hello okay are we set? try again good afternoon,

everyone i'd like to call to order the regular meeting the san francisco public utilities commission today is tuesday, may 26, 2015 roll call >> quantifying commissioner vietor commissioner moran commissioner courtney is executed we have quorum i'm 7 a has been deleted from the agenda today commissioners before you you have the minutes of may 12, 2015 additions, deletions, or changes. >> i move approval and second. >> any public comment on the minutes? > all in favor, say i. > >> i. >> opposed? motion carries at this time i'd like to call for general public comments of

any item not on the agenda today? i had no speaker cards therefore we'll move to the next item item 5 communications >> hearing no comments any public comment on this this is move to item 6 another commission business. >> seeing none oh, whoops we have an item. >> 6 an adoption of support of nomination at the board member for the association for the water regent 5. >> of course how do the i miss that (laughter). >> so any comments i'll make a comment definitely he should be a member of the association of california water agencies

regent 5. >> i'd like to move the item and . >> i'd be howard to second. >> all in favor, say i. >> >> i. >> > opposed? the motion carries. >> congratulations. >> yes. this is your third term? second term >> it's a 2 it year term. >> i don't know. >> never mind. >> think it is a 2/3rd's term we belong to the mayor ed lee membership so it the staff can't do that and part of the requirement you have a resolution support from the full body that's why this is kind of unusual i appreciate your support. >> absolutely next item item 7 report of

general manager. >> good afternoon mr. kelly is not here he's on travel we're going to start off with the hetch hetchy water and power capital improvement report, sir. >> good afternoon want and the commissioners i'm the deputy assistant manager kathy is out of time the aboard submitted for your review the highlights one the biggest thing we've then the mountain tunnel and made something out of it there are on different schedules one a mountain tunnel bypass the routines we're looking at and completing the second one to really improve the access so in case we have to go in there

before we're ready to make the modifications and the third projectile is to go a hallow inspection of this tunnel and the period in the same of next year will happy in 2017 a 2018 those projects as listed the total list of that there will be realigned the power and water and, in fact i'll be asking the staff to clean up a cough of other projects as well the last quarter one the biggest good thing we had a tunnel shut down which, of course we have few challenges but get accomplished the good news there's no repair

required which is good and their details of several projects given underway this is out related to the rim fire or other project below cherry aqueduct we're repairing so they're all listed there i'll be very glad to answer any questions i actually have the director now back from her maternity leave and back to take charge that have program. >> questions or comments. >> thank you very much. >> thank you so my next item is the drought item i'll do it from here. >> i'm going to call for public comment at the end of the

report. >> go to the first slide. >> may we have the slides please? >> go to the second slide jasmine. >> you've seen this the reservoir stoerjz how hetch hetchy is come up 84, 85 percent of capacity but the water bank is 20 percent down of capacity during the spring run off we're receiving the water down stream but this year we're not we're holding it at hetch hetchy given the activities it will be 95 percent hetch hetchy this is amazing i don't know commissioner president caen if you got rained on awhile visiting. >> i did. >> excellent. >> we like to hear that and

we're closing monitoring and managing the system and going on to the next slide on precipitation it shows that basically, we're getting those late rain events more over the weekend and hair not just dropping rain but snow at the higher that is not normal given the previous years. >> go on to the next slide it shows the red line the bottom that the snow pack this past year has been dismal and continues you know that will be the trend for the water year we hope to break out of that next year next slide please on the other hand we continue san francisco and the wholesale customers in the retail system in california we continue to have savings

occurring we're going to talk about that later on on item 10 for considerations for drought regulations that need to be adopted according to the governors executive order we're rooifgz savings next slide please so what do we have we basically have the strategist board adapted the recollections on may 5th in with the executive order and the reduction from 832013 on the agency per capital use the agency by agency each agency was given a percentage of reduction san francisco was required to reduce 8 percent and wholesales customers are in the 6 percent reduction as well i want to emphasize between the entire service area everybody is

going a good job and across the board reductions we should be congratulating ourselves but not not diligent because of the state requirements we're not having to declare a mandatory rash shotgun but it takes place as of today and item 10 as i mentioned will be considered later today that talks about new regulations in conclusion we will reach more 90 percent of capacity we're consistent with the state requirement and increasing how retail conservatism effort and on the new campaign materials will that will be coming up we're monitoring the state

