>> roll call, please. [roll call] >> let's start again. your microphone is not on. let's get this going

before--you are still not on. i hope it is working on this, please. let's keep going anyway. >> here. >> here. >> okay. we have a quorum. okay, let's work on the microphone so this can all be heard. the san francisco public utilities commission acknowledges it owns and stewards of the land located within the territory of the muwekma oholone tribe and familiar descendants of the federally recognizes mission son jose verona band. the sfpuc recognizes every citizen residing within the greater bay area has and continues to benefit from the use and occupation of the muwekma oholone tribes aboriginal lands before and after the san francisco public utilities commission found ing

in 1932. it is vitally important we not only recognize the history of the tribal lands on which we reside, but also we acknowledge and honor the fact that the muwekma oholone people established a working partnership with the sfpuc and productive flourishing members within the greater bay area today. is the microphone working i hope? test. >> can you hear me? >> there we go. okay. commission secretary is now in order and as she acknowledged, we do have a quorum, and i do want to acknowledge that there are now as of today officially there are four people that are members of the commission. one-three of the commissioners as i stated last week have not been reappointed to another term and there is one opening because another former board of supervisors member

left the commission area a few weeks ago. there are essentially four openings on the commission and i want to thank and i know we have quorum of three of the five commissioners, and i just want to acknowledge those that came today, because i think that most people know if you are working for a multi-billion agency and all a sudden you are told your services are no longer needed normally there will be a security officer standing next to your desk and taking your mother picture and favorite pen and a buster posey bobble head, but i didn't see any a sheriff at the area today. greeting us on the way in. i do want to acknowledge that there is checks and balances and who ever ends up on the commission still has to besides the nomination is of

mayor there is still a board of supervisors as everybody who is a student of government knows. there is vetting and the board of supervisors has to do its part in the commission process, but i know if any of us was not here like there might be in the private sector or organizations that no business would get done. i just want to say, this commissioner in particular as i said before value the public services. there was a time i did come a a little kicking and screaming on the commission but i take this seriously and i'm a retired and i am involved in public service. whatever that process is takes place, so this body is fully functioning again, despite the whack that seems to be taking place, i will be here, unless-i will speak for myself. i will be here under these circumstances unless there is

craziness that takes place during this wield election season. can we have the first item? >> approval of minutes of september 10, 2024. >> commissioners, do we have corrections to the minutes? commissioner stacey. >> thank you. i thought we should add at the end of the minutes the announcement following the closed session. i think it is item 16 that the commission acted to recommend the settlements. typically that is included in the minutes. >> okay. i did not catch that, so thank you for that. can we amend that? >> one other small amendment on item 7, it wasn't entirely clear from the record which of the three mitigation monitoring and reporting programs the commission was adopting and i think it would help if the minutes clarified that it was the town of sunol

mitigation monitoring and reporting program that was defined as the refined mitigation, mmrp in both the staff report and the resolution. i just thought it would help if the minutes clarified that as well. >> that makes sense. commissioner? anything else you saw in those minutes? >> that's it. >> can i-with those two amendments i would like a motion to accept the minutes with those clarifications. miner clarifications in those minutes. is there a motion? >> move to approve. >> second. >> motion and second to approve the minutes with those clarifications. can we have roll call, please? wait, i take that back. i'm go ahead of time. we should open up to public comment, please. sorry. >> remote callers raise your hand if you wish to speak on this item. do we have any members of the public present who wish to comment?

if so, please approach the microphone at the podium. >> seeing nobody in the chambers. >> moderator, are there any callers with their hand raised? >> ms. lennear, there are no callers in the queue. >> public comment is closed and i now entertain that motion with clarifications to accept the minutes. [roll call] >> been moved and seconded. i see commissioners nodding. can we have roll call, please? [roll call] >> we have three ayes. the item passesism >> the minutes pass. item 4, please. >> general public comment. members of the public may address the commission on matters within the jurisdiction and not on today's agenda.

remote callers raise your hand if you wish to provide public comment. do we have any members of the public present who wish to provide general public comment? i have a card from lane-- >> hello. how's it going? good afternoon honorable commissioners. my name is lane, speaking to you today on behalf of sierra club california and as a new resident of district 9 in san francisco, i am speaking today to urge the commission mayor breed and city attorney chui to drop your lawsuit against the ep a. before the phreem court begins reviewing cases in october. carrying with the lawsuit poses tru-minds threats to communities and environments across the u.s. the city of san francisco and the sfpuc can not continue to reluce sewage in the bay and ocean.

