call this meeting to order. >> madam secretary, call the roll. >> president ajami. >> here >> vice president maxwell. >> here. >> commissioner paulson excused. >> commissioner revera. >> we have quorum. members make up to 2 minutes of remote comment dialing upon 415-655-0001. meeting id access code: 2599 928 6349 ##. press star 3. speakers will hear a choim had there are 3 seconds and another when 2 minutes expired. limit your comments to the item

discussed unless general public comment. if you don't stay on the topic the president can ask to you limit your comment to the item. >> public comment med in civil and respectful manner. address remarks to the commission as a whole. thanks to sfgovtv staff and it staff for assist analysis. for those present, silence your electronics. >> before calling the first item. the san francisco public utility commission acknowledges owns and are stewards of the lands within the testify the ramaytush ohlone tribe and other descendants of the historic recognized mission san jose [inaudible]. bands alameda county. puc also recognizes that every

citizen residing went greater bay area benefits from the use and occupation of the ramaytush ohlone lands. since before and after the san francisco utility commission founding in 1932. it is important the tribal landos which we reside and also we acbuilding and honestor fact that the recommend ram people have established a work partnership with the puc and productive and flourishing members in the greater san francisco bay area communities today. >> madam secretary. first item >> item 3 report of general manager. >> thank you. item 3a is manage we like to do recognition of retirements. commissioners i like to start the meeting to recognize the

service the retirees with over 25 years of service to the puc commission. today we congratulate 21 individuals the highest form criminal and provide in public service and recognize the following. from the information technology team bribe are lay. 38 years of servicement 36 yeeshs. in the customer service bureau. maureen republican dolph. there are years. water, ted sanders, 37 years of service. paul del aggressiveo 30 years. john thuman 39 years. danielle watson then years. john kelly 3 years. carroll deaggressivea there are years of service.

james blue, 36 years of service and carlos, 32 years of service. 32 years of service. steven delayo 33 years. laura target, 26 years of service. brian sack, 26 years. her with us today al, 35 years of service. and the water enterprise jose lamoney. . wes low and today may low amad 26 years of service. kevin roach 28 years and vincent wong 27 years. join me in congratulate our retirees with applause.

i think when we recognize commissioners is that is experience. well is good and they are happy for so long but there is the other side we replace the people why we are focussed on hiring to make sure we builted next crop of leaders. before i ask the folks attending today. up for a photo commissioners if you like to say anything. floor is yours. >> commissioner stacy >> congratulations and thank you so much for many years of service and enjoy your retirement. >> >> i wanted to say absolutely impressed the amount years, wow, and i guess i share the current gm. pretty tough to replace the years of importance and knowledge and and thank you so

much. i hope you have great retirement and reason joy time off with families. >> thank you. >> commissioner maxwell. >> we already miss you think burglar it we miss you already. and if you have anything you can add if you want to just write a note unanimously on when we can do i would appreciate t. and i'm sure we would. thank you for everything that you have done and everything that you will will do and thank your families, too they have done a lot make sure that you can come. thank you very much. thank your families. >> i add like this is -- a great amount of public service. we are all grateful for your service and the time you spend making this utility a better place for the people you

mentors. >> work you did for the city and the county. it is you know obviously a great thing to see that people work in the snougz for a language time. and provide so much value this . is manage that is not common i mention today every time we see people leave with this many years of service in this day it is rare.

if you have ideas and like to you know come become and -- share some of your knowledge with us in case later when we miss having coming to work every morning. >> or time off and family time. and and if you have good talent you think we should focus on or if you have suggestions. always look for example talent to bring in our little umbrella and trin them for future. and with that, >> thank you. madam president i like to invite al and may up for a photo.

my apologies. all right. thank you for being here. come on up. we are 3. >> the motor merrier.

any of our retiree attendsise. if you like to say a few words. the floor is yours if you like. if you would like to say a few

words. >> retirees or coworkers about them. feel free. thank you. [applause] why don'ts you come to the front, please. please, do. because we want to make surety camera can catch you and people can see you at home and hear you. >> i want to thank for the opportunity to learn, grow and to contribute. i have enjoyed working for the

city more then and there 36 years. and i feel proud when i go to work. we know our mission and we contribute. we dot work of the city. the all the city in san francisco. thank you. i love it. learn, grow, contribute. thank you. >> that's amazing. >> what about the -- please, do come and -- say a now words. yes. >> thank you. for having me. it hen a longhaul. wonderful journey. serving the city and county of

san francisco. working for valall these year and is worked for the water department and al did us old timer puc is not the term we use. i'm luck to be a second generation water department. . each follow my father's footsteps similar to police and fire i saw had he did and decided that was the direction i wanted go in and the great pleasure. work on our water system in the city and distribution division. customer service and the last part of my career the water quality division. down in [inaudible] i was able to see just about everything had they say from infall to out fall

and it was a great run. when i missed the most is working like with sxal my fellow employees. i miss the comradery of the daily getting stuff done. and will but i also miss not being on call anymore. in a good trade off. it was a noise run and i pret much enjoyed every minute. it went by too fast. >> thank you. mruz [applause] >> i like the generational thing. do you have kids who want to join us, let them know we are here to recruit them. members of public had wish to make 2 minutes of remote comment on 3a. press star 3 to speak.

you will hear a chime when there are 30 seconds remain and another when the time expired. dom we have callers with hands raise snd >> there are no callers in the queue. >> public comment on 3a is closed. thank you. 3 b introduction christian our new chief equity and he inclusion officer. commissioners. as you are aware, at this commission's direction years ago, the work of diversity, equity and he inclusion was made to be a major prior and focus of the puc and this is something that started before my tenure.

