nurture women of color artists. i think that is something that has not shifted for me in those 25 years, and it is good to see that brava remains committed to that kind of work. ♪ >> when people talk about the reflection of the community, we can only go from what we have on our staff. we have a south asian managing director, south african artistic director, latino community out rich person. aside from the staff, the other people, artists that we work with being a reflection of us, yes, the community is changing, but brava has always tried to be ahead of that trend. when i came in, i tried to make it about the work that shows the eclectic mission district,

as well as serving the mission. those are the types of things those are the types of things that i feel build one brava is >> i'm your host of "culturewire," and today, here at electric works in san francisco. nice to see you today. thanks for inviting us in and showing us your amazing facility today. >> my pleasure. >> how long has electric works been around? >> electric works has been in san francisco since the beginning of 2007. we moved here from brisbane from our old innovation. we do printmaking, gallery

shows, and we have a fabulous retail store where there are lots of fun things to find. >> we will look at all of that as we walk around. it is incredible to me how many different things you do. how is it you identify that san francisco was in need of all these different services? >> it came from stepping out of graduate school in 1972. i wrote a little thing about how this is an idea, how our world should work. it should have printmaking, archiving, a gallery. it should have a retail store. in 1972, i wanted to have art sales, point-of-sale at the grocery store. >> so you go through the manifesto. with the bay area should have. you are making art incredibly accessible in so many different ways, so that is a good segue. let's take a walk around the facilities. here we are in your gallery

space. can you tell me about the current show? >> the current show is jeff chadsey. he is working on mylar velum, a smooth, beautiful drawing surface. i do not know anyone that draws as well as he does. it is perfect, following the contours and making the shape of the body. >> your gallery represents artists from all over, not just the bay area, an artist that work in a lot of different media. how to use some of what you look for in artists you represent? >> it is dependent on people are confident with their materials. that is a really important thing. there is enough stuff in the world already. >> you also have in his current show an artist who makes sculpture out of some really interesting types of materials. let's go over and take a look at that.

here we are in a smaller space. project gallery. >> artists used the parameters of this space to find relationships between the work that is not out in the big gallery. >> i noticed a lot of artists doing really site-specific work. >> this is a pile of balloons, something that is so familiar, like a child's balloon. in this proportion, suddenly, it becomes something out of a dream. >> or a nightmare. >> may be a nightmare. >> this one over here is even harder to figure out what the initial material is. >> this is made out of puffy paint. often, kids use it to decorate their clothes. she has made all these lines of paint. >> for the pieces we are looking at, is there a core of foam or something in the middle of these pieces that she built on top of? >> i'm not telling.

>> ah, a secret. >> this silver is aluminum foil, crumbled of aluminum foil. her aesthetic is very much that quiet, japanese spatial thing that i really admire. their attention to the materiality of the things of the world. >> this is a nice juxtaposition you have going on right now. you have a more established artists alongside and emerging artists. is that something important to you as well? >> very important in this space, to have artists who really have not shown much. now let's look at other aspects of electric works operation. let's go to the bookstore. >> ok. >> in all seriousness, here we are in your store. this is the first space you

encounter when you come in off the street. it has evolved since you open here into the most amazingly curious selection of things. >> this was the project for the berkeley art museum. it was -- this is from william wiley's retrospective, when he got up onstage to sing a song, 270 people put on the cat. >> it is not just a bookstore. it is a store. can you talk us through some of your favorites? >> these are made in china, but they are made out of cattails. >> these pieces of here, you have a whale head and various animals and their health over there, and they are jewelry. >> we do fund raisers for nonprofits, so we are doing a project for the magic theater, so there are some pretty funny cartoons. they are probably not for prime time. >> you sort of have a kind of

holistic relationship where you might do merchandise in the store that promotes their work and practice, and also, prince for them. maybe we should go back and look at the print operation now. >> let's go. >> before we go into the print shop, i noticed some incredible items you have talked back here. what are we standing in front of? >> this is william wiley, only one earth. this is a print edition. there are only eight total, and what we wanted to do was expand the idea of printmaking. this is really an art object. there we go. >> besides the punball machine,

what do you produce in limited edition? >> there is the slot machine. if you win the super jackpot, you have saved the world. >> what about work? >> the right design, it was three volumes with lithographs in each volume. the cab of count dracula with 20 lithographs inside and lined with beaver fur. really special. >> let's move on to the print shop. >> ok. the core of what we do is making things. this is an example. this is a print project that will be a fund-raiser for the contemporary music players. we decided to put it in the portfolio so you could either frame at or have it on your bookshelf. >> so nonprofits can come to you, not just visual are nonprofits, but just nonprofits can come to you, and you will produce prints for them to sell,

and the profits, they can keep. >> the return on investment is usually four times to 10 times the amount of investment. this is for the bio reserve in mexico, and this is one of the artists we represent. >> you also make prints for the artists that you represent. over here are some large prints by a phenomenal artist. >> he writes these beautiful things. anyone who has told you paradise is a book of rules is -- has only appeared through the windows. this is from all over coffee. we are contract printers for all kinds of organizations all across the country. >> thank you very much for showing us around today. i really appreciate you taking the time to let me get better acquainted with the operation and also to share with our "culturewire" team.