continuing to doso [indiscernible] ep a is right to regulate the puc. what is far worse then this thou is putting the most important piece of anti-pollution legislation in the federal level at risk of dismantling. it is no coincidence joining the lawsuit is army of industrial lobbying groups. it is also no coincidence theing lawsuit [indiscernible] a decision issued by the far right supreme court last year decimating the ability of the ep a to regulate water ecosystems. proven track record of annihilating the [indiscernible] the city is playing into their hands. i'm here to ask of the sfpuc drop the lawsuit to preserve the efficacy of the clean water act. dont give scotus. don't help industrial polluters

in quest to escape cullability and do the right thing and insure access to clean waters across the communities. thank you for your time. >> thank you. please come to the microphone for general public comment. >> commissioners, my name is francisco decosta. what i see today, the san francisco public utilities commission are doing things that are convoluted. we just have to look at your organizational chart and right on top are the commissioners. and right now whoever is trying to remove the commissioners is not doing the right thing and i say this because we already know the san

francisco public utilities commission hasn't done a good job. to put things on track with the exit of the last general manager who was a engineer, the new general manager who is not an engineer and there may be city attorneys coming here, but they have no clue chronologically, i have been doing this for 45 years, so i know what i'm talking about, to whoever are these people who are knocking off the commissioners, they are not doing the citizens and the constituents of san francisco right. not doing it. it takes 2 or 3 years to figure out whatever is happening with the

sfpuc. billions of dollars wasted not millions. the sewer system started with $8 billion, heading towards $12 billion $3 years to figure out whatever is happening with the sfpuc. billions of dollars wasted not millions. the sewer system started with $8 billion, heading towards $12 billion and soon $20 billion. don't hoodwink us in broad daylight, thank you very much. >> thank you. >> moderator, are there callers? >> next speaker. >> good afternoon, peter dreck myer tuolumne river trust. i like to associate my comments made by lane. san francisco versus environmental protection agency would be a terrible precedent, but more importantly, i wanted to speak to you in person and thank the outgoing commissioners for their service. it is a lot of work, not a lot of reward and sorry i dont get a chance to

say good bye to commissioner ajami. i think she rely stepped up and became a very solid commissioner, and we are going to miss her. this whole change just seems so mysterious and bazaar to me. unfortunately commissioner ajami will probably not get a response to her question from last november about how would lower then projected water sales impact water rates. fortunately my colleague dave warner did a great analysis and he would be happy to share that with anyone interested. doesn't look good. and, a problem i have seen and seeing now is that when commissioners leave requests and work they did gets forgotten. newsha won't get a response to her question, and this happened many times in the past and we will have new commissioners who will take a few years to get their feet underneath

them. it will be a long education process. they will come into it thinking their primarily role is defend the sfpuc position. i did send my letter september 5. i think this is really important issue. one that staff doesn't respond to public records act requests and two, they did not follow through on directives from two resolutions that pre-dated all of you, accept for commissioner paulson, the second ones. these were resolutions in 2019 and 2020 requiring there to be biological goals and adaptive management in the tuolumne river agreement and that never happened. it is really a bogus plan and why staff didn't want to share information. either it doesn't exist or shows that they did not follow through with midtid.

thank you very much. >> thank you. let's read the chards cards if there are anymore. no more cards? okay. thank you. >> moderator, any callers with their hand raised? >> ms. lennear, there are no callers with their hand raised. >> thank you. >> public comment is closed. let's go to item 5, which i'll read is the report of the general manager. >> thank you mr. president. 5 a is a quarterly budget status report and laura bush will be presenting. >> hello everyone. please can i have the slides? hello commissioners. laura bush here, cfo here to present the 4th quarter of 23-24 budget report to you. this is the last quarter so the final report for last fiscal year.