but has been a key part when i attempted to accomplish and kick start course of the last 2 years. in terms of our work on building partnerships and doing mentorship programs. by stake survey its see how employees felt. everybody at the puc recognize diversity and inclusion is i per whf we dom a key component was hiring our first inclusion officer. i'm happy to introduce to you chris who started with the puc on july 10th. come we are truly, truly luck tow have chris. a national low recognized xfrment from a practical perspect and i have academic. on issues of racial and social justice. he is a thinker.

passionate about challenges in youth special adult legal systems. child welfare. public health system, accomplished author. and academic on the subjects and we are lucky to be able to have lured him back to california. he did work in santa clara before. but we were lucky to louer him become from the east coast where he completed docket rat and a masters in buildings add registration from customer graduate school . master of public health. am a bachelors in psychology from the city and college of new york. he has been a wonderful addition and hit the ground run and out in the will field in almost every day. right now fork you going on building his female and sharing

the results with employees throughout the organization so what they hear how important it were is now serious we take the work that we committed to do. i'm theme have him part of the teach. he did not want to get introduce in the julimented wait until he could hit the grouped and perspect you have when he noticed and he is building his team. >> good afternoon a pleasure to be introduceed you all. i can't tell you how excitid am. keeping short i want to let you know had this role for mow is not just i privilege this is a representation of my life. i dedicated my life and career

addressing disparities across many fields. the opportunity with the puca lus me and the team to advance this work. so long with dennis the general manager and the amazing executive team at the puc, we hope to do exciting things. and them is i reminder this this work will not happen over notice. we'll encounter a lot of challenges. if we can be patient and operate with a sense of urgency i believe this the w we can accomplish will be wonderful and hopeful leave move to the other side. what happened in our country in 2020 was the tip of the ice racial disparities a problem for many centuries. we have an opportunity to do something different. and so, what we have accomplish side not the folk us and prioritize problems but engage in solutions. dom more than we talk and

hopeful low we dot right things and may not feel like the right thing fist we talk to the people to listen when they have to say and intgreat comments and thoughts and ideas. we can do this clantive and i'm looking excite to leading work. thank you for the introduction. >> do you. s g. ahead. >> thank you very much. indeed we are fortunate to have you. you mentioned that at some point woad hear about the analysis that he has done after well. that we put out a lot for people to comment and so we hear something about that. at some pointful

>> yes. >> certainly, commissioner. chris is out there talking now. i will dover him at the appropriate point. >> i like to see like in a report form. >> absolutely >> you know how if it is other quarter low or whatever you can think might be promote. we have an on going connection with us all the time. >> absolutely. we make sure the work is transparent. we want to make sure the work is moving forward. part behalf i have been doing the past week system going to several sites to share the result was racial equity survey release in the program rather than via e mill we wanted to interfits with the people. w is religional if we don't build relationships we are not doing the work and authentically

and we are going out to every fight and location we priorityize that over 6 weeks. we had a sthegz morning. we are starting early and end late this . is an opportunity witness we consolidate findings we will share with everybody. >> i think i understand what your questions now. i was not, yes. in terms of the on going work this we are doing and under chris 'leadership we figure out i way to make sure that is reported to you regularly. we will look at a contract later wrfrment we come up with a regular reporting rejust a moment >> and goals the marks they are trying to hit. >> sloulth. yes we are looking at make sure they prioritize and they are

shared in a timely manner and digestible you know what is happening on the ground. >> i think may be and first, welcome, that's wonderful. y worn thing i say i don't want us to get buried with report writing mroisz and not focus on when we want to accomplish. i say, may be we can have some presentations like handled day. i don't know you know kids go to school handled day pleasurement or when you take a job. >> you have my word we'll report regularly. i hear your eagerness. >> and i want to beo we don't put chris in a situation he is writing constantly.

see how we are doing and we want toive guenough time to familiarize yourself with the scomplas when is in place and see what come next. and we hear back. i think we realliment to make sure this does not and you know this i'm sure dennis communicated. go beyond checking box. enable everybody with cultural diversity beyond just what box people belong to. more from what is become grundz they come in and when opportunity they have and can they also have a chance to grow.

in an institution that is welcoming and i continuing is important to keep them in mind of make sure everyone feels they comprehend i want top reuse that terminology. learn, grow and criminality. >> we are learning and growing as a teach. the team is young. they are moving forward. and enengage in the community and the community upon advance and want development i have zero interests in being burr ed in reports i did in the come to write reports i came to get things done. i believe we'll get things done and reports are a part of that.

not writing beautiful wordos paper and get the w done >> perfect. >> thank you. skwa members who wish to make remote comment on item 3b. press star 3 to raise your hand to speak. you will hear a chime when there 30 seconds remaining. did we have members present to comment on item 3b? dom we have hand's raised. >> there are no callers. >> public comment on 3b is closed >> 3c is fiscal 25 and 25/26 budget update. nancy will present. >> thank you

>> good afternoon. i'm nancy, chief financial officer general manager for business service. i like to provide a quick introduction to the planning process. this is an official welcome. >> the agenda will begin an over view of the puc capitol budget and continue with priorities we focus upon for the budget cycle. i will provide a review of our commission policy. govern our budget process. and lastly finish with the budget schedule the next few months. >> puc operating budget is 1.8 billion dollars. fund all by water, power and sewer. that will is mentioned before. these are 2 major cost driver in our budget.

the first and learningest cost driver is capitol program of shows up as debt service and ref now capitol. second is power purchase for hetch hetchy power and clone clone. the next after those is personnelful 2, 745 funded full time of which 2, 300 sold at any given time you see in the pie chart, water is the learningest comprising 43% of our budget followed by power and wastewater. 33 and 24%. finance other human resource, external affairs them and costs allocated over head allocation model. joo capitol isoir biggest costment our 10 year plan by the commission left february is 8.8 billion dollars.

