OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

San Francisco Port Commission Meeting - February 27, 2024

Port Commission — Tuesday, February 27, 2024
BodySan Francisco, California
SessionPort Commission
DateTuesday, February 27, 2024
StatusFILED
Video Record
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Transcript — Verbatim
0:00

President Kimberly Brandon.

0:01

Here.

0:02

Commissioner Stephen Lee.

0:03

Here.

0:04

Commissioner Ed Carrington.

0:05

Here.

0:06

Vice President Gail Gilman and Commissioner Willie Adams are absent today.

0:11

The San Francisco Port Commission acknowledges that we are on the unceded ancestral homeland of the Romaticalone, who are the original inhabitants of the San Francisco Peninsula.

0:21

As the indigenous stewards of this land and in accordance with their traditions, the Ramatoshalone have never ceded, lost, nor forgotten their responsibilities as the caretakers of this place, as well as for all peoples who reside in their traditional territory.

0:53

Item two is approval of minutes for the February sixth, twenty twenty-four port commission meeting.

1:03

We have a motion and a second.

1:06

All in favor?

1:08

Any opposed?

1:09

The motion passes unanimously.

1:11

The minutes of the February sixth, twenty twenty-four meeting are adopted.

1:16

Item three is public comment on executive session.

1:33

For callers on the line, please dial star three if you wish to make public comment.

1:41

Others will wait on mute until their line is open.

1:44

Comments will be limited to three minutes per person.

1:47

The queue is now open.

1:48

Please dial star three if you wish to make public comment.

2:24

Second.

2:28

Any opposed?

2:29

The motion passes.

3:22

San Francisco government television.

47:36

San Francisco Government Television.

48:44

Second.

48:45

All in favor?

48:46

Aye.

48:46

Aye.

48:47

Any opposed?

48:48

Motion passes unanimously.

48:50

We are now in open session.

48:53

Item six is Pledge of Allegiance.

48:58

I pledge allegiance to the flag of the United States of America.

49:16

Item seven is announcements.

49:19

Please be advised that the ringing of and use of cell phones and similar sound producing electronic devices are prohibited at this meeting.

49:47

For remote public comment, dial one, four one five.

50:05

Then dial star three to raise your hand to comment on the item being discussed.

50:09

An audio prompt will signal when it is your turn to speak.

50:12

If you are watching this meeting on SFGov TV, there is a short broadcasting delay to not miss your chance to comment.

50:19

Please dial when the item you want to comment on is announced.

50:22

Mute your device and listen to the meeting from your telephone, which has no delay.

50:26

Item eight is public comment on items not listed on the agenda.

50:31

Is there any public comment on items not listed on the agenda?

50:37

Seeing none.

50:38

Do we have anyone on the phone?

50:40

Yes, we have two callers for public comment.

50:43

Please open the first line, opening the first line.

50:50

Please go ahead.

50:53

Good afternoon, President Brandon, Vice President Gilman, and Commissioners.

50:59

This is Pete Sitnik, calling in managing partner at Water Bar and Epic State, and possible proposed tenant for Pier 33 and a half.

51:41

What's been relayed to us is that each business is only allowed to have five propane tanks, whether they're full or empty on property.

52:04

And if you look at the the combined square footage of outdoor dining space at Water Bar and Epic, we have about uh 5,000 square feet, and uh the limitation of five heaters per business is not going to be enough to cover that space to warrant dining outside in a comfortable and enjoyable fashion for patrons.

52:32

So I'm voicing my concern and really objection to you know such a stringent uh ordinance at a time when we're trying to encourage uh the public activation of port property and outdoor dining spaces, and really for the overall activation of San Francisco as a city.

52:55

I think that this is uh gonna be very restrictive.

52:59

It's gonna it's gonna limit the amount of outdoor dining and revenue potential that it would have.

53:06

And um it's also uh an ordinance that has really kind of come up on a sort of blindsided without any um real discussion around it, um, and I believe that it's supposed to take place as of March 1st, which we were given the uh proposal or the the language last week, which is you know, really 10 days, which in my humble opinion is not enough time to strategically plan for any alternatives, whether those are electric heaters or or plumbed in gas heating.