overall projecting positive oprating results power and clean powersf and small short fall for water. water and wastewater revenues below budget due to removal of the drought surcharge from lower demand due to the wet season and additionally, there was delay in billing customers due to meter issues. we are in the process of recovering untransmitted data. there is $6.6 million in delayed revenue for water and same for wastewater relating to the issue. the revenues will be accrued for 23-24 and as billing resumes the revenue will be collected in thecurrent fiscal year, 24-25. these revenues short-falls are off-set by state grant funding for-water received $8.2 million and

wastewater $11.6 million for $24-25. these revenues short-falls are off-set by state grant funding for-water received $8.2 million and wastewater $11.6 million for all most 20million. moving to power, revenues are projects ed to exceed budget due to higher wholesale sales and generation. large savings are also projected for power purchase cost. additionally, there are savings from distribution cost, calculation errors made by pge and saving--retail sales is slightly lower then budget due to final rets set lower then the budget and lower demand since quarter 3. this is off-set by slightly higher wholesale sales and lower power prices resulting in substantial savings in the power purchase budget. year-end financial results for all enterprises are projected to meet or exceed policy targets, and just as reminder the q4 report is projection with the final year end results published in the annual

comprehensive financial report. as usual, i'll go into details in the next slide. water the net oprating result is down $3.6 million. we additionally paid $9.8 million in legal settlements in the water enterprise this year off set by positive 1.4 million in savings so the net impact to fund balance is $12 million. the sources side, total sources are down $24.4 million. t this is largely driven by removal of the drought surcharge in may 2023 but didn't make it in the budget. due to longer wet season and there is a delay in billing certain customers due to meter issues, which is off set by the $8.2 million in state grant fulding. on use site, $20.8 million in

cost savings. this is driven by debt service savings, over head savings and saving in both labor and non labor expenses. moving to wastewater. the net operating result is positive $20.9 million. as sources are down by $21.3 million, similar story to water. removal of the drought surcharge, lower demand and billing delays. also offset for [indiscernible] on the use side, we have $42.2 million in cost saving largely by planned contribution and related savings. in power, the net operating result is positive, $72.4 million. in addition, we did project

close-outs in 6.9 million leaving with $73.9 million to year end fund balance. on the sources side, sources are up by $6.9 million leaving with $73.9 million to year end fund balance. on the sources side, sources are up by 15.1 million. retail sales below budget and wholesale up by $16.9 million due to higher sales from resource adequacy and [indiscernible] on the use side we have substantial savings of $57.3 million largely driven by savings in power gas and steam and error in pg&e billing calculations. clean powersf, the net operating result is positive $52.8 million total sources are slightly down but there is 59.3 million in cost savings largely

by planned [indiscernible] savings and purchase of power. all of our financial ratios on target to meet our puc policies. that's it. any questions? >> thank you for that report. commissioners, do we have questions? no questions. thank you. >> great. thank you. >> open up for-i guess we don't take action so do we need to open to public comment? i guess we do. public comment on item 5 a, please, can we open this up. >> please raise your hand if you wish to comment on 5 a. do we have any members of the public present who wish to comment on this item? >> peter dreckmyer tuolumne river trust. first of all, i'll channel my colleague dave warner who has commented

a number of times, he has a lot of respect for laura bush and aaron cornacova and thinks they do good work. they have what they have to work with. i hear this comment a big problem was not having the drought surcharge this year, which kind of baffles me, because january of 2022 was extremely wet. recall 2022 was the second wettest on record, so just looking back at the drought conditions update from january 31, 2022 and total system storage was 81 percent, so over a million acre feet in storage. i'm baffled it wasn't planned to have the surcharge dropped for this past fiscal year. thank you. >> thank you. anymore- >> moderator, are there callers

with their hand raised? >> ms. lennear, no callers in the queue. >> public comment is over for item 5 a. >> 5b is hetch hetchy capital improvement program quartly report. katie miller will be presenting. >> good afternoon president paulson and commissions. katie miller, director of water capital programs. may i have the slides, please? thank you. today i will share a summary of the hetch hetchy capital improvement program from january 1 through june 30 this year. the end of the 4th quarter of this fiscal year. these pie charts show the program status with 9 projects in

pre-construction, 7 project in construction or multiple faces and one project in close out. $339 million spent of the $1 billion budget with $49 million the third and 4th quarters. fiscal year 24 saw the high est spending with $85 million spent on major capital projects and $130 million spent on the entire hetch hetchy water capital program overall. during the paest two quarters, three major contracts received notice to proceed for construction. one project was awarded for construction and one project reached substantial completion and entered the close-out phase. this table shows the summary of projects expenditures and cost forcast grouped by funding sources. water, power or joint water power. the current forcasted cost in

the 5th column from the left shows $1.5 billion, which is $500 million cost increase over the previously approved budgets. also notice, there was only one new cost variance forecast during the past quarter for cost increase of $13 million. the majority of the project cost variances seen in previous quarters have been included in the 10 year capital plan that was approved by this commission in february this year. these budgets will become the updated and approved baseline and budget and schedules starting the first quarter of fiscal year 24-25, the quarter we are currently in. the one ucost variance forecast in the past quarter of $13 million was for the moccasin power house and gsu rehab project, specifically for sub-project c. this is due to cost increase forecasted in the updated 35 percent design cost estimate received this past quarter.