about 1. 4 billion in the currently year. >> largest driver of the plan is the sewer system improve am mr. foreman wastewater make up majority of green bar in this chart >> we expect growth in the plan in this budget kyle cycle we enough trade off with future rate increases. >> when developing a budget important to consider priorities. for this cycle we set priors to help us make decisions and where to pend and consider trade offs how to balance the budget. jot priority prosecutors listed on the slide. first is affordability. about ensure the best value and responsible planning keep rates affordable. staff drafting a new affordable policy brought to you shortly and set guidelines for budgeting and planning. currently, staff across puc are

work to improve our planning process to ensure we budget and deliver projects we plan for. why second prior is responsible manage p.m. here what we do ensure we go plan for sustainable and financial future and ensure we are resources to impeleven racial action plan and consider the impact of our investments. >> we want to be transparent and maintain ethices and add here torrobust internal control in our decision making and operations. we want to ensure responsible management of the system entrusted our care repairing and maintaining resources to keep it run nothing compliance with regulations now and the future. the last priority is investing where it matters. we are specific low poke to

capitol plan. they generate job s and help with economic recovery, ensure investments consider equity impact. clsd remrigs aging infrastructure the massive investments we are make negligent southeast treatment planful meet new demands to handle demands. like at the airport ownership supporting new housing or new developments at the port. and we continue to be good stewards of the environment and will make sure our infrastructure is resilient to climate change. >> become to the budget process. our goal is now and february to develop a balanced 2 year fixed operating budget. a 10 year plan and 10 year financial plan. they are here for you. our affordability policy is

coming soon. the official and debt policy. technology, if manage and want racial justice resolution. lastly our budget schedule. a time line of behalf to expect. we are here at the beginning and between now and the i don't remember we'll go through staff level deliberations for i recommendation on i balanced budget examine plan, hold meet pregnants at the end of january to review the proposals and allow for questions and discussion. upon >> on february 13 of 24. the commission will vote to adopt two of the year operating budget of capitol. 10 year plans, financial plans and after, that budget committed to the mayor's office tell continue to the board and all finalized july of 2024. nime months from now. and once we will come become to

plain the challenge this is have taken place and the mayor and board face. we are excited get this prisz started. thank you and i'm happy to answer questions. >> any questions. i have a question for you. can we have the slide with priorities for this budget. up for a second? i appreciated the categories i think than i are important. and one observation and may be suggestion i have. . is -- i would pull out the environmental stewardship, resilience and climate change and -- access.

i think the access is divided with affordable and responsible management and put them on top. that is which we go through everyone of the buckets. we need to make climate xhafrj, look at everything through the 11s of climate change it is helping not something you are expecting to happen later. we need to protect the environment. it is our mission and important. and make sure everybody has access to clone special affordable water. those 3 other pill arts of how we want them budget to be. thought tlouchl i think everything else sort of needs to be designed by having those 3 items as a core. one thirng, i bruthis up

multiple times. i opinion at some point mr. herrera, you and i left year before we passed rate change. we had a combfrgz rethink burglar what we dot rate serving press and it is decoupling the rates. i want to bring is this back. i then and there it is not something that -- will if we keep hiring the same rate consultants we are and every other water agency in the country is hiring. give us the same rate design will that zeech and everybody else has. so. i would like uses to go back and my suggestion is, let's mire energy rate consultant and bring them. to design our water rates see how it looks. i know i mean you opinioning decoupling the rates are key to

be financial sustainable and able to maintain our aging infrastructure. make sure pay more. everybody dependsos this system. it does in the matter and then on top of this we think b so do we need to have life lineful we have all the different programs for affordable. they can be in place. but can be done throughout lens.

so, i would like this to be part of our goal for the year to look into this. and -- may be have it -- a discussion and report. >> you know, commissioner, we just -- on the -- rate side we accomplished. did do some decouple with storm water charges. and you have this is a 3 year period we have for the rates on the water side something we will. jot sewer side or storm water side. we partially did that. i know we do some form of it but in the doing full decoupling. >> true. where that is not going to help us in the long run. idea the next 3 years we have time start now.

bring somebody in to get a different answer that we always get. if you bring somebody from gm not design the tesla for you. >> we will and we are happy top have that discussion. >> thank you. >> commissioner stacy. >> thank you for the clear report. you know i spent time looking at your slide 5 as well temperature is almost hard to break those priors down into 3 and separate columns. they all seem so interrelated. and we have so many sort of issues and priorities to balance and really think about how they inneract. i think about efficient capitol planning essential to

affordability. but responsible management and that's where invest whering it matters fits in. i agree with the president ajami we want to be good environmental stewards. planning is essential. there are many priorities staff have to balance. so many things to think about. i appreciate how inter~ related all are and than i are not so much separate columns many things priority s and policies consider we put together budget and planning and deciding which projects go in what order.

>> and i really appreciate the balance that you strug weland everybody in the agency struggles with and the commission does, too. to really complicated way of all together. >> thank you. >> briefly. i really will agree with our president on the lens this we see through. i don't think it just make its easier, i think, to prioritize. when you have that lens. so. i agree with her. and i also agree with the commissioner stays. i think having the 11 system extremely important going forth. thank you. >> no more comments, public comment. >> thank you >> member when is wish to make 2

minutes of remote ment on 3 c press star 3 to speak. do we have callers in the queue? there are 2 callers this wish to be recognized. >> thank you 3c. this is item 3 c the budget update. joy want to comment on the

[inaudible] 8.8 trade off? for [inaudible]. [inaudible]. i see they have 8.8 billion trid offs and they can use this money. for [inaudible] than i can repair the 1800 oak dhael can remain as a legacy.

keep coming to the meet and i was told no one anyhow what they will do. ir see the money. use this for our community. thank you. >> thank you, caller. you have 2 minutes. [inaudible] this is peter, policy director for the tuolumne

river trust. decoupling is important. there was concern this may be in mihave occurrence. i think with wo f we talked about it we could get to the same place. i'm not worry body that. there is talk about environmental stewardship. i think that we need to need a way to measure that obvious is the salmon population and a couple years ago commissioner herrington requested updates on environmental metrics. i think we are due for one the salmon spawning season will be beginning soon and full force in 5-6 weeks. that would be a good option.

