SAN FRANCISCO HOUSING AUTHORITY

Rev. Amos Brown, President

Mirian Saez, Vice President

Micah Allen, Commissioner

Dr. Veronica Hunnicutt, Commissioner

Ahsha Safai, Commissioner

Matthew Schwartz, Commissioner

Dorothy Smith, Commissioner

BOARD AGENDA

March 8, 2012

4:00 pm

Board of Commissioners Room

440 Turk Street

San Francisco Ca. 94102

(415) 715-3280

Henry A. Alvarez III

Executive Director

.The Mission of the S

“

The Mission of the San Francisco Housing Authority is to deliver safe and decent

housing for low income households and integrate economic opportunity for

residents.”

2

Table of Contents

MEETING NOTICE................................................................................................................................3

PUBLIC NOTICES NOT ON THE AGENDA: LIMITED MINUTES……………..……….….….6

TENANT REPRESENTATIVE REPORT: ……………...………………….…………….…….……8

REGULAR BUSINESS AGENDA……………………………………………………………….…….9

COMMISSIONER’COMMENT…………………………………………………….………………..24

CLOSED SESSION…………………………………………………………………………………….25

3

EDW I N M. L E E , MA Y O R

SA N F R A N C I S C O HO U S I N G AU T H O R I T Y R E V . AM O S C BR OW N , PR E S I D E N T

SAN FRANCISCO HOUSING AUTHORITY

Mirian Saez, Vice President

Micah Allen, Commissioner

Dr. Veronica Hunnicutt, Commissioner

Ahsha Safai, Commissioner

Matthew Schwartz, Commissioner Dorothy Smith, Commissioner

Henry A. Alvarez III, Executive Director

440 TURK STREET

SAN FRANCISCO, California 94102 www.sfha.org

MEETING NOTICE

Thursday, March 8, 2012·4:00 p.m.

1. The San Francisco Housing Authority holds its meetings at 440 Turk Street, San Francisco, California 94102.

2. Disability Access: 440 Turk Street is accessible to persons using wheelchairs and others with disabilities. Assistive listening devices are

available upon request. Agendas are available in large print. Materials in alternative formats and/or American Sign Language interpreters will be made available upon request. Please make your request for alternative format or other accommodations to the Office

of the Ombudsman and Communication (415) 715-3232 (V); (415) 715-3280 (“TTDY”) at least 72 hours prior to the meeting to help

ensure availability.

3. The closest accessible BART station is Civic Center, three blocks from City Hall. Accessible MUNI lines serving this location are: #47

Van Ness, #49 Van Ness, #71 Haight/Noriega, #5 Fulton, #21 Hayes, 36 Parnassus, #7 Haight, the F Line to Market and Van Ness and any line serving the Metro Stations at Van Ness and Market and at Civic Center. For more information about MUNI accessible services,

call 415-673-6142. There is accessible parking across the street from City Hall at Civic Center Garage as well as across the street from

the Federal Building on Larkin.

4. Agenda, minutes and attachments are available at www.sfha.org as well as the San Francisco Housing Authority Administrative Office

located at 1815 Egbert Avenue, San Francisco, California 94124. If any materials related to an item on this agenda have been distributed to the San Francisco Housing Authority Board of Commission after distribution of the agenda packet, those materials are available for

public inspection during normal office hours at the San Francisco Housing Authority at 1815 Egbert Street San Francisco CA 94124

5. In order to assist the San Francisco Housing Authority’s efforts to accommodate persons with severe allergies, environmental illness,

multiple chemical sensitivity or related disabilities, attendees at public meetings are reminded that other attendees may be sensitive to various chemical based products. Please help the San Francisco Housing Authority accommodate these individuals.

6. The use of electronic sound-producing devices at/during public meetings is prohibited. Please be advised that the meeting President may remove any person(s) responsible for the ringing or use of cell phones, pagers and similar sound-producing electronic devices from the

meeting room.

7. Requests for public comment may be heard on items not on the agenda as well as after staff presentation on any Regular Agenda Item.