this cost increase is primarily due to detailed design development and scope refinement, extending the construction period by one year and providing resources for careful coordination of shut-downs and tie-ins for this complex electrical and control upgrade for the power house. during the third quarter, the 100 day shut down of the hetch hetchy system from december 5 to march 21 continued. this was the third of 5 consecutive wenter shut downs of the hetch hetchy system. significant work accomplished on 8 major construction project and several smaller. during this time the entire water system supplied by the bay area reservoir and water treatment plants. we acknowledge and are grateful to the water operation staff, specifically from water supply and treatment and hetch hetchy water and power to support the longest shut down of the hetch hetchy supply system in recent times.

for the san joaquin valve, valve and pipe replacement on two contracts for phase 1 was completed. project spendsing was $15 million. phase 2 work at pelican, [indiscernible] the contract 2 a received the notice to proceed in may and contract 2b achieved 95 percent design and will be advertised very soon. the phase 3 work at teslaserge tower, notice to proceed in february and contractor is mobilized procuring long lead items including valves. for the moccasin power house generator step up transformer rehabilitation, the first subproject of the transformers was completed and the project closed out this past quarter. for the generators rewind

project, the new generator m2 reassembly completed in march and generator is fully operational and in use. the second generator m1 rehab work has begun and on schedule to be completed this winter. for the moccasin power house system upgrade subproject, the draft 65 percent design was complete and as i shared before,b the $13 million additional cost forecast is due to additional design complexities and phasing requirements. the-the project a bulk heads progressive design build contractor completed the final design a trade package for fabrication of the new bulk heads advertised and awarded. for the draining b, contract advertised and bids open in june and this work is underway.

instream flow release valve construction started including removal of piping and gate valve for safe isolation and lower the valves into the o'shaughnessy diversion tunnel is shown in this photo. the mountain tunnel improvement project significant work performed during the 100 day winter shut down spending $11 million over the past two quarters. during the shutdown, tunnel concrete lining repair performed for approximately 72 percent of the lined tunnel or 8.3 miles. this was fallowed by contact grouting to fill the voids behind the lining, much slower and more tedious work performed during 12 hour shifts 24 hours a day with the grout mixed outside the tunnel and piped several miles to the injection locations. the contract routing completed for 23 percent or 2.3 miles of the lined tunnel, thus significant work ahead during the next two shut-downs

to complete this work. work continued increase reservoir site including instillation of the 150 foot deep access stair well to to the base of the shaft and concrete paving of the [indiscernible] as shown in this photo. separate construction contract was awarded for construction of the new permanent moccasin water treatment plant. discussions continued with the mountain tunnel contractor for best means to complete the work at the south fork site due to constructability concerns. these discussions are ongoing. we are considering options inclooding potentially pulling the scope from the current contract and bidding this out as a separate contract, potentially under a alternative delivery contractor contractor to contract to allow early collaboration assure construct lt challenges and input with the construction are safely and adequately addresses. in the past quarter the puc advertised request for information to solicit interest and constructability.

responses are have been received and being reviewed and we'll provide more updates on that in future opportunities. and with that, happy to answer any questions. >> great. thank you for that report. i for one and always enjoyed these updates as to what is going on. i happen to be in a conversation not too long ago where i was probably boring people by talking about the mountain tunnel and this new moccasin upgrade and what have you and somebody came back and said, you know, it is a genius of the system is is gravity driven. you have the dam here and city here and it is pretty cool. the point was missed it is more complicated then that. it is always, again one of the good things and wonderful things about the city. they invest in this water and this infrastructure and it is always good to hear your report.

