>> so an integrative approach whether it's quickly or not is the question could really help either adding green or gallery type stuff. >> we are definitely advancing the water shed analysis and all the other urban water sheds taking a look at the water and potential of multiyear storms. we are looking at central bay side as the a because the current main is not seismic sufficient, but b, as to having the ability to take on more and coupling those analysis with the green infrastructure using infiltration and moving forward on all of our eip projects. i don't remember exactly what number but capturing the millions of gallons of water along sunset over

the course of each year. we are looking holistically as to how we are going to manage water in the major event of storms. >> thank you. >> mr. cruz, do you have any timeline for the assess ment of existing assets that we have? >> yes, we definitely want to complete this assessment of what would be impacted within a matter of months then the next step to determine the level of impact which will also be a matter of months and then start to come up with the adaptation plan. that plan will take longer because of the potential dollar volume that we are talking about. if we have identified plans that would cost a few million dollars to implement and this those to go forward on and there are those that would be hundreds of millions of dollars and in which case we will do a whole

holistic analysis and tell you what this is what phase one and phase two look like. >> i would like to add as part of the sewer improvement program we have experienced sea rise as it relates to water intruding in our systems. before we never encountered that but in the last couple of years we have started to encounter that. so the way is to put back water flow in there, but as the water rises we are going to have to start pumping because -- so we are looking at how we identify triggers where we need to start taking action. that's another part of that. >> overall today our system that is capacity to collect and treat

775 million gallons per day. as part of the overall water shed analysis for bay side and green infrastructure we are looking ways to expand those numbers for when we do have larger storms. >> very good. thank you. >> one last question on that. the state water bond, it's going to make some funding available. ticket pricing is a little daunting because whatever direction you go, it seems like it's going to be expensive this adaptation whether it's a technology piece or setback piece or even letting third street turn into canals. is there an opportunity to access the state and i know there are federal funds for infrastructure investment and green? >> we are looking into it citywide. part of it as the puc we are looking at our own impact and

citywide, the city will be looking at the capital process and what capital has the highest priority for money in that vein. we are also looking at the state revolving funds and because it's a low cost loan it has potential of millions of dollars and we have access for those teams now to be one of the first agencies to take up the large advantage of the rules around the state revolving fund . >> even when susan allele was general manager, she worked with other utilities to create an organization that really focus on climate change. i'm participating on that and nacua, they are all experiencing

climate change. the utility industries we are bonding together. in fact we are learning a lot from new york, from sandy. so we've been talking about how they are dealing with it as it relates to climate for their infrastructure. >> i also want to appreciate your leadership on this because a lot of people are talking about how san francisco is presenting it's in the leader of climate change as far as utility gov. i would encourage you to stand in that place because it's going to be a real issue in identifying the resources to help us get to the next 100 years is going to be critical. >> mr. david be har has been doing an outstanding job on that working with all the city agencies. >> thank you. >> thank you, i do have some public

speakers. >> thank you, and i think this is a critical issue to talk about with sea level rise and i don't think people understand this. we are down to 69 hundred. it's such a broad topic that people don't understand the impact. what i would like to talk about it that we are happy that emilio is looking at proactive measures. one of the reasons we have sea level rise is the amount of night at -- nitrate that we are putting in the ocean. francisco and i met with the team to talk about denight if fiction and met with other agencies. this is not just san francisco's problem, because everybody is relying on what we are doing here in

san francisco and i want to restore our wet land and look at how we can balance some of those things because if we are talking about flooding third street and those communities, we have to look at the best situation. the team is looking at those, but if we can broaden the perspective of storing our natural protection and looking at reduce what we are doing to contribute to sea level rise, we are talking about the top 5 and of course the east bay and we are talking about hundreds of millions of gallons a day to address the united front and to begin to stop some of the sea level rise from a proactive rather than reactive. we need to keep track of this and stop doing this because a lot

of it is man-made. we can continue to reduce it and bring the cost down because it could be very expensive to try to reduce this. there are some things that we have the opportunity to talk about it and work in collaboration. thank you. >> thank you. mr. decosta? >> first i want to talk about visit courtney. i want to thank you for what you did for the last years. i also want to thank you for being open when i approached you about some matters. i wanted to look at sea level from the point of view of the first people, the marl owney. this is their land.

i also want to look at it from the point of history where some three women took upon themselves to stop the infield mostly from the east bay. if we go today to ocean beach, we can see the havoc that erosion is creating. but if we go to candlestick point to the state park, we can really see the havoc of the erosion. one of the things that we talk about sea level is we are talking generalities. we could not be build this high rise buildings, using clean hetch hetchy water. this commission seriously should warn the developers and san

francisco planning to go into gray water, seriously. we can't be taking millions and millions of clean water from hetch hetchy so that these people will live in these condominiums that cost $5 million and $10 million. that we use the water but waste the water. that no more to a ir, b and b. they are completing without the industry. what our hotel industry can regulate the consumption of water, we could not with such entities, thousands of them. so in the year 2004 it's true that we had a conference and i attended many conferences some here in the bay area

and some other places. we addressed the sea level in england and other places and here on the east coast. we would really learn a lesson very soon when we have el nino affect us right here in san francisco. thank you very much. >> president ann moller caen: thank you very much for the kind words. do we have anymore public comment? is there any additional public comment? seeing none, public comment is closed. >> next the report. >> i will update you on the giants game. 4-2. the update on the drought. steve ritchie.