Speakers at Board meetings are requested, but not required, to identify themselves and fill out cards placed on the table at the entrance door. When the Board considers policy, which has not been considered by a committee, testimony is welcome during the Public

Comment portion of the meeting. Testimony is not permitted when an opportunity has been given at a committee hearing for testimony

on an item. The public may address the Board for up to two minutes or four minutes for speakers who require an interpreter, or unless otherwise approved by the Board of Commissioners. The President, or the Board, may limit the total testimony to 30 minutes. The

Board may not take action on a new proposal, which is not on the agenda.

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AGENDA -------------------------------------------------------------------------------------------------------------------------------

ORDER OF BUSINESS

1. Call to order and roll call

2. Approval of agenda

3. Public comments on items not on the agenda: limited minutes

Note: This portion of the agenda is not intended for debate or discussion with the Commission or staff.

Please simply state your business or the matter you wish the Commission or staff to be aware of. It is not

appropriate for commissioners to engage in a debate or respond on issues not properly set in a publicly

noticed meeting agenda. If you have questions or would like to bring a matter to the Commissions’ attention,

please contact the Executive Office of the San Francisco Housing Authority at leey@sfha.org.

4. Secretary’s Report

a. Response to Public Comments

5. Tenant representative report:

a. City Wide Council - senior/disabled (“CCSD”)

b. Public Housing Tenants Association (“PHTA”)

6. Regular Business: Public comment will be taken after staff presentation on each agenda item. Speakers

are encouraged to complete a comment card. Speakers will be limited to two minutes or four minutes for

speakers who require an interpreter.

a. Consent items

1) Approval of Minutes: February 23, 2012 Meeting

Public Comment

b. Action item

1) [Resolution Authorizing The Executive Director To Enter Into An Intergovernmental

Agreement With The Department Of Public Works For Tree Maintenance And

Improvement Services At San Francisco Housing Developments In An Amount Not To

Exceed $120,000.] Presented by James Mark, Senior Project Manager, Housing

Development & Modernization

Public Comment

5

2) [Resolution Authorizing The Executive Director To Execute The Declaration Of

Restrictive Covenants For The Development And Operation Of Housing As A

Condition Of The California Department Of Housing And Community Development

Infill Infrastructure Grant Program For The Hunters View Phase IB Project.] Presented by Barbara Smith, Housing Development & Modernization Manager

Public Comment

7. Commissioner’s comment

8. Closed session

Public Comment

A closed session will be held pursuant to Government Code section 54956.9 to receive

advice from legal counsel on matters pertaining to settlement of Workers Compensation

Claims for: Deborah Burl-Scott – (Property Manager) Albert Robinson -(Laborer) Nikolao

Ufau – (Laborer) Barry Hazen- (Steamfitter) and Roberto Lechuga (Custodian)

9. Adjournment

6

PUBLIC COMMENTS ON

ITEMS NOT ON THE AGENDA: LIMITED MINUTES

Note: This portion of the agenda is not intended for debate or discussion with the

Commission or staff. Please simply state your business or the matter you wish the

Commission or staff to be aware of. It is not appropriate for commissioners to engage in a

debate or respond on issues not properly set in a publicly noticed meeting agenda. If you

have questions or would like to bring a matter to the Commissions’ attention, please

contact the Executive Office of the San Francisco Housing Authority at leey@sfha.org.

7

SECRETARY’S REPORT

8

TENANT REPRESENTATIVE REPORT:

a. City Wide Council - Senior/Disabled (“CCSD”)

b. Public Housing Tenants Association (“PHTA”)

9

REGULAR BUSINESS AGENDA: Public comment will be taken after staff presentation on each agenda item. Speakers are encouraged to

complete a comment card. Speakers will be limited to two minutes or four minutes for speakers who require

an interpreter.

a. Consent items

1) Approval of Minutes: February 23, 2012 Meeting

Public Comment

b. Action items

1) [Resolution Authorizing The Executive Director To Enter Into An Intergovernmental