i have no questions but thank you. commissioners? thank you for that update. let's open item 5b to public comment. >> please raise your hand if you wish to comment on 5b. do we have members public present who wish to comment? if so, please approach the microphone at the podium. seeing none, moderator, any callers with their hand raised? >> ms. lennear, there are no callers in the queue. >> thank you. >> public comment is closed on this item. thank you ms. lennear. general manager. >> thank you mr. president. item 5c is something we like to celebrate, our people for doing great work over periods of continuous service at the puc, and we are lucky today to have a number of folks we like

to retirement recognitions for 25 years of service, so i like to recognize them and have them come up and say a few words before we take photos at the end. today we congratulate a number of individuals who demonstrated the highest form of commitment and pride in public service. i like to recognize michael brushard for 27 years of service in the water enterprise and before we invite mike up here, i believe bill would like to say a few words. bill. >> good afternoon commissioners. bill, division manager, cbd. i will address both frank and mike in the interest of time. so, i stand before you today to pay tribute to two men. between them have given 57 years of service to the city and county of san francisco.

mr. frank, 28 years, and mr. michael, 29 years. i did quick math. it was 29 years. okay. as you are aware, construction division and very unique place to work. our expertise is always been dependent on the dedication of our employees. the two gentleman before you today represent that dedication. whether that meant making a 16 inch water connection at night in the ink clment weather or responded to a call while attending a birthday party, they always answered the call. i worked with and known both of these gentleman for the length of their service and hold them in the highest regard. i wish them both well in their endeavors going forward. frank, mike, your service to our great city is now completed. it is time for the next

generation to step forward. i and we thank you for your time. [applause] >> i like to invite mike to come up and say a few words. >> thank you commission. commissioners, dennis herrera, jenroom manager. i want to thank bill, my former superintendent and katie miller former manager also. ryan was one of my managers. i just cant thank the city and county enough. one of the guys told me at work, he said on the worst day it is the best job you had and it came to fruition. i just cant-think them enough. i want to thank the late great bill, who gave me a chance changed my life forever. the city and county allowed me to be able to have family, enjoy time

with my wife and be able to enjoy the retirement and attention i try to tell every young person gets you a job where they got pension and retirement and cant thank them enough and humbled and honored you take time out of your day to do something like that for me and i thank you you a lot. thank you. one day i hope to give back to the city by returning under prop f. just letting you know. [applause] >> thank you mike. >> and, i like to recognize frank for 28 years of service to the water enterprise and invite frank to come up and say a few words. >> thanks for having me here. it is a honor to be in front of you all. thanks bill for the nice words.

i-part of a big family the water department. lot of great san franciscan people that cared about the system and really tried to improve and keep it running. it isn't a easy thing to do, it is tough task, and i miss a lot of people, i miss a lot of camaraderie and ethics to try to get the best work done at the least amount of money to use. it has been a great career. i started in construction as a plumber for 14 years and went to the water department in 1996, and another 28 there, so it has been a big part of my life. the new generation seems to be taking over well so felt it was a good time to step by and let them go and just know another proud san franciscan proud to be here and thanks for having

me. [applause] >> and last but not least, i like to recognize anthony scott and thank him for 28 years of service to the water enterprise, and we are grateful tony could be here and invite angela chung to come up and introduce him. >> good afternoon commissioners. angela chung, water supply treatment division manager. it is truly a honor for me to introduce tony scott to you today. tony spent 29 years-i counted all those days and he met june to june. 29 years with the sfpuc, all that time he was at the sunol valley water treatment plant. rose through the ranks and became the chief of the plant. he knew the plant inside and out and called the plant home. all his crews went to him for all the questions but can't just his us.

if you are working at ractor yo talking to tony where is what and what did this do what to. tony always knew it wasn't a 9 to 5 job and took it seriously. he want just answering calls. i remember tony going into the plant to cover shifts that we had a hard time getting people to go to. like midnight to 6 a.m., but that is how dedicated tony was. i also want to say tony was so skilled. when we had emergencies and we wanted somebody to start up the plant it was tony we called. i want to thank tony for really saving the system countless times with his skills, with his dedication, and also doing it with such a positive attitude. so, we have missed tony since he retired, and i want to wish him a very well deserved retirement.