okay. good morning, everyone. please note the earlier starter time it 11:00 a.m. i'm going to call this meeting of the san francisco public utilities commission to order.

man, woman, and child chair. president courtney. commissioner moran. commissioner torres and commissioner vietor is expected shortly >> thank you. so the first item on the agenda is the approval of the minutes commissioners. mr. president, i had one change one item needed a statement of the action taken >> okay. >> so as amended i'll move the minutes. >> anything else commissioners that will be the order and it's been second. any public utilities on the minutes 2013. seeing none, public comment is closed. all in favor, say i. opposed? the motion carries.

ma'am, secretary next item please. >> item four is general pub any public comment? >> any any public comment? counselor >> good morning. i'm eddy with the defense project. as you know it's not a surprise that bite line is a supporter and mr. kelly. last we increased the revenue and this year we're going to get questions. what is the statue for the sf this year. we ask for clarification so we may know about this program and hopefully see it's fully funded in the future to create good local jobs and rereluctant

energy >> any other comment? ? seeing none, public comment is closed. ma'am, secretary >> item 5 is the fiscal year 2014 and fiscal year 2015 and 16 budget hearings. >> general manager mr. kelly. >> good morning, commissioners. thank you very much for making the time for additional meetings for us to discuss our upcoming oh, i'll speak into the mike. sorry. again, i want to thank you for making an additional time to revisit our upcoming budget. we wanted to present for my paratransit a two year budget and last year was the second time for a two year budget.

this is the puc two year budget. one of the important things i've learned as general manage to to engage the enterprises and to look at the proposal but we wanted to focus on our core mission which is to continue to deliver quality service and water and power and sewer and to adapt to regulatory requirements and make sure we identify implement financial and operational efficiency across the organization. so i worked hard with our atms and in some regards they were helpful and really looking through the great ideas that state had to make our operations

efficient. so we really spent a lot of time balancing 3 core principles and priorities is one is to continue high quality and reliable service and we wanted to make sure we kept our infrastructure in a good state of good repair and to reserve our rate pay core. so with that we lked at ways to keep our operational budget as flat as possible. so we looked at ways to do more with what we have. the other exponent of our budget was to pay for the mortgage. we visited a lot of money in our capital programs as more debt is acquired we have to pay down on

that mortgage. the other major issue is that we have unanticipated capital needs. we'll talk about it in several of those presentations and the big was is mountain tomb. and the last area which we're really focusing on is the increasing regulatory requirement of water and power up country. so we'll go into detail. to keep the budget flat with inflation increases only and you'll see about 90 percent of those are due to costs that are outside observer control. you'll see the costs we've tried to a incorporate it is outside our control.

i want to turn it over to todd to walk you through how we're going to use this time over the next 3 commission meetings to give you an overview of the 2014, 15 and 16 budget. thanks >> so i'd like to say good morning and welcome you to the new budget hearing 3 starting on the 11 o'clock. today is the first one, we're kicking it off with house/senate power. to walk through the agenda for the television audience. the items are concluding a special workshop where a number of our challenges are before us. and then we'll talk about presenting the large binder the

highlighting you all have in our packet. you've been reviewing those. both a g richie will walk through the proposals as well over the next two years. i will close the session with going over the next 10 year impact and the capital plan and financial plan a and what that means for rate. i'll see over the course of the next two hours everything to do with hetch hetchy water and power and the 2 year budget and the challenges over the next 10 years. on the 28 we'll do the wastewater and even though rest of the infrastructure we'll be collecting all our questions and the follow-up work you want us to do and present those on february 11th. the budget in a big picture is

about $873 million today and you'll see the portion that we're looking at today is called hetch hetchy water and power and that altogether is $185 million of that total nearly $8,900 current budget pr the majority of the operations of hetch hetchy a big picture for the television audience is practicallyly 20 percent of the costs are related to water and water customers. about 80 percent of the operating costs are related to power and power customers pay for those costs. the operating button is at 80, 20 split. on the capital split you're going to see that power is going to need a great deal investment