>> steve ritchie for water. i'm an angels fan. the drought update. we'll be brief this time. things are reset and we are moving forward. here is the slide that i always use about our storage levels which hetch hetchy reservoir is 7.6 percent of maximum storage level and we have about 42 in water bank, about 240 thousand ,000 acre thousand acre ,000 acre feet about 58 percent in storage and we are doing pretty well on storage right now. the precipitation chart is different because we've gotten to the end of the water year. i ended up with a wrong

presentation, this is older here. but in effect, the line peekt a little bit at the end in the blue line, oh yeah, the chart in front of you is true. the numbers are slightly different in terms of of storage but pretty close as well. the precipitation we have a little bit to catch up with 2007 and now we started with the new year with october first 1st and we haven't had precipitation this year so far. that may change this afternoon wechlt started now with the fresh slate and we move from this point. on the snowpack, this slide hasn't changed for quite some time because there is zero snowpack right now and moving forward. the interesting thing that happened two 2 weeks ago is the

deliveries picked up a bit. you can see they are still below the dotted black line which is the level we need to get to to achieve our demand production. we are definitely staying on track for that that we kiev production. and this coming week demands to go down again because the temperature did drop. in terms of total water savings, we are at 7.6 billion gallons. within about 450 million gallons of achieving the reduction we need to achieve for the entire year. i'm quite confident we are going to achieve that. well have achieved the intent desired. we caught that up and together with the campaign that got us there as well as people stepping up and doing the right thing. we have done what we set out to do.

and it is a new water yearment that's what we look forward to at this point. what's it going to be, is it medium participation, it's going to be a similar year, if it's a dry year, we'll keep up with the 10 percent reduction, if it's drier, we'll have to implement a 20 percent demand. in fact we talked about if it goes in that derek, what -- direction, what kind of action, the demand has been on going for the next couple of years. achieving that extra level will take some real hard work on the part of everybody. we want to start planning that in case. we'll be looking over the next few months how precipitation looks and a good or bad year and the

precipitation this year will stick definitely going into future. people get the message and stay there. so at this point i'm happy to answer any questions about it. caen >> if we had to go 20 percent would that be on top of 10 percent? >> no. 20 percent as we talked about already looks like a pretty steep hill to climbed. >> president ann moller caen: okay. >> how that is rainfall been happening over the year. >> each year is different. if you want to look at a colorful chart. you see the precipitation,

but it doesn't seem to be moving yet that we can observe. this last year for example was a bit later. it was delayed this year. >> so we can't really with much certainty say that by now or a month from now we should have x amount of rain. >> yeah. if you look at 2012 and 2013, the first part of the water year from october to december was incredibly wet and then it stopped. so the calendar 2013 was totally dry. but we really had a big early in water year 2013 which happened in november and december of 2012. >> so is there something we can do to capture that rain to be smarter in the event we start seeing these patterns and when it dries up early on

at least we've put out our barrels and being able to capture the best we can? >> yes, we are moving forward to revitalize the rain and water enter prize and in terms of our reservoirs we operate them conservatively each year and right now we are more interested in getting water into our reservoirs than getting ready for some mythical flood. we are looking for ways to ensure water in the best way we can. >> nothing more we can do? >> there is always a little bit more. the residue voice -- reservoirs is where we are going to make our big effort and being able to store it is big. it gets used fairly quickly so it needs to be constantly fed or you need a big storage reservoir.

>> i just wanted to point out that's why we are in better position than a lot of other water utilities because we are depending on storage and as calaveras comes along we'll have more storage and the interesting thing when you talk about climate change, a lot of people don't think climate change is here but they do agree that there is changes in the weather pattern. so we just go with that and i think one of the things that emilio pointed out in previous conversations is in the last couple years we had two 5 25-year flood and hundred year flood while we are in a drought. when it comes, it comes. that's why we need to look at ways we operate the system and collect it and storage is the way you can manage it and look for more storage.

