what a wonderful process this is area if you really want to speak, come on up. does everyone want to seek, or does anyone not want to seek -- week -- -- speak. >> i'm on the board of the barbary coast neighborhood association, we are the immediate neighbors of the project. they have done a wonderful job, over the last four years plus
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staying in touch with us, every step of the way. we think they have done a great job. we think it is a great project. we hope the lease will be approved. when mark twain was writing about san francisco in the 1960s, he captured the lively and dynamic spirit of the community, if mark twain was with us today we think he would really like to have them. >> thank you very much. >> today i am here to etu as a happy neighbor and the northern waterfront resident to enthusiastically support and encourage your support for the leasing. one of the things that has been important to me, as a neighbor,
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is the whole activation of the waterfront, in the area. the seawall lot, and this is going to be doing just a tremendous x engine of that. the other aspect of this, that i really think is important. we saw the benefits with the revenue and the great financial package that has been worked out here. what i think is a really key piece of this my you can accomplish this area that is a proposal to establish, to implement the formation of the sub area for the ports infrastructure financing district. for the purpose of collecting the tax increments from the si site, for the arts capital expansion plan and/or the seawall resiliency program. i thought that was understated in there and i think it would be great if you could achieve that. the other aspect of this, i think is tremendous, they have
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been able to meet the planning department requirements, the 40-foot limit. i think him -- -- i thank them for bringing together this marvelous project. >> thank you. >> good afternoon. my name is leonard, i'm a field representative here in san francisco. i am here to ask for your support for this project. this gives individuals the opportunity to work, earn a good wage, provide health and retirement benefits to our members. offering training, and education, and opportunities for carpenter trades through apprenticeship. i thank you for this opportunity.
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>> thank you very much. >> good afternoon commissioners. my name is jessica, i'm with the san francisco travel association. i am here to voice our support for this project. we believe this project will bring great economic vitality to this area. good opportunities during construction, and operation. as well as a unique cultural experience. last year, san francisco welcomed over 25 million visitors that spent $10 billion during their stay. that translated to $771 million in taxes to the city's general fund. we believe projects like this will support successful tourism industries in san francisco. >> good afternoon members of the commission. thank you for allowing me to speak today. [inaudible]
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i am speaking in favor. providing me with the opportunity to continue my training and hopefully advance to become a carpenter. it's great for apprentices like me, because often times you continue working, working, and take a lot of hours. this project will also allow me to have the income on the benefit to provide for my fami family. i am in full support, and ask that you pass this project and allow them to build this project. thank you. >> good afternoon.
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we want to add our voice and support to a broadway project. and the opportunity for our members and our affiliates to have service work there as it opens up. this is a great opportunity. also a great example for others who are considering project somewhere else in our city. thank you. >> i will be brief. good afternoon. i am cynthia gomez, we represent the hotel workers who will one day work at this hotel. this developer has worked proactively with our union to sign an agreement that will have a fair process for union jobs for these workers to get for that reason we support this project today and we expect to be here at every opportunity to support this project. enke. -- thank you.
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>> good afternoon, commissioners. i am a trapeze artist and i have performed for five years. it is one of the best companies i have worked for. a company with integrity. they strive to bring a high level of entertainment. i am in support of this project, of course. they bring exactly that. welcoming my fellow artists from all over the world here. i think it is a perfect portrait of values of san francisco and its spirit.
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they are the best choice for me. thank you. >> my name is kristin clayton, i am a professional opera singer and i have worked with helen, as she did her act live, back from 2000-2,011 off and on and fabulous show. i love coming down here to support the view of the artist. it has been hard staying in san francisco, because of the cost and everything. to have the opportunity to have a show that is local, when the ships come in they can literally walk down the street and come to see something that provides you with a fantastic experience of meeting local artist, as well as people from around the world. it is such a high quality, unique show and i always love to come and speak for what it does
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to keep us thriving, and growing as artists. like helen said, i think it san francisco is such a perfect place for our type of show. thank you so much. i definitely support it. thank you. >> my name is stuart martin, we have met with the developer 4 or five times. they, by the way, are in the southeast corner of the northeast waterfront historic district. it has been there a long time. they paid a lot of attention, i am a preservation member, therefore put the pressure on them because you have to go by
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the secretary of interior's standards for the historic district. they did that nicely. the main item has become a red brick which was originally scheduled to be a yellow brick. we up giving an illustration of the yellow brick road, the yellow brick building doesn't belong anywhere. it doesn't work in this town. they agree to that comment stuck to it. a lot of the details are very important, particularly if i may politically say, they paid attention to the rules were 88 broadway did not and that will be questionable as to its acceptance in the historic district. it's right across the street. these guys are terrific. they have been very aggressive with us, we have been very aggressive with them. it is a good project and we support nicely. thank you. >> thank you.
