Port Commission Meeting - February 8, 2022: Budget, Structural Assessment, and Policy Updates
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Port Commission Meeting - February 8, 2022
The San Francisco Port Commission met on Tuesday, February 8, 2022, from 3:15 PM to 5:47 PM, with Vice President Doreen Wuho presiding. Commissioners Kimberly Brandon, John Burton (late arrival), and Gail Gillman were present; President Willie Adams was absent. The meeting covered the Executive Director’s report, a proposed change to the meeting schedule, the consent calendar, the biennial budget and capital plan, a structural assessment update, and a proposed write-off policy update.
Consent Calendar
- Resolution 2206 (ADOPTED unanimously): Approval of findings under new state urgency legislation to allow remote meetings during the COVID-19 emergency, continuing remote meetings for 30 days and directing the Commission Affairs Manager to agendize a similar resolution within 30 days.
- Resolution 2207 (ADOPTED unanimously): Retroactive authorization for a Memorandum of Understanding between the Port of San Francisco and the San Francisco Bay Conservation and Development Commission for review of changes to the San Francisco Bay Waterfront Special Area Plan, not to exceed $150,000.
- Resolution 2208 (ADOPTED unanimously): Application of delegation of authority to offer leasing incentives (Resolution No. 21-16) to select existing maritime tenants.
Public Comments & Testimony
No public comments were made on any agenda item during the meeting.
Discussion Items
- 6b. Proposed Amendment to Rules of Order (Meeting Schedule): Carl Massida, Port Commission Affairs Manager, presented a proposal to reduce the commission’s regular meetings from 18 to 14 per year by canceling the second meeting in March, May, September, and October. Commissioners raised concerns about long meetings and transparency, but after discussion (including a suggestion to treat it as a pilot), the resolution passed unanimously. The first in-person meeting was announced for March 8, 2022.
- 8a. Biennial Operating and Capital Budget Presentation: Katie Petruccioni and Nate Cruz presented the FY22-23 and FY23-24 budget, including the acceptance and expenditure of federal stimulus funds (ARPA) totaling up to $115 million and the five-year Capital Improvement Program (CIP) of $208.4 million. The budget assumes tourism returns to pre-pandemic levels by FY25-26, 15% of office workers telecommuting permanently, and four restaurant vacancies. Key investments include $70 million in ARPA-funded capital projects, $5 million for waterfront resilience (flood study), and new positions for equity, economic recovery, and resilience. Commissioners asked for more detail on defunded projects, ARPA allocations, and execution risk; staff committed to providing a budget book and additional information for the next meeting.
- 9a. Structural Assessment Program: Rod Iwashta, Chief Harbor Engineer, reported on the port’s structural assessment program, which inspects about 200 buildings and 150 marine structures. The port has 32 red-tagged facilities (fully restricted) and 37 yellow-tagged (load-restricted). The FERPA program provides in-depth inspections. The total estimated capital backlog to achieve state of good repair is $2 billion. Commissioners noted the scale of need and requested beautification of fencing around restricted areas.
- 10a. Proposed Update to Write-Off Policy: Rebecca Benissini presented a proposed policy to replace the 1984 version, defining write-offs as accounting actions after tenants leave and collection efforts are exhausted. The policy would delegate approval to the Executive Director (with designee) after review by the City Attorney and Controller, with annual reporting to the commission. Commissioners requested transparency for large write-offs, especially those that may arise from failed settlement negotiations. Staff will incorporate a disclosure mechanism before bringing the policy back for action.
Key Outcomes
- Resolution 2205 (ADOPTED unanimously): Amended the Port Commission Rules of Order to reduce the regular meeting schedule from 18 to 14 meetings per year, effective for 2022 with a review after one year.
- Consent Calendar (Resolutions 2206, 2207, 2208): All adopted unanimously.
- New Business Items: Three items were recorded for future agendas: (1) an informational presentation on connecting waterfront communities via signage and mapping (Vice President Wuho); (2) a review of financial policies, particularly the 15% operating reserve (Commissioner Burton); (3) an invitation to SFMTA to discuss park-and-ride commitments from the Embarcadero Freeway demolition (Commissioner Gilman).
- Next Steps: The budget and write-off policy will return for action at a future meeting; the budget will also be submitted to the Mayor’s office in March/April.
Meeting Transcript
Port Commission for February 8th, 2022. Port Commission Vice President Doreen Wuho called the meeting to order at 3 15 p.m. President Willie Adams will be absent today. Vice President Dorian Wuho. Yes. Commissioner Kimberly Brandon. Here. Commissioner John Burton Burton. I think he might be joining late. And Commissioner Gail Gillman. She's on mute, but I see her there. Thank you, Commissioner. Madam Vice President, you do have a quorum. Okay, let's move on to the next item, please. The San Francisco Port Commission acknowledges that we are on the unceded ancestral homeland of the Ramatushalone, who are the original inhabitants of the San Francisco Peninsula as the indigenous stewards of this land and in accordance with their traditions. The Rama Tushalone have never ceded, lost, nor forgotten their responsibilities as caretakers of this place, as well as for all peoples who reside in their traditional territory. As guests, we recognize that we benefit from living and working on their traditional homeland, and we wish to pay our respects by acknowledging the ancestors, elders, and relatives of the Ramatushaloni community, and by affirming their sovereign rights as first peoples. That brings us to item number two approval of minutes for the January 11th, 2022 Port Commission meeting. Okay, second. All right. We have a motion, a second roll call vote, Carl. Vice President Wuho. Yes. Commissioner Brandon. Yes. Commissioner Wu uh Commissioner Burton. I see there. And Commissioner Gilman. Yes. Okay. The motion passes unanimously. The minutes of the January 11th, 2020 20 are adopted. That brings us to item three, the Pledge of Allegiance. I pledge allegiance. And to the Republic. One night. Underground is indivisible. Item four is announcements. Please be advised that a member of the public has up to three minutes to make pertinent public comments on each agenda item unless the port commission adopts a shorter period on any item. Please note that during the public comment period, our moderator Jenica will instruct dial-in participants to use a touchstone phone to register their desire for public comment. And an audio prompt will then signal to dial in participants when their audio input has been enabled to comment. So please dial in when the item you wish to comment on is announced. And note that if you're watching this meeting on SFGov TV, streaming on the internet, there's a short broadcasting delay. So when the item you would like to comment on is announced, dial in at 415 655 0001 and enter access code 2494 813 2722 pound and then mute the volume on your computer and listen only through your phone, which is a live broadcast with no delay. And then when public comment is announced, dial star three to raise your hand to comment and listen for that audio prompt, which will signal that it's your turn to comment. As always, for our meeting presenters and participants, except our commissioners. Please mute your microphones and turn off your cameras when you are not presenting. That does bring us to item five, public comment on items not listed on the agenda. And we will now open the phone lines to take public comment on items not listed on the agenda. Jenica will be our moderator and will provide instructions now for anyone on the phone who would like to provide public comment.
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