Agreement With The Department Of Public Works For Tree Maintenance And

Improvement Services At San Francisco Housing Developments In An Amount Not

To Exceed $120,000.] Presented by James Mark, Senior Project Manager, Housing

Development & Modernization

Public Comment

2) [Resolution Authorizing The Executive Director To Execute The Declaration Of

Restrictive Covenants For The Development And Operation Of Housing As A

Condition Of The California Department Of Housing And Community Development

Infill Infrastructure Grant Program For The Hunters View Phase IB Project.] Presented by Barbara Smith, Housing Development & Modernization Manager

Public Comment

10

MINUTES

SAN FRANCISCO HOUSING AUTHORITY

BOARD OF COMMISSIONERS MEETING

February 23, 2012

SCHEDULED: 4:00 p.m. at 440 Turk Street, San Francisco, CA 94102

COMMISSIONERS PRESENT: COMMISSIONERS ABSENT:

Rev. Amos C. Brown, Chair Micah Allen, Commissioner

Mirian Saez, Vice Chair arr: 4:15

Matthew Schwartz, Commissioner

Ahsha Safai, Commissioner

Dorothy Smith, Commissioner

Dr. Veronica Hunnicutt, Commissioner

Michah Allen, Commissioner

Item 1: Meeting called to order

President Rev. Amos Brown called meeting to order at 4:05pm

Item 2: Approval of Agenda

Motion: Commissioner Dr. Veronica Hunnicutt moved to approve agenda

Commissioner Micah Allen seconded motion

Vote: All approved

Item 3: Public Comments on items not on the agenda

None

Item 4: Secretary’s Report

Henry A. Alvarez III reported that the next residential income management review from

HUD will start at the end of March to review the Section 8 program. They will send in their

national team due to trying to quickly correct things for the SEMAP certification and to

move the section 8 program back into the normal realm.

Item 5: Tenant Representative Report

1. Citywide Council Senior Disabled (CCSD)

Beverly Saba, President of Resident Advisory Board reported that joint boards PHTA/

CCSD would like to establish a computer generated system-wide maintenance log that is

submitted to the commissioners at least every 3 months. Beverly Saba commended David

Rosario for putting them in contact with the Department of Aging and Adult Services who

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has a grant to install computers. Ms. Saba mentioned that they are currently doing site

inspection to make sure that there is adequate security and space for the new installments.

Ms. Saba thanked Rufus Davis for putting CCSD in touch with the Ross Grant which is a

grant from HUD to provide hiring service coordinators for houses that currently do not

have them. Ms. Saba also stated that Rufus Davis has offered his expertise in assisting with

the grant. Ms. Saba thanked Pamela Palpallatoc and Tim Larsen for finalizing the MOU.

Ms. Saba also thanked Linda Martin-Mason and Phyllis Moore-Lewis for dealing with a

harassment issue. Ms. Saba also wanted to thank Pamela Palpallatoc and Mariposa Tuai for

assisting with the recall of elections.

2. Public Housing Tenants Association (PHTA)

Joyce Armstrong, President of the Public Housing Tenants Association reported that the

Board of Supervisors had a recognition ceremony for each district honoring Black History

Month. They also recognized fellow resident council member Georgia Willett, treasurer of

Alemany Resident Council. Ms. Armstrong reported that the PHTA will coordinate the

Mayor’s summer youth lunch program through the Department of Children, Youth and

Families along with SFHA. Lastly Ms. Armstrong asked the commissioners if they have

visited or driven through any of the family developments and have they seen what

conditions they are in?

Item 6: Regular Business

A. Consent Items

Minutes

o Minutes of regular Board meeting held on February 9, 2012

Motion: Commissioner Schwartz moved to accept minutes

Commissioner Hunnicutt seconded the motion

Vote: All approved

B. Action Items

1. [Informational Presentation: Update on Potential Project Based Voucher

Conversion at Four Properties.] Presented by: Barbara Smith, Housing

development and Modernization

Barbara Smith gave details on potential project base voucher conversion at 4

properties.

