>> thank you very much for coming this morning and welcome to the rededication of the reservoir. we are happy to be here today. this represents one of the milestones in our project. we are happy to share this with you. this reservoir has been empty the last two years and today, you will hear the sound of water

rushing to fill it again. it makes the city safer, provides water for customers, for firefighters, for after an earthquake. we will be updating our systems. this was originally built in 1885. 125 years old. it takes care of a good part of san francisco, places lower than this. it is an incredibly important part of our system in san francisco. it was a $39 million project and it came in under budget. we are doing it effectively and efficiently. we do appreciate the folks who worked on it. it is part of the $4.6 billion water system improvement program. this is about a half with point in that program. it is the last major project in san francisco that has been completed. there are a few more projects to

be done. this is the last major one. san francisco is more safe than before these projects were done. there are a lot of projects that happened in district 11. the first was a tank replacement project that started a number of years ago. it is fitting we are in district 11 because we're finishing the major work on our program in district 11. we're happy to be joined by supervisor john avalos. he has been supportive of all of our programs and was a leader on having local jobs for people who need them. the work is happening to provide those jobs. in fact, at the end of this week, we will have six kids out worth $18 million that will help the new local hire ordinance legislation. we are certain the pilots for how to expand local hire.

supervisor avalos? [applause] >> thank you. i want to congratulate you and the public utility commission, san francisco water, power, so were for your great work on this project and throughout the head ceci -- throughout the improvement program. we have projects being done across northern california and it speaks volumes about the puc staff, being able to bring these projects to fruition. these are paid for by our tax dollars. we owe it to the ratepayers to make sure that our public investments are made efficiently and a sound way for the budget. congratulations. i am excited about the track record of the puc on hiring locally in san francisco. for this project alone, we have 60.5% of the residents who are

around the area working on this project. we have 6.5% -- it is 27.5%, sorry, much better. 27.5% of the workers are local residents. that is above what our current mandate is for the local hire ordinance that we passed last year at the board of supervisors. i wanted to congratulate you on that effort. 54.5% are from the bay area. 60.5% of the workers are apprenticeships workers, new workers, who are getting new jobs into this industry. the project helps to make that happen. congratulations on that. we are hiring carpenters, cement workers, and landscape professionals. we know we are providing employment opportunities for this project.

i look at this as providing so many benefits to san francisco. we're providing reliable water. we are making our water system safe. we are also improving the process for many san francisco workers and businesses. those workers will go and spend money for their basic needs in san francisco. congratulations to the puc. i look forward to more of the work being done on our local monuments. thank you very much. [applause] >> thank you, supervisor. don't we love this almost summer weather? it is a wonderful place to be, isn't it? this is part of a larger improvement program and it is good when you have these ceremonies to have somebody who knows what is happening in back of us as opposed to those who come for the celebrations. julie is the head of the program and she will be talking about what we're doing here. thank you.

julie? >> thank you. i am thrilled to be here this morning to commemorate the completion of this key retrofit project as well as to celebrate the construction completion of 29 other projects here in the city of san francisco. the university mount reservoir is the fifth to be retrofitted as part of the water system improvement program since 2003. i think it is important to remember that every time we complete a project like this, we are a step closer to making our system completely seismically reliable and to ensure our 2.5 million customers have drinking water, and that we have an adequate supply to fight fires following a major seismic event. how did we seismically retrofit this 125-year-old structure? we installed a number of super frames to support the roof

structure. we added multiple sheer walls and stained -- and frames. we also drilled 500 miles through the bottom of the reservoir to anchor it to the bedrock to prevent it from sliding. we completely sealed and waterproofed the roof. with all of these upgrades completed, this reservoir will be possible of heating be -- feeding the entire city following a major earthquake. be completed some improvements to the inlet-outlet piping of the reservoir that will allow us to backseat our transmission system so that customers in the upper peninsula do receive water following an emergency. i am really proud of the hard work of our project team. there to be commended for successfully delivering the project and also for their

dedication to the program. i also wanted to highlight the pretty impressive track record of the regional project manager, howard fung. job well done, howard. [applause] thank you. >> thank you. just to make sure we understand, this is a partnership of a lot of folks. the general manager of the puc, the general manager for infrastructure, the assistant manager for external affairs, and a lot of you who have worked hard for the puc, we appreciate it. we also have the leadership of the puc, the commissioners to make the decisions. we have the president and the vice president of the commission. francesca is here to make another announcement today. [applause]