so we know how we measure our success. i hope you had a chance to read our comments >> they are focused a lot on the budget. i had 48.8 billion in capitol costs for the next 10 years. that does not include development of alternative water supplies. if you did the whole 92mgd that would cost 300 million dollars per year. we emphasize that. and invest and -- i hope that conversation happens sooner. alternative water supply plan will not be prioritized and you have the budgets start nothing

january. same mistake made we need to invest more. we focused on the design drought and how -- i'm sorry calmer your time expired. opinion comment is closed. >> >> thank you. item 3 d the hetch hetchy program out reach program quarter low report from katie miller. >> good afternoon am president ajam and he commissioners i'm katie mill are director of water capitol programs. >> today i will share a summary of the hetch hetchy program for fourth quarter of this fiscal april third to june 30 of 2023.

this quarter is photo is of our hetch hetchy reservoir the 100 celebration of the dam in may taken by our photographer robin who is here with us earlier today. jot pie other chas show the program stchlts 8 project in preconstruction and 7 in construction. and multiple phases and some with multiple construction condition transacts. one was were finished the tesla well valve replace am. 255 million to date for 3% commolest over all. during the quarter reached major mile stones. one completed engineering. 3 design. 195% design and one construction final completion. then million was spent which is

low but a bit of dun time in our construction projects. this thanl shoes project expend sures grouped by funding source, water, puror joint water and power >> no new cost vaernss in the quarter. and now i will share a couple of construction projects highlights. and i'm happy to introduce our management hetch hetchy kruck manager lucas hoffman. he is leading this significant effort in the high country to get the projects done and degree an excellent job. for the dam outlet work phase one project, this has 2 subprojects you in in construction and one this will be advertised next quarter. design build for the new bulk head system, worrieded.

the work begone in september. drawings of specifications for the drainage improve am subprotect were repairs exclude expected to issue bid in october. a j.w. order contact award to improve equipment access to the tunnel access building below the dam facilitate the work for flow release valve project and this contract was awarded during the quarter. have a lot going on at the am dam. and the trans mission pliant 7-8 upgrade project. during the quarter contractor continued construction to improve and expand foundations at tower legs. over head trans mission line crossings structures completed attal road. railroad and over head u till i felt. all long materials ordered.

and deliveries are rising and stored on site. i have bonus slides the w this is helping. than i will were 10 by robin. tower 559 raised 9 feet to the new height with the substructure built everbuilt under in place. during the past 2 months 3 out of 37 tower raises occurred successful low with only 4 to go. this. is in preparation for a full power outage long this line. that will begin this sunday october first and go for 2 months to if december 15 when the new wires -- will be strung and so part contract work is on schedule and budget and on track for you upcoming shut down. i'm happy to take questions. thank you.

commissioner mixture wel. i have a couple questions. on the moccasin rehab. i was not sure, this is progress and status and the alternatives and one is -- alternative is a shaft and tunnel with pipeline connections. i was not sure what that meant. are you take the big pipes out and under ground? thank you. an important question . you recall i have been reporting over the inspections done than i found critics deep as a quarter inch in the pipelines they are you in we have very high concerns about the longevity. they lasted and in failures in the pedestrian and look at full

replacement instead of rehab it is off the table except a short torment project to shore when you want we have in long-term optionless they completed alternative happening sxangz it was a shaft that would beum close to priest reservoir. and then a horizontal tunnel come out at the powerhouse. a majorly different project. require significant ceqa and long environmental permitting process. so -- it is xivens. over 200 million dollars. >> the pipes the -- the as they are now no long are there they would go down? >> this it is they come over >> water would not flow through them but they are historical significance they may stay.

would be there for looks? if that is how we proceed it new >> and so when you think of 2 huh must have been really. it is aloft. the way we do things that seems like it is doable. if we look at going for 100 years or a lot of things that better take into consideration with that 200 million i would assume? might be a better way to go and longer >> yes, our staff agrees they analyze third degree and that is their preferred option. operation maintenance and

longevity of a shaft and i tunnel. we are early. looking how to reduce the risk of failure while we plan this project in form it takes. we are trying to see if there is a lower cost pipeline alternative. nought tunnel and shaft other alternative. >> question sns >> i noticed with the moccasin powerhouse with issues and challenges, a, subprotects and additional cost 4 million dollars due to and site conscience and additional construction management costs. the other subproject c says

there are million dollars do you to scope and other things and additional construction management and support costs. i'm and then another 21 says this is on the -- substation. it says issues and cost is higher than the approved budget construction management costs. i'm wondering -- what is going on with construction management. yea i'm happy to share with you so our lessons learned was in these high vollage electrical projects which are complex it pays to have expert and electrical construction and inspectors and engineers on site

during the projects to support the decisionmaking happening during electrical shut downs. mile stones during construction we will have upped our construction budgets for the electric projects. that sounds comfortabling glad to know that so we don't have as you mentioned manage else happened this . is good. >> and i lesson's learned we did not nit in our original mates something we know and adding to budgets going forward. when you say that, additional management cost may be a short

explanation. of this we are bring nothing experts because of so-and-so and we have an idea instead of timure start read anding here we go again. i think it should be mention third degree is a good thing. i have a follow up. on the powerhouse. i think i was asked this left time, too. the you know -- break we had in the pipes was there a way to capture this before. i fwrnd we put any am toolings in place to catch the things before we start you know -- another process. right. like. we need to have early warning

system in place to prevent or actually tree this problems. before than i become a big are problem. are we considering this. you in this than i are think burglar should haves and funnels and now i ken see it. thank you. you are poke to the pen stocks. it was a mall portion of the peoples we look if we need to investigate more. we are looking into am fast response strategies in case it does brick and rehab that we may be able to do nouchl in terms of early warning inld indicators i'm not sure something exists for this. we can watch pressure or manage we'll discuss. we have this for concrete pipes. listen for wire bricks, this is