Commissisoner Safai asked how does the conversion affect the residents. Also

Safai stated that there needs to be a clear plan of action on who would be a partner

that works with employing residents. He stated that SFHA should get local

developer partners to work with more than one development.

Commissioner Hunnicut asked how improvements would be made without the

displacement of residents

12

Ms. Smith responded that through communication, assistance and available space there

will be no need for resident displacement. Emergency apartments will be available as

well as people there to assist the residents through the process.

Commissioner Matthew Schwartz asked how the SFHA would tell HUD that they need

to convert the units.

Ms. Smith responded that SFHA could convince HUD by telling them that we have

exhausted all other ways to address the needs and stabilize the properties. Ms. Smith

stated that they would seriously consider it but it was no guarantee

Commissioner Saez asked what the cost was per unit would the people currently living

there have access to a portable voucher and would we expect voucher allocations

Smith Responded $84,000 per unit after 12 months the tenant could request a tenant

voucher.

2. [Results of Operations for the Period Ended December 31, 2011.] Presented by

Virgilio Chua, Finance Manager, Finance Department

Virgilio Chua Presented the overall result of operation for the (3) months ended

December 31, 2011 and the Tenant Accounts Receivable (TARs) as of January 31,

2012.

Commissioner Matthew Schwartz stated that there are some sources that may offset

current negative income of programs and asked where do you project we will be by

the end of the year.

Mr. Chua responded that the authority is anticipating close to a balance operation

stating that there may be a deficit but not material enough to contribute to the

operating result or deficit in the various programs

Public Comment: none

Unidentified speaker asked if this information is posted somewhere publically.

President Brown responded that it is posted

3. [Recommendation Pertaining to the Brown Act and Time Limitations for

Public Comment.] Presented by Tim Larsen, Office of the General Counsel,

General Counsel

Tim Larsen, Office of general Counsel stated that at the last commission meeting

commissioner Hunnicutt asked can a member of the public speak on the same topic

twice. Mr. Larsen’s response was that it is the discretion of the board. The second

question asked at the previous meeting was for a recommendation with respect to

the yielding of time which is also at the discretion of the board. Mr. Larsen stated

that the commission’s current preamble is in the confines of the parameters of the

law to enforce the non-yielding of time if it is the will of the board.

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Commissioners all agreed that the yielding of time should not be allowed.

Public Comment: none

Motion: Commissioner Schwartz moved to adopt the resolution

Commissioner Hunnicutt seconded the motion

Vote: all approved

Item 7: Commissioners Comments

Commissioner Schwartz informed the board of a NAHRO legislative conference in

Washington D.C. 3/25/2012-3/28/2012

Commissioner Allen stated that today is the last day to register early

President Brown informed the board that next Wednesday at 6:00 there will be a

ceremony at St. Mary’s Cathedral where many of the residents of the housing

authority will be honored for their academic achievement

Commissioner Smith mentioned her granddaughter will be honored at this

ceremony

Commissioner Safai commended staff for their hard work with the Joint Labor

Management Committee. Commissioner Safai also stated that the he might ask the

body to take an official position regarding the approved medical marijuana

cannabis clubs close to schools which is effecting the youth.

Item 8: Closed Session: none

Item 9: Adjournment by consensus 17:05

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AGENDA

SAN FRANCISCO HOUSING AUTHORITY BOARD OF COMMISSIONERS

Agenda Category: Action- Housing Development & Modernization Department_____________

Agenda Title: Intergovernmental Agreement with the Department of Public Works (DPW) for

Tree Maintenance and Improvement Services at San Francisco Housing

Developments in an Amount Not to Exceed $120,000

Presented By: James Mark, Senior Project Manager, Housing Development & Modernization

SUMMARY

Trees at San Francisco Housing Authority (SFHA) developments require continued inspection,

pruning and removal for safety reasons. This interagency agreement replaces an existing tree

maintenance services interagency agreement that was recently exhausted.

The Housing Development & Modernization Department (HD&Mod) and Public Housing

Operations developed the scope of work. Work under this contract will generally include, but not

be limited to, the following tasks:

a. Survey sites;

b. Excavate and remove tree roots that are likely to uplift sidewalks;

c. Remove dead trees; and

d. Remove and trim tree branches that are at risk of falling or that are touching electric

lines and buildings.