[applause] >> tony here? tony, please, come on up. >> hi. my name is tony scott. i want to go ahead and thank you commissioners and special thanks to upper management. steve, angela, ryan. and among a bunch of other people, i cant begin to mention their names. i started out in 1995 and like angela stated, worked my way through the ranks. it has been a excellent opportunity. i have grown with the company. seeing was able to go ahead and

show my skills. go ahead and basically when it comes to new personnel, training aspect of things, like running the facilities. once again, i'm going to miss all my colleagues. i want to thank each and every one of them, because they helped me to get where i am today. i am going to really miss you know, the puc. i plan on visiting from time to time and seeing the progress in the future. once again, i want to go ahead and thank everybody. thank you. [applause] >> so, i like to say a couple

things. so, both-all of you, mike, frank and tony, this commissioner will always-comes from the labor movement and will say that we know why the city is as good as it is and why the city works. it is because of folks like you. it is the rank and file. it is the workers no matter what level of the enterprise that you are with. it is you that makes the city work and so, now that you are retiring, it is well deserved and your work and dedication is why people have clean water and why people-why this town seems to work, it is because you guys do the stuff that it is needed and our city invests in folks and that includes investing in you, so thank you. have a great retirement. you deserve it and it sounds like none of you are going to disappear. you are going to still be hanging out in the community, so i want to thank

you all and have a great retirement. i know we will have pictures. anything else commissioners? commissioner stacey. >> i just wanted to say thank you for so many years of great service. the puc can't do what it does without dedicated and intelligent staff so you are what makes the system day in and day out and i want to say thank you. i want to congratulate you too. enjoy your retirement. it is a great next chapter. it is hard for the city to lose all this expertise and intelligence, but it is well deserved to take a break and enjoy either as prop f, or as a fully retired person, but thank you so much for your service. it really means so much to the puc and so important to the puc.

congratulations. >> thank you. commissioner rivera. >> thank you president paulson. thank you so much mike, frank, tony for your service, and dedication. i always said that you know, puc is a great enterprise, but our life and blood and heart and soul are the employees and you guys just hearing you talk and being here, it just really is humbling to see the level of dedication you have, and mike said something that kind of jarred my memory. my first day in the fire house when i was a brand new firefighter, i told-i exclaimed i said, this is the greatest job in the world and one of the old timers corrected me and said, this is second greatest job in the world. i said what is the greatest job? he said the water department. [laughter]

thanks for reminding me. and thank you very much for all your hard work and efforts. >> that's pretty good. a lot of-guys why don't you come up for photos. i can't help notice commissioner stacey was [indiscernible] virtues of retirement. when she retired from the city attorney office, i try today get to come back on prop f and she said no. she knows how to enjoy retirement and her words are very heart felt to you i'm sure. >> come on up.

mr. herrera. >> mr. president, before i conclude my rart, i just want to say a few words. regarding what you commented on in the beginning of this meeting and the last one about changer of the guard at the public utilities commission, and on behalf of the entire staff of the public utilities commission, i want to thank you mr. president, and commissioner ajami, and vice president rivera for your tremendous

service and how much we enjoyed work wg all three of you for your professionalism, questions and challenges that you pose to us to make sure we are the very very best that we can be on behalf of the residents of city and county of san francisco and rate payers and we strive really each and every day to live up to your confidence. the professionism all you brought to the commission over the course of your years of service is something we cherish and respect and thank you very much for your service. commissioner ajami isn't here. mr. president you talked about your term of service and commissioner rivera. your term continues until the end of this month, but we value everything that you have done on behalf of the residents and rate payers of the puc and i want to thank you on behalf of the entirety of our organization for a job well done.

[applause] >> thank you. thank you mr. general manager. okay. >> that concludes my report and i'll ask assistant general manager steve ritchie to come up because i have to appear before the board of supervisors. >> dually noted. thank you. okay. so, there are no more activities or events that we need to acknowledge here, so let's go to item number 6, please. >> item 6, bay area water supply and conservation agency report. >> good afternoon president paulson, members of the commission. it is dpood good to be here today. i miss seeing you in person. there are three things that i wanted to discuss today.

first, earlier this month i guess actually was beginning of september, assembly bill 2962 by diane papen passed and signed into law by the governor. it extends state oversight on your implementation of the water improvement program. i wanted to thank general manager herrera for his support in securing san francisco's support for the bill. that was critically important to me as we move through this process. the bill extends the state oversight now through january 1, 2036 and the hope is that extension will enable completion of the [indiscernible] storage recovery project both critical to water supply reliability and then that will complete the state oversight at that required program. my second and i did distribute a

