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city of san francisco sfgtv meeting of public utilities commission occurring april 9,

2013, will begin shortly. city of san francisco sfgtv, meeting of public utilities commission, april 9, 2013, will

begin shortly.

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call the roll please. >> chair recognizes the quorum. approval of march 12, 25 and 26 minutes. move and seconded to move approval of minutes of march 12, 25, 26. public comment? just want to say thank you to our secretary for the tedious task for drafting our minutes and be able to

correct the misunderstanding that were created by some people that didn't understand what was going on. so thank you miss hood for that. public comments? we have no public comments today. this is unheard of. all right. we'll move on to item number five -- communications. no comments whatsoever? no public comments on communications. we'll move on to other commission business. is there any? yes, mr. /phor moran. >> just following up on the lake hearing and i thought that was a very useful meeting. i

would just ask staff to return at the appropriate time, hopefully not too far in the future, with an mou with rec parks that incorporates the various discussions that we've had over the past six months or so. >> comment on this issue? >> no. >> i want to reiterate the commitment i made at that hearing. that is to conduct a task force meeting again and make it a regular business for us to do that and any commission is welcome to do that with us as well. it's all about a willingness to be heard and for communication to take place. >> thank you president torres. for those of you who are not

aware, labor leaders tend to be like prize fighters and then retiring and unretiring and retiring again. i do have it on good authority, and i'm going to ask for some assistance from staff, that larry [inaudible] who has been the head of the plumbers union is in fact going to be retiring and i'd like to make sure we don't miss an opportunity here to do reck recognition in some way and i will ask staff to follow up on that. >> that is now confirmed by mr. courtney. i have a long history with mr. mizzola. we will save or remarks for the

appropriate time. other commission business? report of the general manager. >> i'd like to start off with introducing kim mall com. kim has just joined our staff. she comes with a strong energy policy background and experience in the energy field. she's worked for the california public energy commission so she's quite involved in community choice and helping to write the rules there. when she left work for cpc she worked for a non profit in uc berkley so he's also a /prabg /teugs /tpher as well working with communities job placement. i think she brings a very strong background to the

san francisco public utilities commission and we look forward to hearing from her in the near future. >> we'll have some questions. welcome. >> this is my third day. >> this is your third day. no wonder you're still smiling. thank you for being with us and welcome. >> i'd like to call gee lee for the water system improvement update. >> good afternoon. as you know, we've spent a lot of time the past few months working on this comprehensive assessment that will allow us to refine or budget and schedule and that work culminated with the publication on march 22 of a notice of public hearing where you will be asked to consider changes to the wisip and that will take place on april 23. at the program level i want to

highlight the fact that we have now passed the 5 million worker hours milestone. this is a pretty important record. i also have some project level news that i'd like to share with you. as you know, the differing site conditions that were discovered at the site in mid 2012 are by far the largest program changes and i'm happy to report that last week we were able to reach an agreement with the contractor on the terms of that change order. it took two months to negotiate that change order and in the end i think both sides think the outcome is fair and justifiable. on the bay tunnel i wanted to let you know that

we extracted the cutter head of the tunnel and we are on track now to start the installation of the pipeline inside the tunnel in may. this will allow us to get into the existing tunnel by the end of completion of the new irvington tunnel. this is a change that will come at no cost to us and it's a great opportunity for us to work with the water enterprise on a plan to inspect the tunnel while we still have a contractor on sign so that's something that will take place in late 2014 or 2015. we will need to have a lot of

coordination with operation staff before we come up with a thorough inspection plan there. another milestone in march -- we issued construction on the san antonio pipeline project and that leaves us with only preprojects in construction. another project in pre/skwr*ubgs -- the regional water ground and recovery project. that project is being issued tomorrow with comments due at the end of may. and finally i wanted to close by recognizing the incredible support we're been getting from our operations staff, especially the two treatment facilities. the staff is doing an outsiding job balancing the need to accommodate all the construction activities at both plants, while at the same time

minimizing operational risks. at one plant right now some of the performance testing has been delayed. we're only a couple weeks from substantial completion there, but because we are delay /w-d some of that testing, the plant needs to remain operational drawing furtherer down some of our local /rez . >> thank you. >> any questions? thank you. >> that concludes my report. >> public comment on the general managers report? consent calendar. >> item eight, approving amendment one and authorize to execute a journal amendment for

a timeframe of one year with no change to the contract amount. any comments? a motion to approve the consent calendar. all in favor say i. opposed? motion carries. and we're down to our regular calendar, item number nine. >> item nine updated debt management procedures. >> here today we have an update of the debt policy for you to consider you and i've asked our debt manager to share with you the policy. >> we have a presentation.