a solid steel iron pipeful it is hard to detect it early. tools that belanguage to the time of the to move forward. rather than keep >> the same tools we had before if we do this is i rather i know we are talking about alegality of money i rather vment invest more and manage this can work more efficient low and effectively in the language run of rather than just dot bear

bones to make sure we have limited budgets. one other thing i want to share with you. work on the bypass tunnel of we realized the tunnel that existed the most efficient way it move waterism read something yesterday that focused on ways of doing thing and how we are all realizing today this happened some of those were the most efficient ways of saving water and moving water. we didn't have energy or tools. saying this sometimes it sounds good to change significant low and i'm an advocate for change

if possibling. sometime its is important to step become yshg? and was there i logical reason that make them it make this choice. per low buzz this system worked for a long time and i wonder what was the logic, you know. when they did not have as much, many tool and resources to do the things. i know we are dealing with different project and think about why and how and the new way you doo things going to help us or hurt us. >> you want top say something. why go ahead why is no redundancy here if manage bricks no involve to dloez.

>> correct. >> a shaft and tunnel more reliable than the pipe lines. upon but duly noted we are look at every alternative closely before we make that victim t. is i pleasure and honor to w on the hetch hetchy system. which is i linear system that flows by gravity it is a beautiful thing. it is just engine earring can outstanding. there will is in the much to change in most cases. they have already thank you about the best possible way of doing things. >> thank you. public comment.

public comment is closed >> thank you item 3e is the wastewater quarter report including southeast area major project's update. >> good afternoon. i'm bessey tammy the now director for wastewater program an honor to present this report to you today. >> of may have the slides. today i will present the june quarter low report this is a photo of the biosolid project i

will follow a similar foradmit that robinson used. the construction updates today. on the left is the area storm water improve am project. you see here this workers installing a flicks diam fer firefighting valve in the trench this is progressing limp we are at about 95% come least on the firefighting water component of the work. the contractor is installing let rolls and other street space. there were occurrence about the paving restoration from the residence denial and supervisor's office. i believe the team has dress third degree with the condition electronic orand communicated that. the second picture in the middle

north shore wet weather improve am project. you see rebar and furthermore w. the contractor sorry installing the reborrow and form w to extend a pregnant for the new of the new driveway pumps go on top in this your. in the quarter low report you see the pumps installed. we fund this interesting. you see the guts of it. on the right is our right side pump station improve am project this . is a nice aerial view of the raceway. under the freeway for this project. you see on the bottom the completion dates for the 3 construction projects. in this slide we are presenting

a pie chart of the program status. currentlying over all, there are no changes in the program. we are min tang the 4.402 billion dollars. the progression in the project comspleegz due to shifting of 3 of the projects from close out to complete. blue, i want to point out you minotice the left side of the charter milook different from when is in your package. when you see here is a correction and it reflects the updates in the march xrchlt sure top send out the updated one with the meeting summary today. why moving on to the next this , is a roll up version of table 3. the major thing to note here in e lawyer no cost variance with

the left quarter low report and this one. ghaen e you will see there are no cost variance with the last and this quarter low report. >> we want to provide you updates on the various projects in the program. you see we have awarded 2 construction contracts the behalf scombrt mile stone designs for 95% and other the 35% designful you see here and 5 projects achiefed the report

status. the left phase in the planning fizz than i will be shotting into construction upcoming. sthins september we are end of the summer. would to show you photos here of the student train these come throughout program. the engineering tainees touring the pleasants. and on the. bottom i high school students weres again touring southeast plants at head works. neighbor product updates. if sillity project the commissioners you toured. you know we have a pregnanted more.

major thing for this project. over 90% of the packages bid out. in this past week report we penalty 64 million dollars. that's an update. >> and latchly, a new head works facility project. you see here. this is a project that has progressed nice low in the left quarter. we spent 45 million dollars in the last quarter. construction is progressing well for both of the projects. with this i'm happy to take quills you have. >> go ahead commissioner maxwell. thank you for this report. when were the issues the community had in the supervisor? >> yes. >> upon one of the blocks we had

some cordination that we had to do with the contractor and subcondition tractor to restore paving time low. so far that has been resolved. our construction mchlth sdpeem project theme to reach out and whnld were the challenges were between the condition tractedor and the sub. they committed to prosecute seed with the w help nothing a week >> when was community complained the pavement? >> not restore. yes. the community expected us to do. >> okay. >> thank you. >> welcome. >> thank you. yop i just to note, the commissioner, i was tucking with supervisor. . i got involved and doling with supervisor melgar and our staffs

responsive in trying make it in the community who respected pedestrian dispute between the suband contractor. communicate third degree and received commitments from me. >> thank you. public comment on this. >> thank you. do we have callers in the queue? there are no callers. >> thank you. public comment is closed. >> >> thank you, this concludes my

report. >> thank you. can we have the next item. 4 the bay wear conversation agency update. >> welcome >> good upon afternoon. nicole ceo. thanks for town top provide you with i verbal update on 3 items i think you men interested in. first, bosk works with the agencies to negotiate an allocation plan. a new plan to call the tier 2 draught allocation plan. plan that determines how the 26 wholesale customers shareit@cbsaustin.com visible supplies during a drought. the current plan was last adopt in the 2009. and xoir in the 2018 that

coincided with the decision happen about san hose and he san clira at that time >> since the boarded acting your leave to extend that plan every year. so we would have a flan place and also providing the opportunity for the agencies to negotiate a new tier 2 plan. they initiated the negotiations in 2022. notable progress made to date. include agreement on policy principles this are guiding the update the al kagdz methodology. identifying the range of factors considered for inclusion in the new tier 2 formula negotiated and how they should being considered. >> and also a straw person concept. brings to a spreadsheet too much the thoofl really allows users the individual member agency vs a negotiator to adjust the

values for different factors. support the opgdzs and negotiations. one factor for the new tier 2 is the conciliation. am we will negotiate the first 1 it was a language time since anybody experienced a dramatic everyone in the room has personal experience. we are coming with good conversations. complete negotiation this is fiscal year then the new plan adopted by body for each member agency. second, basicing initialled w to. develop the scope for the new long-term reliable water are supply strategy in scoping effort will take sick months and includes monthly engagement.