(continued on Page 2)

Attachments: Resolution

Attachment A: Bid Solicitation Process

A copy of any attached documents are available at the clerk’s desk.

DEPARTMENTS REQUESTED ACTION:

Staff recommends adoption of this Resolution.

EXECUTIVE DIRECTOR’S RECOMMENDATION:

I concur with the requested action.

Agenda Item No. _____

Date: __________

15

A partial list of the developments where tree maintenance and improvement work will occur is

shown below.

$38,672.00 Potrero Terrace

11,826.88 Ping Yuen (795 Pacific)

10,318.56 Ping Yuen (895 Pacific)

11,205.44 Ping Yuen (655 Pacific)

26,555.56 Ping Yuen North (838 Pacific)

13,267.49 Woodside Gardens

8,154.07 Contingency and emergency response

$120,000 Total

In the past, DPW has consistently hired full-time residents of SFHA and is committed to exceeding

the 25% resident hiring contractual requirements.

The capital improvements will benefit the Authority’s real property assets, improve safety and add

longevity to the trees at these housing developments.

The tree maintenance and improvement services activity is funded in the 2011 CFP Program

budget.

207\17\1102801.1

ATTACHMENT A

BID SOLICITATION PROCESS

An intergovernmental agreement is permitted to be used under HUD Handbook #7460.8 REV 2,

14.2, “Procurement Handbook for Public Housing Agencies and Indian Housing Authorities”,

the San Francisco Housing Authority Procurement Policy Manual, and the State of California,

and local laws.

The Intergovernmental Agreement will be used for typical common tree cutting, tree trimming

and tree planting services that Department of Public Works (DPW) typically provides for San

Francisco.

HD&Mod hired an independent engineering firm who reviewed and provided an independent

cost estimate and a price analysis. Associated costs submitted for the tree maintenance and

improvement services are considered fair and reasonable. Although costs are somewhat similar

when acquired through the bidding process, hidden savings occur in consulting fees, bid

advertisements and printing.

According to past tree maintenance service projects performed by DPW for the SFHA, DPW is

responsible with a good record and has a lot of tree maintenance experience. DPW has

performed well on similar projects for the SFHA and has a good history of minimizing

contractor initiated change orders. DPW will also provide shredded bark at no charge.

A debarment check was made with California Department of Industrial Relationship and DPW is

not debarred from Federal Procurement and Non-Procurement work. DPW will provide a two-

year guarantee for materials and workmanship in compliance with Authority standards.

The Authority will issue an interagency agreement, following review and approval of this

agreement by the Procurement and Legal Department. The procurement process for the action

covered by this resolution meets the procurement standards of 24 CFR 85.36 “Procurement”,

HUD Handbook 7460.8 REV 2, “Procurement Handbook for Public Housing Agencies and

Indian Housing Authorities”, the San Francisco Housing Authority Procurement Policy Manual,

and the State of California, and local laws.

207\17\1102801.1

ATTACHMENT I - RESOLUTION

RESOLUTION No. ____________________

ADOPTED____________________________

RESOLUTION AUTHORIZING THE EXECUTIVE DIRECTOR TO ENTER INTO AN

INTERGOVERNMENTAL AGREEMENT WITH THE DEPARTMENT OF PUBLIC WORKS

FOR TREE MAINTENANCE AND IMPROVEMENT SERVICES AT SAN FRANCISCO

HOUSING DEVELOPMENTS IN AN AMOUNT NOT TO EXCEED $120,000

WHEREAS, The San Francisco Housing Authority provided an independent cost estimate and price

analysis for tree maintenance and improvement services at Housing Developments; and

WHEREAS, Department of Public Works submitted responsive and responsible proposal to maintain

trees at San Francisco Housing Developments; and

WHEREAS, these services are necessary to protect the health and welfare of residents and to preserve

the Authority’s real property assets; and

WHEREAS, funding is available through the HUD Year 2011 CFP Program budget; and

WHEREAS, the procurement process for those actions covered by this resolution meet the procurement

standards of 24 CFR 85.36 “Procurement”, HUD Handbook 7460.8 REV 2, “Procurement Handbook for

Public Housing Agencies and Indian Housing Authorities”, the San Francisco Housing Authority

Procurement Policy Manual and State of California and local laws; and

WHEREAS, all additional relevant documents submitted by Department of Public Works have been

reviewed and found to be in order; and

WHEREAS, Department of Public Works will meet the Resident Hiring requirements.

NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE HOUSING

AUTHORITY OF THE CITY AND COUNTY OF SAN FRANCISCO THAT:

1. The Executive Director is authorized to enter into An Intergovernmental Agreement with Department

of Public Works for Tree maintenance and improvement services at San Francisco Housing

Developments in an amount Not-To-Exceed $120,000.

2. This resolution shall take effect immediately.

APPROVED AS TO FORM AND LEGALITY: REVIEWED BY:

_________________________________

Tim Larsen, General Counsel Dr. Rev. Amos Brown

Date:_____________________________ Date:

AGENDA

SAN FRANCISCO HOUSING AUTHORITY BOARD OF COMMISSIONERS

Agenda Category: Action- Housing Development & Modernization Department

Agenda Title: Hunters View Phase 1B - Declaration of Restrictive Covenants -

Department of Housing and Community Development - Fee Encumbrance

Presented By: Barbara Smith, Housing Development & Modernization Manager

SUMMARY: (Attach Supporting Documents if Necessary)

This resolution authorizes the Executive Director to execute the Declaration of Restrictive

Covenants for the Development and Operation of Housing (the "Declaration") as required by the

California Department of Housing and Community Development ("HCD"), for Hunters View

Associates, L.P., a California limited partnership (the "Master Developer"), to construct one

hundred and twelve (112) housing units as part of Phase IB of the Hunters View Housing Project

(the "Project"). The Master Developer, in its application to HCD, represented that it would

construct such units on the Phase IB site, and applied for and received a grant from HCD to

finance certain infrastructure improvements under HCD's Infill Infrastructure Grant Program (the

"Program").

The Program requires the recordation of the Declaration for a minimum of fifty-five (55) years.

Since the Ground Lease for Phase IB is initially for only five-year, HCD is requiring the

recordation of the Declaration against the fee interest of the Authority's property, until a

regulatory agreement is recorded by a public agency restricting the Phase IB property to the uses

represented in the Master Developer's application to HCD.

Attachments: Attachment I – Resolution

A copy of any attached document is available at the clerk's desk.

DEPARTMENTS REQUESTED ACTION:

Staff recommends adoption of this Resolution.

EXECUTIVE DIRECTOR'S RECOMMENDATION:

I concur with this recommendation.

Agenda Item No. _____

Date: __________

This Action is required because it is a change from the Authority's policy. The Authority

normally does not permit the recordation of any liens against the fee interest in the Authority's

property for rental development. This was also the intent for the Phase IB project. Phase IB will

consist of one hundred and twelve (112) units of affordable rental and market rate rental or

ownership housing.

The Authority and the Master Developer intend to enter into a seventy-five (75) year ground

lease for the Project. However, the Master Developer requested and the Authority approved an

initial five-year ground lease for the Phase IB project, primarily so that the Master Developer

could (i) access the Grant funds to commence the construction of certain infrastructure

improvements on the Phase IB site, and (ii) to determine the configuration and types of units to

be constructed. The Master Developer has incurred certain costs related to the construction of

certain infrastructure improvements on the Phase IB site. Due to the short-term of Ground Lease

IB, HCD is requiring the recordation of the Declaration against the fee interest in property until

such time as regulatory agreement is recorded against the leasehold interest of the property for at

least 55 years, which will restrict the property to housing and which will name HCD as a third-

party beneficiary. Upon the recordation of the regulatory agreement by the Authority, the City

and County of San Francisco, and/or HUD, the Declaration will be released from the fee interest

of the property.