>> i am so happy to be here to celebrate this project. i think it is appropriate, the weather we are having, as we dedicate the reservoir. it is a little strange to be getting this rain, but we appreciate every drop of it and we are happy to have a big reservoir. i am excited to announce that we have plans to install three small hydroelectric generators here on site. that is a clean, renewable energy source, something that we are committed to. it will replicate on a smaller scale of our large scale hydro project up that hetch hetchy dam . we are thrilled that will be on line. that will be done by 2013. 200 kilowatts per day will be generated by those three facilities, those three generators, enough to power approximately 200 homes. we are excited about that as part of our efforts to move away from dirty, empowered --

imported power sources in san francisco, and an example to our commitment to a clean, renewable energy future. we are excited about that. i want to congratulate the power enterprise staff for this project. they are doing everything they can on the efficiency front to make us a clean, green city. i want to acknowledge them as well. it is a team effort. not only the water enterprise, but the power enterprises making this a success. thank you to them and to everybody at the puc for making this happen. [applause] >> now we have a few gifts for the people who are speakers. then we will walk down and turn the valve. when it is totally open, it will bring in 2.5 million gallons a day into this reservoir. it holds 80 million gallons.

it will take a month to fill up completely. you are welcome to come down. watch your step. we will make the last turn of the vowels. you will start to hear the rush of water going into the reservoir. [water rushing] >> many hands make light work. [water rushing]

>> all those in favor of approving the minutes? any opposed? the minutes or approved as a minute. item three, public comment on executive session. nothing? ok, executive session. is there a motion? >> so moved. >> approved. >> all of those in favor of adjourning to an executive session? any opposed?

>> reconvene in open session. at second? >> i would also like to make game motion that there are two versions of the agenda. on some, item 13 was deleted, which was just adjournment. so i move to add at item 13 back on to the agenda, for adjournment. about a second. >> any public comment? >> all of those in favor of revising the agenda? the motion is carried. is there a motion regarding closed session? >> motion not to disclose? >> is there a second? any discussion? all of those in favor? the motion is carried. >> item six, please be advised

that the ringing of and use of cell phones, pagers, or similar sound producing electronic devices are prohibited at this meeting the chair may order the removal of any person responsible for the ringing or use of a cell phone, pager, or similar sound-producing electronic device. 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 time on any item. item seven a., executive director's report. >> good afternoon. board staff, and a member of the public. i have a brief executive director's report today. i am starting with another of our blue greenway planning and design guidelines workshops, this thursday evening, june 16,

at pier 1, from 5:30 until 7:30. they will focus on improving it cited and the site furnishing. the meeting is from 5:30 until 7:30 at pier 1, and we already have a draft. his agent online at sfgport.com/bluegreenway, and will be taking, it's on that until july. you can leave your comments on line. we welcome the comments. it is an exciting project for us. the next item is the final environmental impact report for the brannon street wharf, at long last heard by the city planning commission this thursday, june 16, and we sincerely hope that will be certified.

this is the final eir for the project, which has spent 11 years in conceptual design. it is finally moving forward. banks to the generosity of multiple sources, including the bond measure, the project is fully funded -- thanks to the generosity of multiple sources. that is really exciting news for us and we are looking for to that at long last. as i think you already know, this week, the oracle racing has debuted to of their ac-45 vessels for the running of the catamarans. the ac-72's which are twice as tall, will be running for the calendar series in july, 2013, as well as the final match of the america's cup.