waters board containments matt haney not to convert water into storage if they had that all this nice rain and precipitation we'll not hold it going into storage but bypass to out of the system we're watching it closely we'll talk about that in the near future that includes the update i'll be happy to answer any questions. >> i have one question. >> yes. >> you're optimistic that san franciscans can raise their lovely of conservatism this year. >> we have reached 8 percent our requirement we're going to push for 10 percent or better and we still think there is room for making this. >> can you talk about the curtailment ate the implementations. >> so this is one of the things

the curtailment we'll not convert the water into storage but on the rather e river the dust are senior so if we bio passed the water there's a questions between 1914 as well as our pre1914 and 1901 there's a is 16 something their senior seniors it's an issue for the prewater right holders if we're bye passing water who is benefiting from it down stream is someone using that it is a big issue the water board has not touched there there's legal issues we're talking about with our attorneys one the policies to defend our water rights. >> so our wholesale consumers

how does it effect them. >> we're spilling water we're going to defend our water rights. >> thank you. >> that's a very involved situation waters rights. >> the last item i have for the general manager report the cca update. >> barbara i have a slides on the laptop i'd like to present the implementation schedule you'll see a couple of changes all city overall on track i'm highlighting the june 15th date with the arrow in red this is the gate when our thirty day periods for the rates you've established at the last meeting to close in if no action the not to exceed rates adapted go into effect i'm hyatt the june 30th

date from the board of supervisors on the procurement ordinance the power contracting legislation we expect to be adopted by may 29 ahead of schedule working diligently with the contractors to draft up the request for over we'll act earlier on the activities the procurement activities that follow that legislation go into effect and also working with the contractors on identifying the collateral requirements for the program i think that commissioner moran that's an interest you have questions on and also the load data we've recently received the annual file from pg&e the customers to look at the data and analyzing that and understanding our

opportunities and did cost program costs could be - the program could bear excuse me. given the customer accumulation profile so with that i'm happy to take questions again, we're on schedule thank you. >> the date for final puc sign off i could not read. >> october 27th the date we've been working with that's when we'll bring the supply contracts of overall program costs and the pursuits would be for the dark green and light green offers the basic and premium offers to tell the full story with all the costs at this point and asking you to authorize us to find those contracts that'll that's our commitment and we'll know what queer marketing as we go

out in november with the stature customer notifications. >> okay. so it xhikdz includes the risks analysis and marketing plan. >> we may be bringing the marketing plan earlier but you'll have all that information. >> thank you. >> very good news we're on schedule. >> want to emphasize that. >> that concludes my report. >> now i'll call for public comment. >> jason fried staff excited about the news that's been presented we're moving full steam ahead and keeping the staff busy to stay on the course i'm glad to get it a month earlier the perspective side for the puc so hopefully, this will

keep us moving forward at a quick fast pace. >> thank you. >> hello nicole. >> good afternoon commissioner president caen and commissioners nicole ceo for bosco i'm commenting on the improvement program i have two areas of comments first, as the gentleman referred there are programs we disagree with how hair incarcerating we believe the military program should joint and the power practice writing project not a joint project that is the cost allocation our staff is aware of it and the supervisors will make that adjustment in the next quarterly report, and, secondly, i want to speak to mountain tunnel and you

know, i spoke you to you on february 24th about the mountain tunnel and your questions or comments to deal with the issue promoting are appreciated since then i've had discussions on the tunnel with the steve richie and others to make sure we appreciate the working relationship as the prior attention from the staff last week at the meeting of the bosco mr. richie presented the mountain tunnel improvements and updated the quarterly report you'll receive today, i understand the project schedule is sent to you in june our containments are looking at mr. richie's reports and i'll

certainly forward this to your staff we hope there is an official plan that could be approved in june mr. richie's presentation represented the completion of tunnel by july 1st, 2018 essentially 3 years from now the bypass tunnel will be complemented completed 12 years from now this roaches the treat from the agencies one point 6 million 0 residents i'm aware of the short time period that's been identified as the shut down of the tunnel and for inspections by given the threat i ask the possibilities of extending those when the tunnel will be raped and report to the commission and at such time