53:45

So I'm just letting you know that as a uh I'm a concerned business owner that this is going to be uh restrictive to us doing business on port property, and uh if somebody wants to take a look at it or follow up with me, please feel free to get back in touch.

54:05

Um thank you very much for your time and consideration and just your uh your opinions.

Discussion Breakdown — Share of Meeting
Public Comment██████████████████████████26%
Budget and Finance████████████████16%
Public Art████████████████16%
Public Works███████████11%
Procedural████████8%
Executive Director's Report██████6%
Economic Development████4%
Environmental Review████4%
Propane Tank Regulation███3%
Summary of Proceedings

San Francisco Port Commission Meeting - February 27, 2024

The San Francisco Port Commission met on Tuesday, February 27, 2024, starting at approximately 10:30 AM and adjourning at 4:28 PM. Commissioners Kimberly Brandon (President), Stephen Lee, and Ed Carrington were present; Vice President Gail Gilman and Commissioner Willie Adams were absent. The meeting included a land acknowledgment, approval of prior minutes, an executive session, public comments, an executive director’s report, consent calendar approvals, a biennial budget presentation and approval, a lease waiver for the SkyStar Wheel, and approval of a public artwork installation.

Consent Calendar

  • Resolution 2411 (Item 10A): Retroactively authorized modification of construction contract No. 2849 for Heron’s Head Park signage to extend the substantial completion date. Approved unanimously.
  • Resolution 2412 (Item 10B): Awarded construction contract No. 2861 for the WRP Wharf J9 Replacement Project, Phase 1 – Float & Gangway, to Yerba Buena Engineering and Construction, Inc., in the amount of $3,557,380, plus a 10% contingency of $355,738, for a total not to exceed $3,913,118. Approved unanimously.
  • Resolution 2413 (Item 10C): Authorized acceptance and expenditure of a $21,582,000 grant from the Port and Freight Infrastructure Program (California State Transportation Agency) for the Maritime Eco-Industrial Complex Improvement Project, funding pier, roadway, and utility upgrades and a plan to mitigate air emissions from port trucks. Approved unanimously.

Public Comments & Testimony

  • Pete Sitnik (managing partner, Water Bar and Epic State, proposed tenant for Pier 33½): Expressed strong objection to a pending ordinance limiting businesses to five propane tanks (full or empty) on property, effective March 1, 2024. He stated that the restriction would hinder outdoor dining, revenue, and activation of port property, and that the 10-day notice was insufficient to plan alternatives. He requested commission review.
  • Anonymous caller: Requested enforcement of the street vendor code along Jefferson Street on Fisherman’s Wharf, particularly near the Cannery. Alleged that an Asian man with a street artist permit sells counterfeit items and monopolizes the area. Claimed the Arts Commission has not monitored or enforced permits for over seven years. The caller declined to give their name.
  • Public comment on the Executive Director’s Report: None.
  • Public comment on the Biennial Budget: None.
  • Public comment on the SkyStar Wheel Lease: None.
  • Public comment on the Artwork Proposal: None.

Discussion Items

Executive Director’s Report (Item 9A)

  • Economic Recovery: Elaine Forbes reported on the successful Ports Day in Sacramento (held February 21, 2024), which was sold out and growing. She highlighted the state’s commitment to port investments, offshore wind partnerships, and the importance of port-aligned state partnerships. She thanked government affairs director Boris Delapine and deputy maritime director Dominic Moreno for their lobbying efforts.
  • Resilience: The Port’s waterfront resilience community kickoff meeting at South Beach/Mission Bay drew 75+ attendees; four people could not enter due to capacity. Outreach continues through February 29, 2024. Port and Army Corps representatives (including resilience director Brad and Chief Brian Harper) presented.
  • Equity: A trades career fair was held February 13, 2024, at Pier 50, with interactive demonstrations from maintenance shops to inspire careers in the trades. Other city departments will participate next year.
  • Personal equity story: Forbes shared a story about unknowingly making a positive impact on someone’s career, encouraging staff to persist despite challenges. Commissioners praised the report and expressed appreciation for staff.