this week, from 1:00 until 3:30, june 13 through june 17, is the running of america's cup 45, and they're testing out the courses. i think they have some fine- tuning, after yesterday's capsizing, as well as race management technology, all under the purview of john, who is the course designer for the america's cup management group, formally doing the same job for the st. francis yacht club. they're doing places all over the bay. -- there are viewing places all over the bay. the most scenic would be from golden gate bridge to pier 39, or the 1850 replica of the america's cup yacht race. or the 2003 challenger usa 76. those vessels are also out

there, and hopefully everybody will get to see them. they're said to go about 30 knots, which is quite quick. very exciting. next is the development commission will be meeting on july 7. this is imported the port of san francisco is our joint application with the america's cup event authority with a commission to consider, the special area plan amendment to allow open activity in the water basin for the america's cup on the 34 -- for the america's cup 34. but it is at the water basin a little to the south of pier 32- 38. whose phone is ringing? that is where the key vessels will be brought during the match. the second place is the open water basin at the rincon park.

the proposal is spectator yachts would be berthed in that open water basin. it the special area plan limits mooring to non-commercial vessels. the items will be held at the commission meeting on july 7, in the port commission room, in this building. there will be a staff report available, june 24. at this time, staff is only recommending an allowance for the brannon street wharf open water basin and not the rincon point open water base. at some more to come on where the super yachts will be berthed. and finally, i'd like to propose the port commission adjourned its meeting today in honor of the fallen san francisco firefighters, lieutenant vincent perez and firefighter paramedic

anthony valerio, two college to we have lost 10 days -- two of our colleagues that we have lost. >> any comments on the executive director's report? ok. >> item 7 b., legislative updates. >> good afternoon, commissioners. my name is jonathan stern with the planet -- with the port planning and development division. given that our legislative liaison was detained, he asked me to give you a brief update about the legislative agenda of the port and city at the state legislature. there are two bills that have been going through the legislature and i will give you a brief update regarding them. there we go.

there are two bills, both about development projects. the first, ab-418, regards pier 7-0 and the trust status out at the pier, at the other bill is regarding the cruise terminal and the sites that will be in the america's cup. just as background, the port works with legislature, in conjunction with the city legislative committee. this is the group convened by the mayor's office, and generally puts together all of the specific needs that the city looks at, what is planning to move toward it at this time, and we are part of that process.

ab-418 is really an administrative trust bill. it is a trust exchange mechanism. at this map shows the report that port staff that did a number of years ago about the trust status of the area components of pier 70. many of the pieces of property were acquired with the original grant. many of them were acquired afterwards, specifically the shipyard, which support purchased for $1. each of these parcels, some of them were filled land, some of the more i planned. -- some of them are upland. they have specific stories that affects their legal status.

when we are going through our normal process, we have a couple options. we can sit down with staff and say this very specific property has this-and should be treated this way, and this is not in the trust, or because we are doing pier 70, we can try to all ligne trust status. this is the representation of three statuses we would like to see. the yellow are areas where the trust is lifted. almost 40 acres at pier 70 have other reasons we think the trust may not apply. the green areas would be in the trust. these are some of the internal streets. and then the historic buildings would either be in the trust,

could be maintained by the port in or out of the trust. but i mentioned before, this bill is primarily an administrative bill. it is delegating to the state lands commission, making these trust exchanges. ultimately, there will be a lot of staff work and tidal research to verify the status and get them from this map to the second. this is not really a matter that needs to be written into state law, the mechanism where the land commission can address these issues as they go by. this is particularly important as we move forward with the development initiatives we have, the waterfront site that we're negotiating before the city development, and for the 20th street building. these are mechanisms that will help us finish those processedes.

there are sort of two issues that we are looking at, that have to be resolved before this is finalized. they both have to essentially do with the trust money and historic buildings. the first is some of these lands seem to be non-trust land, but they're still held by the port, and the harbor fund is essentially a trust assets. so what happens with this money. at the land commission wants to make sure that we do not put general trust money, harbor fund money into non-trust properties. that is a nuance and the details we still have to work out. similarly, do historic buildings get held at the trust with use restrictions or are they held as non-trust assets that achieve the mission of the trust