as well as significant amount in hetch hetchy water. the offer arching budget themes as you've heard in december deliberations continue to be those are the goals they include the levels of service you'll stipulated and the quality of the operations and the energy preparedness and front and center the affordability factor. so that will be the information you want. with that i'll transition to barbara hal and she'll talk about the power workshop and we'll then go on from there >> mr. president, just so we stay literally on the same page i have in front of me is the

materials that was sent out last thursday plus i guess there was a memo from the general m anything subject to that i'm not looking that. you need to know if there's anything that's changed if you could use that as your bottom line >> are there additional materials in the binder. >> it's the same materials. >> the only change that the memo i sent out friday and than yesterday there was an additional of page 2. >> okay. thank you. >> so before we focus on the power or hetch hetchy water and a power budget we felt that it's important to take and spend time on the power enterprise.

as you went twroorgz then ed harrington was faced with a two year budget where the power enterprises was really facing a physical cliff. they didn't have enough revenue to cover the cost. so what they did at the time to bring it into balance the first thing was they defender about $249 million of capital work outside the 10 year plan. the second thing that they focused on is increasing the general fund rate by 2 kent over 4 years to increase the revenue. the third thing they reduced a lot of that programs good programs we were supporting like

energy efficient and go solar and programs like that. the other thing they did was they looked at ways to actually debt finance a lot of the capital work so at the focused on that. and also, they assumed that as far as our commercial rate we will keep up with pg&e so that revenue will increase. so in that they felt over time that they will bring the revenue in alignment with the costs and meantime they were planning to spend down the receivers in those years because we did have a large reserve at that time. that's the plan. we updated the plan and now there are some serious other concerns that have we are

countering so we're talking about that. but we have now, some new regulatory requirements and additional costs from pg&e as it relating relates to transition and distribution. we have the project tunnel which is the asset between water and power and that's a major project. and so if you look at those that's the cause of bringing us out of the alignment again. we want to spend time talking to review where we were and what are the challenges but we also are present to come up with a plan to try to bring us in alignment.

barbara will go into detail. i want to let you know at the conclusion of the presentation we'll have dialog as you know hetch hetchy has been valuable to the city. we've been able to, you know, really contribute to the city my right now i wanted to bring the visibility that hetch hetchy is in trouble and we need to pull resources together to really help hetch hetchy and the power enterprise become a good operating illuminate. >> thank you barbara hal general manager happy new year everyone. i want to make sure members of the audience know we have a power point presentation at the table. we also have a memo as the commission secretary said was

sent out electronically to the commissioners on friday. and i believe there are copies of that available. the only revision to the memo it was missing in its transition to you page 2 and that was corrected. during this workshop portion i wanted to provide some context for the budget conversation. review our bottom line budget and describe the current and expected operating environment and the financial circumstances that the general manager just alluded to. identify the areas of focus and again, just really provide some overall context for the how we're proposing to fund our operation and a capital needs >> first, i think it's good to

review our priorities. those should look familiar to you. we're - >> barbara if i might. >> yes. >> have we seen this. >> this is the handout that the secretary handed you this morning. >> so i have it in here somewhere. thank you >> and i'm on page 3 of the presentation. >> thank you. >> so we're continuing to provide our one hundred percent green house gas free to our public and continuing with the street lights and distribution. we're planning to transition with our key partners and that's

with our agreement with pg&e and our long-term power agreement with turlock irrigation district and our agreement. we're continuing to support our local efficiency and local prongs and the new emphasis we're going to talk about is developing new revenue sources for the capital requirement and to continue too fast the other requirements for the illuminates. let's looking the puc's budget for the 13, 14 is 83 million and 1 one hundred and 85 million is the amount of fund that the hetch hetchy water and power system requires. and so that's the water assets and the power assets that are up

country that's the power activities we engage in locally. when you breakdown the water and power of the one hundred 89 million 49 mill is transcribed to power and 36 million to water. i think our cfo said it's a 20, 40 split. so how do those revenues and match up with our costs. that's what you see on slide 5. on the left are our revenues. you can see that the largest portion of our revenues are coming from our enterprise customers. we have general fund customers then our wholesale with modus operandi even though and turlock are open transactions and other

income. that is about one hundred and 28 million in resources. we have additional need for expertise and that's where we dip historically into our reserves to fund our overall costs. as you see our operating costs open the right our operating costs and - the wholesale purchases we make and the distribution we procure from pg&e to move our power and other high cost items. you can see how we balanced out that one hundred and 49 million and still have a fund balance at the end of the fiscal year