Biennial Operating and Capital Budget (Item 11A, Resolution 2414)

  • Presentation: Nate Cruz, Deputy Director of Finance and Administration, presented updates to the Fiscal Year 2024-25 and 2025-26 biennial budget. Key changes included:
    • A homeland security grant (awarded 2021, ~$100,000) for CCTV upgrades and security training, now being appropriated after a staff error.
    • Reclassification of an IT engineer position to senior level to address infrastructure complexity and create promotional pathways.
  • Security model shift: Moving from reliance on contractors to hiring in-house permanent port security guards (off-hours, nights/weekends) for better ownership and cost control. The commission will receive regular updates on implementation.
  • Parking model: Aligning with MTA practices; regular updates on financial impacts will be provided.
  • New attachments: Attachment 4 detailed the Southern Waterfront Beautification Fund history and allocations (including $8 million spending plan presented in January 2024 by economic recovery manager Megan Wallace). Attachment 6 provided a resilience program spending plan, breaking down the Waterfront Resilience Program (WRP) into categories and funding sources. Cruz noted that figures are based on early conceptual design and will change.
  • Commissioner questions: Commissioner Carrington asked about $4 million for removing red tag facilities (answered as not specific to grain silos; separate account). Commissioner Lee asked about in-house security staffing and deployment. Mike Martin, Assistant Port Director, clarified that in-house guards are for off-hours reliability, while ambassadors are used for public interaction and vending enforcement. Commissioner Lee suggested a security booth for tourist information and deterrence.
  • Outcome: Motion to approve the budget (Resolution 2414) passed unanimously.

SkyStar Wheel Lease (Item 12A, Resolution 2415)

  • Presentation: Don Kavanaugh, Senior Property Manager for Fisherman’s Wharf, presented a request to waive competitive bidding and approve an 18-month lease (through October 31, 2025) with SkyStar Wheel, LLC, relocating the wheel from Golden Gate Park to Fisherman’s Wharf. The current special event license expires April 30, 2024.
  • Rationale for waiver: No realistic competitors exist; a new wheel would take 18 months and cost $10 million. Competitive bidding would not yield favorable responses and could cause a shutdown.
  • Community engagement: Favorable feedback from Fisherman’s Wharf Community Benefit District (FishWACK); one concern about traffic was routine. Lighting complaints (colored, moving lights) were addressed by requiring white lights only, with limited exceptions for festivals (e.g., Chinese New Year). Lights must turn off at 10 PM. Complaints will be handled via a dedicated email address.
  • Financial terms: Base rent remains similar to the special event license, with a 5% percentage rent (not over base). Operator may increase rates. Complimentary ticket policy adjusted (removed two-for-one Tuesdays/Wednesdays due to low uptake).
  • Statistics: In December 2023, the wheel carried 39,000 passengers (165% increase over December 2022 at Golden Gate Park). In January 2024, 28,000 passengers (120% increase over January 2023).
  • Commissioner comments: Commissioner Lee expressed support, noting increased foot traffic and potential for future inclusion in the Fisherman’s Wharf Revitalization plan. Commissioner Carrington stated he would vote for the lease but expressed dislike for the “carnival atmosphere” and hoped for a better long-term plan. Commissioner Lee noted the limited term due to the Revitalization exclusive negotiating agreement.
  • Amendment: City Attorney Michelle Sexton added environmental review findings (CEQA addendum and mitigation measures) to the resolution. The amendment was approved.
  • Outcome: Resolution 2415 (as amended) approved unanimously.