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>> i rode my bike all the way down market street. [laughter] great project. i grew up here in san francisco. i think it is a terrific proje project, and i supported. my name is charles higgins. >> any other public comment? >> i am annie jamison, and i just want to thank the port commission and the staff for its work along the way here. we are looking forward to getting through the lease negotiation and onto the final piece here. we hear from people every single day, from san francisco, and the region about coming back here with the publicity that has just occurred, in the last couple of month, those questions, and the
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request for the show have increased incredibly. we just opened a show, in a hotel on july 18, with the increase of that publicity it increased the request for us to come back to san francisco. it is all part of a picture, for us, and we are mentally excited about getting back to san francisco. we consider the home. we really look forward to the next steps. thank you so much. >> any other public comment? i have victor, do you still want to speak? any other public comment? public comment is closed. >> i am supportive of the item. >> i am supportive of the item, but i just want to note it is rare to see the community come together and this developer has assembled all of you in this
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room. i want to commend them on that. for us, fulfilling and bringing them back to the waterfront. i think it is long overdue. i am looking forward to a groundbreaking as soon as possible. also, having other developers throughout san francisco look at the labor agreement, from construction to operations as a model. i want to commend the project sponsor for putting this community together and i am supportive of the item. >> this has been a project that has been in the making for a long time. i think ricky and rebecca for a very thorough presentation. always good to see j fc anywhere in the city. i want to give a shout out to labors in the house, you brothers and sisters, thank you for being here. good paying jobs is important. also, the cultural about our artist coming back. i have been there up in seattle, to come back here it has taken a
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lot of work. i really appreciate the vision. we are very lucky to have a back on our waterfront. it will help to be a beacon of light, a little hole down there in that gap. i think it's going to light up now. i am very supportive of it, and i think, even our young kids that are in schools and stuff, to come down here on the waterfront and be exposed to that type of culture. san francisco, i know, everyone thinks we are this tech iconic city. we have always been a cultural city, way before we were a tec tech/titanic giant. i am very supportive and i cannot wait for it to come back. >> thank you. ricky, rebecca, and jay, thank you very much for your presentation. i think the commission has gone over this project with a fine tooth comb. i don't think we have missed anything. i think we were able to negotiate a deal that is great
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for tzk on the part. i want to thank everybody that continues to come out, every time this is on the agenda. we really appreciate your input, and your support of this project. i think it is going to be a great addition to the waterfront. we look forward to the ground breaking. i guess we will see everyone again, in september. [laughter] thank you. >> item 12 a, request authorization to our contracts. [reading notes] >> good afternoon commissioners. i am with the park contract city. the item before you is an action item, to recommend award of the
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parks as needed. [inaudible] each contract will have a value not to exceed $2 million. with an option to extend the term by an additional one year. this project complies with a number of the ports, particularly with sustainability, resiliency and equity. [inaudible]
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the contract will serve as master agreements which you issue contract service orders on a project by project basis. part staff,. [inaudible] construction monitoring, environmental planning, dredging support services, and climate change. at this price, i will invite alisa to speak.
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>> i just want to do a quick introduction. we had a recent rotation of our compliance staff, from various department. the outgoing compliance officer has moved on to reassignment at the department of public works. however, i also want to introduce you to elizabeth alexander, who is your new compliance officer, stationed here at the port. prior to her stationing here, she was working as a compliance officer overseeing contracts of the public utilities commission. she's also one of the program managers for our mentor prot├ęge program. she is ready, willing, unable to help the design to cater towards
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benefiting the port mission. prior to her arrival, in the city, she worked for the tenderloin housing clinic, where she was a program manager there. also the vice president of local 1021. at this.because, i will call her on and she will continue on. >> thank you for that lovely introduction. it is wonderful to meet you are. i look forward to working with you. the slide before you is the table. the ports conducted an analysis with how many lb ease in each category can perform the type of work this rfp requires. included in this analysis is the analysis that 57% of the
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contract is highly specialized work. for example, dredging related services alone make up 37% of the entire project. this information was then used by cmd to calculate the availability of this contract at 12%. environmental advisory services is the largest category with high lbe participation. this work is the work that must be done by the prime. as a result of the high number of lbe's and the environmental services, all of the contracts before you have either lbe prime or lbe partner. in addition, while the lbe requirement is at 12%, 59% of all of the dollars of this contract will go to either an lbe prime and partner, or lbe subconsultant. 50% of the total dollars -- go
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to minority owned firm. thank you. >> thank you. commissioners, we got approval on april 29, we issued an rfq. on may 14 we held a meeting at pier one, attended by 60 individuals from over 40 different environmental services firm. we are very happy with our turnout. a list of the members was submitted and approved by cmd. the panel members were ryan jackson

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