board policy and the board sdpchlt intend to begin development 2025 next fill cat year. my third item w. fall of 23. water efficient landscape education series. our landscape classes designed to introduce home ordinance, property managers. lands scape and others water efficient and sustainable land kieping. over 20 classes are viable toft public for free. some are by zoom. and some in personal. topics from rain par and rain golths workshops. suck lent gardening. all of this some on our website

where people sign up we have i library of virtual classes we have been involving a greatest risource for the public interested in conat the present times. third degree. i will answer questions you may have >> thank you. questions? >> i want it note i'm glad about thank you for your report. but the last item, i notice in the our water supply reports this -- our deliverets to the wholesale customers have been going up. we are at the 2020 levels. i'm watching the. hoping help 20 felony it has good evening off i bit. i'm glass you sigh still offering the program promise i wander if you have seen a change am in interests or papgdz in

these or do you finish there are stats and and often afternoon >> am you know we are dog i website update. looking whom see what. a person in east bay, they do aggress riff out reachful their numbers sky rocketed. the class and virtously class 50 on 100 people of and stipulate everstump the idea is trans forming the land scape in the service area i see it.

this is a trying to push that further. nothing like the end of the draught to make them attractive. >> thank you. yell public comment. thank you.

any comments on consent. >> can we have public comment. why members of public when would like to comment on the consent calendar press star 3 to speak. there are in callers. public comment is closed. if there are no comments can i have a motion and second to approve this item. move to approve. >> second. >> thank you. roll call. >> president, jamy. >> aye. >> vice president maxwell >> aye >> riverasm >> aye >> stacy. >> aye >> 4 aye's. >> the items pass. can we have the next item. >> item 6a warted contract

pro0240a-b racial equity consulting to technical service inc. for pr0240a and per in and service upon joint venture pro0240 b not to exceed 9, 500, 000 for support services for implementation of the agency racial equity action plan. racial justice and other racial equity priorities. >> good afternoon of i don't in with a presentation just to talk about the contracts and significance of the contract city organization. committing then million dollars in terms of capacity to

construct the work and inclusion at the puc commission. is commendsable. 7 pill arts we are tasked advance. recruiting, re10ing. mobile and professional development. develop, separation, diverse leadership and boarding commissions. within that an organization with 2700 full time positions and capacity of staff. this work will be complicated and intricate. the flex at to bring this internal consultants help us do this works and so with the transparent process around the 2 contacts it is building the infrastructure for myself.

team and the organization to carry out the work and the mission set forth in the action plan. therefore, this is just remarkable upon opportunity demonstrate this works and commitment to the community that it is more than just terminology. this this work will be beyond and to the future with its other initiatives that are invest in the. this is per of this recognition. >> and before i open if you mean to questions i want to say this is contract is the first mirj contract that will be in the area. but just to sort of lean on. it is recognition of the importance of the work rest

assured that this work will be done under the supervision of christian and myself in terms of not going to be out sourced to a consultant who will run and dot work. we will work intmittly on making sure they are supervisored tasks that live up to the objectives that you as a commission hold important. and that owe to the community. the priors key we set as an agency and commission this is something we talked about and should you, prove the contracts ensuring the contractors live up to when it is we both expect.

>> thank you. commissioner maxwell. >> could you my red energies went up. i saw a coma huge organization. red energies would you give me an example of something you have them to do. yu neil this organization. my question was i like to see who they hire example their upper echelon and if they look the way we want our organization to look. >> thank you. acomrepresents in terms of capacity to bring in the nential can help the organization move forward. when we been the thing this is matter to the organization and

how myself and herrera and the team when we are looking for is making sure this is not manage we do blindly. in terms of the external capacity bringing in the experts. when we are looking at now is monitoring every aspect monopolying everything helping this is a large organization and there are many moving piece. within this team building now we need to ensure we violate capacity to monitor to evaluate, electronic and analyze and assess and eliminate outer. if we are taking on this internal capacity ourselves it is going to exhaust us with all of the elements of the work we have 7 pillars.

commissioner stacy. >> i also have to admit to a surprise. what i think i read in the report both not guilty back ground section and when you said is this there is a fair amount of data collection to be dhan you irrelevantment to know what is going on throughout the organization. and then listen to what gm herrera said and what you just said in response. it irrelevant looks like there is going to be a lot of collaboration and interaction with the joint venture.

and with and you your staff. upon they can't accomplish anything without your intense involvement. i appreciate thank you red on the need for information leading to a detailed action plan with the complicated goal this is you wish to accomplish. i appreciate that it will be really important. for you and for your staff and the whole organization to work closely with this joint venture. >> thank you for the >>. thank you. >> commissioner. >> good afternoon doctor, welcome, board. look forward to hearing the progress. and thank you gm for what

explanation. i also had apprehension when i sought contract and iment to upon under score and make sure that puc is driving the bus. it is grit to have a comspecial have the facts. but the decision maker is you. and the general manager and -- i want to irrelevant under score this. and make sure this we are in the get egg one size fits all. i think you mentioned the general motors version. we want puc version. we have a unique area i'm proud of our place and an opportunity to make great change and make sure that the decision make suggest from us and not from a consultant when may be disconnect in the areas. . you have our shared commitment.