Artwork Proposal for Cruise Terminal Plaza (Item 13A, Resolution 2416)

  • Presentation: Marcus Davies (Port staff) and a representative from the San Francisco Arts Commission presented the selection of artist Ana Teresa Fernández for a permanent public artwork at Pier 27’s James R. Herman Cruise Terminal Plaza. The piece, titled “Marayas” (meaning tides), is a 15-foot-high, 24-foot-wide arch made of colored polycarbonate panels framed in steel tubing, designed to capture changing light and color.
  • Selection process: An RFQ issued in October 2022 drew 144 applicants; 28 were advanced to a review panel, which selected three finalists (David Brooks, Ana Teresa Fernández, James Shen). All finalists received an honorarium. The review panel recommended Fernández in December 2023; the Port Northern Advisory Committee reviewed the proposal on January 17, 2024.
  • Budget: Total art enrichment: $330,000. Art implementation budget: $136,000 (artist fees, design, fabrication, insurance, transportation). Site work/installation: $60,600. Long-term conservation: $33,000. The artwork is expected to have a lifespan of 35 years.
  • Maintenance: The Arts Commission will care for the sculpture; the Port will assist with non-specialized cleaning (e.g., power washing). Vandalism abatement methods are under review.
  • Timeline: Artist contract in March 2024; design through September 2024; fabrication May–June 2025; installation July 2025.
  • Commissioner comments: Commissioner Carrington praised the artwork and asked about stipends for finalists (confirmed honorarium was paid). Commissioner Lee asked about the lifespan (35 years) and expressed appreciation. Commissioner Brandon supported the selection.
  • Outcome: Resolution 2416 (approving the artwork and authorizing the Executive Director to enter into an MOU with the Arts Commission) approved unanimously.

Key Outcomes

  • Minutes of February 6, 2024: Approved unanimously.
  • Consent Calendar (Resolutions 2411, 2412, 2413): Approved unanimously.
  • Biennial Budget (Resolution 2414): Approved unanimously.
  • SkyStar Wheel Lease Waiver and Terms (Resolution 2415): Approved unanimously, with staff directed to seek Board of Supervisors approval for the waiver of competitive bidding.
  • Artwork Proposal (Resolution 2416): Approved unanimously.
  • New Business: The Commission noted follow-up actions: (1) Research and report on the propane tank storage ordinance affecting port tenants; (2) Return with a discussion on the appropriate mix of in-house vs. contracted work for the Waterfront Resilience Program; (3) Continue to address unlicensed vending on port property.
  • Adjournment: The meeting adjourned at 4:28 PM.

Meeting Transcript

President Kimberly Brandon. Here. Commissioner Stephen Lee. Here. Commissioner Ed Carrington. Here. Vice President Gail Gilman and Commissioner Willie Adams are absent today. The San Francisco Port Commission acknowledges that we are on the unceded ancestral homeland of the Romaticalone, who are the original inhabitants of the San Francisco Peninsula. As the indigenous stewards of this land and in accordance with their traditions, the Ramatoshalone have never ceded, lost, nor forgotten their responsibilities as the caretakers of this place, as well as for all peoples who reside in their traditional territory. Item two is approval of minutes for the February sixth, twenty twenty-four port commission meeting. We have a motion and a second. All in favor? Any opposed? The motion passes unanimously. The minutes of the February sixth, twenty twenty-four meeting are adopted. Item three is public comment on executive session. For callers on the line, please dial star three if you wish to make public comment. Others will wait on mute until their line is open. Comments will be limited to three minutes per person. The queue is now open. Please dial star three if you wish to make public comment. Second. Any opposed? The motion passes. San Francisco government television. San Francisco Government Television. Second. All in favor? Aye. Aye. Any opposed? Motion passes unanimously. We are now in open session. Item six is Pledge of Allegiance. I pledge allegiance to the flag of the United States of America. Item seven is announcements. Please be advised that the ringing of and use of cell phones and similar sound producing electronic devices are prohibited at this meeting. For remote public comment, dial one, four one five. Then dial star three to raise your hand to comment on the item being discussed. An audio prompt will signal when it is your turn to speak. If you are watching this meeting on SFGov TV, there is a short broadcasting delay to not miss your chance to comment. Please dial when the item you want to comment on is announced. Mute your device and listen to the meeting from your telephone, which has no delay. Item eight is public comment on items not listed on the agenda. Is there any public comment on items not listed on the agenda? Seeing none. Do we have anyone on the phone? Yes, we have two callers for public comment. Please open the first line, opening the first line. Please go ahead.

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