that's why we look at the ground water projects of replenishing ground water so when we have it, we have another form of storage. we charge the ground water. >> the storage that we can use in dry years, something that will be there when we most need it. >> mr. kelly, to clarify that, i'm a really big advocate of storage, however that's done is another thing. i just want to clarify that. >> dully noted. i'm going to call for public comment at the end of your report. >> okay. i have one other is the pg & e green tariff. we wanted an update. barbara is not here so jaime can give you an update. >> good afternoon commissioners, my name is michael hines

regulatory and legislative fares. on behalf of pg & e i'm going to share some information with you about the status of the green tariff proceeding in the california puc. i'm going to start with an overview and status of the timeline of the application and provide a high level overview of pg & e's actual proposal. so the pg & e's green tariff application has actually been ready for a california puc decision since late may of this year. and under senate bill 43, which was signed by the governor late last year, the california puc was to issue a decision on the green tariff in the month of july. that decision is still pending. based on the status of the application at the puc at this california puc i would estimate that we could

see a puc green tariff launch some time in the spring of 2015. powers in regulatory affairs has been a party to the pg & e green tariff case since it was filed in the spring of 2012. consistent with the recommendations of the 2011 update on electric and resource plan we have supported the adoption of a green tariff program for pg & e for renters and others in san francisco that do not have access and cannot store their on-site generation have the anlt -- ability to support new program. we developed a program to support the development of renewable energy in california and san francisco that would be transparent and designed fairly and equitably and

promote the development of new community based renewable energy systems in san francisco. there are two major components of pg & e's green tariff proposal. the standard green tariff program and the enhanced community renewable energy program. the standard green tariff offering would allow retail electric customers to purchase 100 percent of their energy of portfolio of solar energy project, less than 20 mega watts in capacity and located in pg & e's service territory. in response to the program pg & e will sign contracts for new solar energy capacity. at the outset of the program however pmg pg & e is going to

supply energy to the continuing customers who use solar resources. once the project is developed specific he for the program become operational pg & e says it will transition customers to the new resources. during the california puc proceeding california providing rates for 12.2 cents for kilowatt hour for customers. that's about 2.5 cent premium over the base generation rate. the enhanced community renewable portion of the program would target the procurement of smaller scale resources located near the communities with the green tariff program. pg & e has identified it's

project on the green tariff website and invited customers to prescribe to services located near them. boston marathon -- pg & e is also promoting the program to allow to express interest developing the project in their community and city. pg & e intends to use that information to help inform solicitation to the market. finally pg & e hasn't provided rate estimates for the portion of this program mostly because it has yet to initial solicitation and it will depend on the types of projects and locations that they see. with that, i'm happy to answer any questions that you may have about this. >> i bet you have a question. >> i have a couple of questions. i'm not going to take up too much time but i would love to get a

deeper understanding. the offering of the basic product is for existing resources that they already have. my understanding that pg & e has about 19 percent renewable. >> a little over 20. >> so a little over 20. so i would say i want to access that 20 percent? >> no. pg & e, the california rps program works in compliance periods, 3 years compliance period and pg & e is forecasting that it will be long in renewables from a compliance standpoint in the next compliance stand period. they have access to make available to this program and would set aside just for participants in this program. >> i kind of thought the way it worked and energy is so complicated as kind of like a reservoir that is

full of dirt water and you keep adding clean water but it's still getting mixed together and you are tapping into it, is that correct? >> i think that's a fair technology. the bath tub technology, the electron, isn't really green if it's coming out of the smokestack, if it's not it's green. >> if i choose the green option, they are going to put more green into the bathtub, into the the reservoir. >> they are going to set aside some of the energy that are rps compliance. they are going to say we don't need this and we are going to dedicate it to the green tariff customers. the only reason they can do that is that they expect to have some extra capacity available to this

program. the other issues that's important to point out here is a bit of a chicken and egg issue that it takes about a year 1/2 to develop one of these projects and pg & e doesn't have yet the authorization to offer the program, but when they do, when they start getting customers they are only then going out to ask the market for new products and they need synagogue -- something to serve these customers in a window period. they are going to borrow from a pool of resources that they have already procured. >> borrow power in >> borrow the renewable power. that's right. >> another way of looking at it was when pg & e was offering their power portfolio when they had to

comply they purchased a lot of green power and they would have access of that green power and they are using that excess green power to provide this new program. the challenge i guess they are seeing is once they start marketing and see how many people will sign up, then they will have enough time to start procuring more than is necessary. >> yes. they have asked the california puc for kind of advanced procurement authorization so they can go out and issue a solicitation for say like 50 mega watts of new solar. and to try to get the ball rolling, basically. but that does represent a little bit of a rick -- risk for ratepayers whether or not the program comes into fruition. >> there is a program now?

>> i believe so. this would not be a rec's based program. recs are the common courtesy of the market. because sb 43 they are by definition what we call a bucket 1 bundle resource. >> so this cost of 12.2 is this going to be constant or will it fluctuate? >> pg & e is proposing that when you sign up for this program that you make a one 1 year commitment and after that one 1 year you roll to month to month. as long as you stay on the program you won't see the renewable energy portion of your rate go up. so one of the things that they are proposing is you can hedge