why thank you. commissioner max quell >> i want to thank the general manager and chris for makeing huge step. this is big and i realliment to thank you for understanding how important this is to us. thank you about this and -- -- you are both urn the glass i have all the xufdz no one and makes me feel proud of our organization we are going this route. thank you. thank you. >> so -- thank you, everyone. a couple of things. 9 and a half million. to 2020, 5 years. i do recognize we need help. a lot of work to be defendant's exhibit. everything takes time we don't have the manpower.

i appreciate the commitment you will manage this task i want to ask for more than that. one is as member who joined the organization i would love to hear from you when you look at our racial equity objection plan are things that are -- neateds to be cost or added? there is always good to have freshy set of ice, lot of w gone in it. you are coming in. hopefully connected to when needs to happen or when is the most rent idea this is are out there. so some of this might need to show and up in things have need to be tweaked or changed. second. five years from now, i would notment to i'm not sure if i'm

here but who is here, what i want is -- we gave this money to acomor the venture and we built a team and a tools and everything that we need to run it ourselves. the reality is we constudent: low give out contracts. to consultants or organizations to dot work for us and yes, we managed them all. reality is sometimes we don't have access to property this they develop or the data they gather or want or the capacity that they want. >> right. >> we give them the money they build and run it. >> that thes reality. >> i want to make sure as the money is going through you are now. you are here. we want to build this internal

low. and asking to you think about this very strategically and how you turn this to something this is institutionalized here rather than us constantly needing others to come in and do it for us. >> take it as you know a blank check to been not we are giving money. but think about it that way.

is there are, let of components. per whf we are done is we stream lined 7 to 4. we have become more focus exclude the 92 okay items there are things that are not actionable at the moment. everything cannot be a priority we concentrate where the w is going forward and slow down. those conversations are helping and building the capacity to drive the work and i believe with my back grounds as epidemiologist and scientist. we can drive this work internal low. we are the drivers. everything we build because that is what will be in the future. i don't want to put nus a

position we don't retain rights to anything we build this is for us and built by us with assistance and guidance from consultants not driving this work >> great. thank you. i want you to think about that i think about the numbers fiwas going to hire an army of people could work on this. how many would i hire. get value out of it. over head and everything but think about it whshgs is the mind set you need to have and annual cost of working with others. we need to work worryings regardless. as time guess on. again. make sure it is built. i appreciate going from 7 to 4. i think the documents and plans

i see them living documents. they are not you know you think about it. i think the plan and i will spend the next 10 years implementing it. when you are done everything has changed. the idea is how can you revisit and rebuild. >> no more comments can we have public comment on this.

do we have members present to provide comment? do we have callers in the queue? >> there is one caller. >> thank you. >> call are i unmuted your loip you have 2 minutes. >> my name is glen, i like to comment on item 6 and the what like to comment on is -- that where is the organization located? who is the [inaudible]. is anyone the residents of bayview involved? there is one caller. >> thank you.

there are no other callers. public mental on item 6 is closed. jot comment i will repeat it is valuable. the askings about the plan. the racial equity plan and find it. i think it will be good to have this information. i'm sure it accessible. right. >> we can make it accessible. >> thank you. next item. >> item 7. hear to consider action to adopt amendments to the san francisco puc social impact program rule and regulations. >> madam secretary. you did not take a vote. >> that is true >> [laughter].

>> thank you. i move. >> second. >> excellent. and can we have the vote. >> on approval >> might want to wait for your first vote. >> item 6 president ajami. >> aye. >> vice president maxwell. >> aye >> commissioner rivera. >> aye. >> commissioner stacy. >> aye. >> item passes, congratulations. we look forward to see what come out of this. >> number 7. public hear to consider possible action adopt amendment to the puc social impact partnership rowel bunkham regulations rule 1. 0 and 4.5 >> i'm the manager for the social impact partnership program the puc authorizes social impact program on october

24, 2022 resolution 22-0183. on april 11 of 2023, this commission adopted rules for the social impact partnership program. effective april 22 of 23. the controller's office and city attorney office issued a citywide suspension order prohibiting entities from, ploying to and receiving future city contracts. on the same day the mayor directed departments to cancel those contracts. the proposed amendments to the rule and regulations comply with the mayor's directive and drafted with the city attorney. urn the rowel 1 amendment, entity subject to order of department or suspension would

be ineligible to be a beneficiary. and the beneficiary must be an entity inspect of the contractor. then rule 4 opinion 5 says the contractor must confirm this each beneficiary meets this. this item is just technical ma'ams to compliant with the city directive. thank you, for your time and consideration. can we have public comment. thank you. >> members calling remote press star 3 to speak. do we have anyone present to provide comment? >> good afternoon the northern california laborerors i want to make sure we talked about about

the program areas in the document. great document. a language time coming. you know in 20 seventeen 15 we heard from contractors the goal posts moving not clear. we started to bird dog this program. we are enengage in the workforce develop export met with resistance. you have managed through your new leadership all of you knew to really get a document that has the transpicious that we have been talking about for a long time. and the other stuff will run the course. while it is running we want to make sure you are aware of the fact we are appropriateed enengage the workforce piece. the way it would work with rec and park whetherville real or

whoever offering ourselves to meet the needs. congratulations. we consider to be great. thank you. >> thank you. moved. second. >> >> item 7. aye >> vice president maxwell. >> aye >> riverasm >> aye >> commissioner stacy >> aye. >> thank you. >> next item. >> item 8 hearing adopt san francisco utility rowels of

ordchanges to rule 16 order of business. colleague this is is the item that we requested to move the public comment to the front of the schedule. or agenda, you know. if there are comments or questions. help to hear them. otherwise we can go to public comment. >> hearing none have public comment. why members of public who wish to make remote comment on item 8 fresz press star 3 to speak. are there member present to provide comment. >> do we have callers with hands raised. >> there are 2 callers. you have 2 minutes. >> this is dave warner.