extensions are not possible that will be documented the percentage to bosco and the commission we'll be pleased to particle and the risk of the cat tropic collapse in the tomb requires a specific plan for the water supply that might be lost to our customers for example on step up to the plate first, the tunnel fails where would satisfactory water be found and delivered to the customers until the tunnel is fixed i understand from mr. richie the plan exists but not in writing i respectfully request that plan be written down inform hundred percent clarity and identified the water and guaranteed with the appropriate legal documents so the customers your customers and bosco constituents said the risk and can be assured the

water supply is there and health and safety should be the goals we appreciate this time very, very much thank you. >> thank you and certainly we will follow-up on those items any comments. >> yeah. thank you that sounds quite reasonable so at the next meeting we'll get an update on that. >> thank you. >> again any other public comment? so we're going to invite you back again. >> my i'll see i forgot i was next on the agenda i have a slight presentation. >> thank you, again if you

could turn on that microphone? thanks nicole ceo for bosco i wanted to take my time to talk about what's going on in the wholesale area with responses to the drought you get wonderful information from the gentlemen it is appropriate you should wonder what's going on in the service area the bosco agency have a strong history the preservation we do the rebate and school educations and partner with a - the home use reports the customer get information about the water use similar to the penguin program some are familiar education and " and information about the water rights gashd in the

wholesale area the agencies conservatism and waste they participate in the initial programs many do their own programs and some there the district is it might seem disjointed it is successful to make sure there's a strong conservatism and customers take action on the progressive action how do i know that the 2 points at the bottom are indicative we're spending 32 percentage in the gross per capital water use since 1986 on a residential basis since 2000 a 22 percent reductions in the capital use that's where we are seeing the effect of conservatism so graphically that is what it shows the dark blue line is the

gross per capital from 1986 to present and the residential per capital is the line below essentially outside of san francisco the average per capital is 17 gallons per capital end it end of 2014 so in the service area that is occurred similarly if you break it down in santa clara 22 percent less since 19986 in many ways the service area has responded to the alignment supply we are going to make investments in conservatism to make sure we meet our growth in water demand but an important piece when you look at how to respond to the drought it is much harder to conserve you have

to look at it differently how you achieve our statements as mr. carolyn said the state passed the requirement for the 25 percent mandatory reduction with the usher supplier for the bosco agency there in month categories in the full range in the 8 percent and per capital to a few in the highest per capital the 36 reduction group and they're assigned a target bans they're residential per capital in july of 2014 in aggregate their needing to achieve the 17 percent reduction statewide 25 percent but in the wholesale service arresting area that is a 17 percent reduction and 8 of the 23 agencies in that

lowest per capital are the wholesaler customers reflective of the fact it is not on san francisco with the 17 percent capital there's a number of wholesale agencies and the low use category and again important when we drive how to achieve our savings in fact, from 10 of the agencies met or exceeded from the june to february period and they overall achieved 14 percent so very close to the 17 percent in the past actions going forward >> give us a sense the breakdown like i said there are 8 agencies in the 8 percent category one in the telephone and 8 in the 16 percent together that is 18 agrees and that represents 73 percent that is

supplied in the wholesale areas that's a pretty important where's the opportunity for savings and also realistically who agencies in the highest group they don't serve a lot of water not to say we're not attacking those and the agencies are not after the savings but not where the bulk of the water is those are two speculate agencies and the budget is in the non sufficient categories so what are the agencies doing like you hiring staff implementing increased conservatism programs takes more people we've definitely seen that and making increased investments in other things awhile there's been a lot of talk how the agencies want to change to the automatic metering we're seeing the awkward meters and putting in the residential

customers trying to get that information into their hand to make sure they know how to make the changes cal water the largest single area san mateo county is adopting the water budget for the customers for them and they're kind of matching their rates in concert with the budget so the customers get a direct and feedback between their budget and rates not necessarily the strict conservatism but their pare them together and going through the preview from the state puc to do that that is a significant effort i applaud them for that and agencies are expanding things like kindergartener water to bring in addition water so we have also expand to help

them extended our conservatism program and making changes for the toilet program not to give a rebate if you have 1 point of flushed toilets we're trying to target those we don't care if we'll give a rebate for the toilets that use less than .08 gladdens and taking the the turf to help consumers we'll encourage them to plant in october hopefully it starts to rain again and also implementing new programs give a ways you know that actually exceeds the state standards for showerheads and stuff i tell the public if