ATTACHMENT I - RESOLUTION

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RESOLUTION NO. ____________________

ADOPTED____________________________

RESOLUTION AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE

THE DECLARATION OF RESTRICTIVE COVENANTS FOR THE

DEVELOPMENT AND OPERATION OF HOUSING AS A CONDITION OF THE

CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY

DEVELOPMENT INFILL INFRASTRUCTURE GRANT PROGRAM FOR THE

HUNTERS VIEW PHASE IB PROJECT

WHEREAS, on January 13, 2011, the Authority Commission approved Resolution No. 5538

authorizing the Executive Director of the Authority to negotiate and execute certain documents

and to submit such documents to the United States Department of Housing and Urban

Development ("HUD"), in connection with the development of Phase IA and part of Phase IB of

the Hunters View Housing Project;

WHEREAS, such submittals were primarily related to Phase IA of the Hunters View

Development (the "Development")and an initial Ground Lease Agreement for Phase IB of the

Development (the "Phase IB Project");

WHEREAS, the Hunters View Associates, L.P., a California limited partnership (the "Master

Developer") and the City and County of San Francisco, a municipal corporation (the "City")

received a grant in the amount of Thirty Million Dollars ($30,000,000) (the "Grant") under the

Infill Infrastructure Grant Program, which is administered by the California Department of

Housing and Community Development ("HCD"), to fund certain infrastructure improvements of

the Development;

WHEREAS, the Authority and the Master Developer entered into the Ground Lease IB for an

initial term of five years (with an one five year extension), primarily so that the construction of

the infrastructure improvements could commence on the Phase IB site and also to determine

which portion of the one hundred twelve (112) units in the Phase IB Project would be rental

housing versus ownership housing;

WHEREAS, HCD requires as a condition of providing Grant funds to the Phase IB Project, that

certain housing covenants as described in the Declaration of Restrictive Covenants for the

Development and Operation of Housing (the "Declaration") be recorded against the Phase IB

Project for a minimum of fifty-five (55) years to ensure the construction of the housing project as

indicated in the application submitted by the Master Developer and the City to HCD for the

Grant funds;

WHEREAS, due to the short-term of the Ground Lease for the Phase IB Project, HCD is

requiring the recordation of the Declaration against the fee interest of the property until such

time as the City, the Authority and/or HUD record a regulatory agreement with a minimum term

of fifty-five (55) years, against the leasehold interest in the Phase IB Project, which will require

the construction of the Phase IB Project, and which will name HCD as a third-party beneficiary;

23

WHEREAS, the Authority desires to approve the recordation of the Declaration against the fee

interest in the property, subject to certain conditions as provided in the Declaration, including the

conditions the HCD shall release the Declaration upon the recordation of a regulatory agreement

by the City, the Authority and/or HUD as described above;

WHEREAS, the Declaration shall be subject to the review and approval of HUD.

NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE HOUSING

AUTHORITY OF THE CITY AND COUNTY OF SAN FRANCISCO THAT:

1. The Commission finds the above recitals true and accurate.

2. The Commission hereby approves and authorizes the Executive Director, or his designee,

to execute the Declaration of Restrictive Covenants for the Development and Operation

of Housing, in substantially the form on file with the Authority; and approves the

recordation of the Declaration against the fee interest of the Property subject to the

conditions as set forth in this Resolution.

3. This Resolution shall take effect immediately.

APPROVED AS TO FORM AND LEGALITY: REVIEWED BY:

__________________________________

Timquin Larsen, General Counsel Dr. Rev. Amos Brown

Date: _____________________________ Date:

24

COMMISSIONER’S COMMENT

25

CLOSED SESSION

A closed session will be held pursuant to Government Code section 54956.9 to receive

advice from legal counsel on matters pertaining to settlement of Workers Compensation

Claims for: Deborah Burl-Scott – (Property Manager) Albert Robinson-(Laborer)

Nikolao Ufau – (Laborer) Barry Hazen- (Steamfitter) and Roberto Lechuga (Custodian)

26

ADJOURNMENT