thank you so much peter drubbingmeyer worked out a system he would tell me when you got to public ment it nicer. thank you. that's it. caller have you 2 minutes. >> hello. peter, tuolumne river trust. i want to thank president ajami and hope the rest of you support temperature my opinion moving yes or no meant to the end was a way to punish the public this was not the intention of commission nor i think the idea came from the commission. this did result from the 7 and final workshop 2 years of workshops last august with a

workshop on the design drought. presented our case and vulnerability assessment and felt staff did not have a response to justify the design drought. and the commission moved on. we pent 2 years get the facts out there. it was in the made and, let of people from the public started calling in for several months there was a lot of public comment. and it became apparent that the move was to stop this public participation. thank you for dressing this. >> thank you. if there are no callers wish to be recognized >> public comment is closed. >> this was meant for efficiency and this never meant to quiet

the public. not at all. our intention. but i appreciate everybody's comments we are here and happy to hear everybodyy comments. and perspectives this is an open door. real we like to see people in person if they like to join us. but otherwise, we wanted try manage and00ue know now we decided may be going bag to the old model works better. with that. i would like to see if i can have a motion and second on the item. to pass it. >> move to approve item 8. >> second. >> thank you. a roll call. >> president ajami >> aye >> vice president maxwell >> commissioner rivera. >> aye >> commissioner stacy. >> aye >> thank you, from next meeting we will have the public comments

on the front of the agenda. >> thank you. >> can we have the next item. >> item 9 communications. clothes this is an informational only gram there is nothing we move on >> thank you. can we have next item. >> 11, initiated by commissioners. >> any items that you would like to initiate? >> can we have the next item. >> item 12 is public comment on matters to be addressed during closed session. >> um. yes. >> go ahead. >> item 14 conference with legal council regarding existing litigation. proposed settlement of litigation a motor accident with city of san francisco to pay

madison 40 thousand dollars in exchange for final release subject to final approval by the board of supervisors. 15, conference with council proposed settlement claim for damage ruing from a high pressure main fail with the city of san francisco to pay 99 insurance company within00 thousand dollars in exchange for release subject to approval by the board of priersz. 16, public employee performance evaluation general manager. members who wish to make 2 minutes of republic comment closed session 47-16 press star 3 to speak. are there members of public present to provide comment on item it is 14-16.

>> before we take public comment on that item i think we missed something else. >> we missed general public comment. you ruled on the order. >> ruled on the order new rules. i leave it to you to decide call the item after this or how do you want to do it. >> why don't we dot public comment on this item and general public comment and the motion on the closed session. >> this is know example of staff not stifling public comment. taking item 12 out of order. do we have public comment on closed session? caller with hands raised? mr. there are no callers.

>> okay. madam secretary can we have yes or no public comment. >> item 10. we are on item 10 sfgovtv thank you. item 10 general public comment. members of public when wish to make 2 minutes of remote comment in the mission's jurisdiction but not on today's agenda press star 3 to speak. of is there anyone present to provide general public comment? >> did we have callers with hands raised. >> there are 3 callers. >> i'm dave warn are thank you for your service and general manager herrera i like to highlight a letter you received from me this morning notes san

diego's water rates over invest in the alternative water supplies. they saw demand go down by 40% caused rates to increase 600 to 2200 dollars 80 are foot. we had a similar experience with the investment but it was necessary to maintain existing supplies, our demand dropped 20% and seen rates increase from sick00 to over 2200 per 80 are foot. the trouble is you in we are contemplaying investment in alternative water supplies temperature is in the clear the decline combined cause an exceptional jump in rates. we have the highest water rates of any major agency. onplace water rates 35 dollars per ccf.

translates to 15 thousand dollars fer 80 are foot. i want to understand huthan i reach a high number and not hard to see the water rates doubling if we over invest. keep the san diego situation in mind would be hard if we saw a doubling of water rates. >> when the modest adjustment reduce need for alternative water supplies. have hidden men a good opportunity here. dog an analysis equal to alternative. thank you. caller, have you 2 minutes. >> thank you. peter, tuolumne river trust. comment on slide 9 from the

water conditions update. you might make a look to look at slide 9. water available to the city. the red line at the bottom the cut off in water rights with irrigation district and it is puc. 2400 cubic feet run off belongs to the irrigation district. and then there is the top half 2 months between mid april and mid john cut off to 4,000 this year 3 week shift with the blue line moving left would not have impact there was so much water above 4 then and there. when we have the workshop on the vulner ability assessment we asked staff how earlier run off projected impact the water available to the city and they said, well.

would not irrelevant. and we looked purth and in wet years the puc loses water to the irrigation district and dry years puc picks up water and wet years does in the merit who's water isfullying the dry year matters we thought if it were to occur the puc pick up a year's worth of water. presented our information to staff they ignore today. asked the commission to ask the question. we never got a dmorn ask that. tried be helpful early on with the ltba would in the hum make decisions we recommended 3 questions design draught and the rapid turn period and earlier run off and using real demand. and -- >> thank you, caller your time

expired. there are no callers in the queue >> general public comment is closed >> will we are back on item number 12. closed session. clothes can i have a motion on whether or not to acert attorney/client privilege with the closed session matters on the agenda here? >> move to acert attorney/cline privilege >> a roll call >> president, jamy >> aye yoochl maxwell. aye >> rivera. why aye >> stacy. >> aye. >> >> thank you. please stand by. we will go in closed session.

we issue back the commission recommend the board of supervisors, prove the settlement. items 47 and 15 and the commission has selected commissioner maxwell as the representative labor negotiator. who will engage with manager herrera in this conversation. >> and colleagues can i have i motion not to disclose the discussions during closed session? second. >> can we have a roll call? president ajami >> aye >> vice president maxwell >> aye >> commissioner rivera. >> aye >> commissioner stacy. >> aye. >> thank you i think that was our last item. we are adjourned.

thank you. thank

you so much to everyone for joining and we are now going to call this meeting to order for the our city our home oversight committee. it is se