>> can we have the computer projector please. >> good afternoon. the item in front of you for your consideration today is the adoption of the updated debt management policies and procedures. these policies set forth the guidelines and parameters for how we should issue and manage our debt in accordance with legal regulatory requirements and the three best practices in our respective debt issueance needs. the goal is to do this in a sound and transparent manner. as a regular issuer of debt, we already have debt policies in place. it's always

recommended, such policies be refreshed giving the ever changing municipal bond world, as well as our own changing needs. several changes have been made, such as provide flexibility and guidelines on how we sell our bonds and adding certain compliance procedures. besides our review process, these have been reviewed by the controllers office and the city attorney's office. the value of having updated debt policies /tkepl demonstrates to our [inaudible] this lends credibility to the

sfp you see from a management standpoint and will be viewed as a -- in fact, next week charles pearl and i will be traveling to new york city to a national bond investor conference where we'll be presenting this to past and perspective purchasers of our bonds. we hope to tell them we have updated policies in place. with that i'll take any questions you might have. >> it's stated in the memo that this was recommended by the government finance officers association. who are they? >> they are a very large industry association of government financial officers. >> they have the best practices recommendations? >> absolutely. this is one practice they highly recommend. and many of the large issuers

throughout the country, particularly our peers in california, have such debt policies and we've had them in places for a while. we should be updating them as conditions change, requirements change, so this would be an update to that. >> so you are a member of the association in >> yes. we're very actively involved. >> mr. president, he was on that board for many number of years. >> do they give a star of accreditation or what do they provide us by -- >> i'm not aware of that maybe. >> no certification process. >> no. but we do already receive their excellence awards. >> that's what i was referring to. >> why do i have to push you guys to toot your horns. >> we do. thank you for doing that. >> exactly.

>> in fact, when we go to this invester conference we will publicize that. >> we do toot our horn. >> thank you very much. any quick comments on that? there being none, -- moved? >> so moved. >> second? any public comment on the motion. there being none, all those in favor say i? opposed. motion carries. item number ten. >> item ten. improving for potential revised contract amount of up to 10, 309,800.

>> any questions? any public comment? motion to approve. >> so moved. >> approved and seconded. all those in favor signify by saying i. opposed? motion carries. item eleven. >> recommended that the board of supervisors approve an easement to pge to pge and for its fair market value following approval by the board of supervisors. >> good afternoon. i'm real estate director. do you have any questions? >> that was pretty -- is there a motion? >> so moved. >> moved? >> second. >> seconded. public comment. there being none, all those in

favor say i. opposed. motion carries. thank you. >> thank you. >> i no, no, thank you. item number 12. >> authorize a general manager to execute the four professional services and agreements for an amount not to exceed 5 million dollars each and with a duration of 14 years per agreement. >> all right. welcome. any questions the commission may have on this item? >> i just had a quick question on the duration -- 14 years seems like a long term. >> it is a long term duration is what these contracts will be used for is to provide supplemental report so it is that long periods of a time so

when you're established habitat it takes a long time to grow and get the characteristics to provide that habitat. long term investment. this is a pool of contractors that would get individualed task orders and we have provisions for performance like many of our other contractors. >> when you say provisions for performance, if there is a finding that something's not going right, do we have the ability under the contract to invalidate the contract? >> yes. we do. >> we do? /tho provisions are in there? >> yes. termination for con convenience. >> so that's within the purview. so it could turn out not to be 14 years if there are problems. we do that with a lot of the grants we issue. >> or if the firm starts to change its business or if people leave the firm.

whatever reason. >> i just wanted to make sure we had that out of the way. all right, public comment. motion to approve. >> so moved. >> moved and seconded. >> all in favor say i. opposed. motion /kraeur carries. item number 13. >> between the sfpoc and the san francisco local agency formation commission and authorize the general manager to execute this amendment of four years. >> so you discussed the mou that it was expiring and this is necessary for us to continue our relationship with lafco. there was no comments or questions at the march 25 meeting so we're now bringing it back to you for approval at this time. >> okay. so... >> there's no cost?

>> no. don't believe so. is there? i don't even know. >> there is no incremental cost. it's only a time extension in this case. where was she noted as the -- she's the new mike campbell if you remember him at all. he was community out reach manager and he left. yeah, we just hired her and wanted to make sure she'll be around. >> public comment? being none, all in favor signify by saying i. opposed. motion carries. all right. i guess we're down

to closed session. >> closed session item conference with legal council pursuant to government code section 54956.81 and san francisco administrative code 6710 d-1 and id might note that the state legislature provides the brown. >> is there a motion to [inaudible]. >> so moved. >> moved and seconded. all those in favor signify by saying i. >> let's move to closed session. any public comment. as lonely as he is [inaudible].