statement to you about that so i know you have that. my second item i wanted to remark upon was, earlier this year, i announced my upcoming retirement the end of the calendar year and last year the board selected its new incoming general manager. i also sent you a statement on that. mr. tom smagal he has been chief financial officer at california water service company. he has been there 27 years. cal water is your sinkal largest customer interestingly enough and the second largest retailer in the state of california. in that time and previous work with the state of california, he's had a tremendous breath of experience on water related issues from drought, water supply, water reliability, rates, also risk, risk management,

capital work. i personally worked with tom 10 years while he has been in the cfo position at cal water. i believe the board made a excellent choice and i think he'll be a exceptional leader for bosc a and know he's excited to begin work with you on behalf of the water customer bosca represents. there will be a transition period so he will start december 1. i will stay in some form or fashion. i don't know what the title will be for december, my official retirement date is december 31, so we will have a hand-off period, and my hope is that before then we'll have a opportunity to bring tom here, introduce you to him personally, also introduce him to mr. herrera. steve knows him and also got to see him last week, so i think this will be a great transition and i appreciate your support for that.

and then lastly, i too want to thank you for your service president paulson, vice president rivera, commissioner ajami, as your term ends on the commission. our work as public servants me and the staff and the staff you were just talking about, none that works if we didn't also have leaders such as your is lf that are in that role and willing to step up in that role and it is not a easy job. i often think it is thankless job and to do it well takes a lot, and so it is much appreciated and so, on behalf of the $1.8 million customers the 26 agencies and the board i thank you for your service as well. that conclude my remarks. >> thank you. it has been a pleasure to work with you, since we all seem to be saying a

good bye this is the good bye commission meeting, retirees. thank you and pleasure working with you and your reports are always critical from hearing what customers are thinking and studying and what have you so thank you and good luck to the next guy coming on board to fill your shoes, which wont be easy. and thank you for the kind words. i have no questions or any other comments. commissioners, any other comments? okay. thank you and enjoy your retirement. >> thank you. >> item 6, do we need to go to public comment on bosca? >> remote callers, raise your hand if comment on item 6. seeing none, moderator, any callers with their hand raised?

>> ms. lennear, there are no callers in the queue. >> thank you. >> public comment is closed. let's go to-can you read item 7. there are four, five items. >> item 7 is consent calendar including items 7 a-7d. >> i see five on here. commissioners, are there any comments or questions or do you want to pull anything from the consent calendar, a, b, c, d? >> there are two item d, the second d should be a e. >> we'll call it e. a-e. any comments or items commissioners you want to pull? seeing none, let's go to public comment on consent item. >> remote callers raise your hand if you wish to comment on the

consent calendar. do we have any members of the public present who wish to comment on this item? seeing none, moderator, any callers with their hand raised? >> ms. lennear, there are no callers in the queue. >> thank you. >> thank you. public comment is now closed on the consent calendar, item 7. motion and second to accept the consent calendar? >> move to approve the consent calendar. >> second. >> there is a motion and second to approve consent calendar. roll call, please. [roll call] >> 3 ayes, the item passes. >> thank you. ms. lennear, can you read item 8? >> item 8 and 9 will be heard today and voted separately. item 8 authorize the general manager to execute and installment sale agreement to secure a clean water state

revolving fund loan for the wastewater enterprise new treasure island wastewater treatment plant project. >> hi, good afternoon. can i get the slides, please? thank you. alexander loans grant and director and presenting on behalf of business services on these two items with my colleague edward kwon representing capital finance today. so, as mentioned, there are two items before you and we'll have one presentation but they are essentially the same. they are requesting your authorization for the general manager to execute two installment sale agreements or loan agreements with the state under the clean water state revolving fund or srs for the wastewater enterprise.

there are two separate projects, treasure island recovery facility or wastewater treatment plant not to exceed 120million 300 thousand. there is also $8 million grant component with that, and the second item is for the storm water area improvement project at folsom and that is amount not to exceed $59 million with principal forgiveness amount of $5 million, which is essentially a grant. it has been a couple years since you approved a loan agreement. 2022. we will do a brief overview of the program, sfpuc history. talk about the project funding and financing terms for the projects and edward will talk briefly how this fits in the financing plan and strategy.

so, the clean water srf program is a program that provides low interest or below market rate funding for water and wastewater projects. so, this particular program in california has the obligation to set interest rates no greater then 1 half of the state go bond rate and that is 2.1 percent. they can't offer grant principal forgiveness for projects like water recycling or storm water and why you see a grant component. the money originates with the uspa. allocated to 50 states and administered by each 50 states and in california that is done by the state water resources control board. laupg long-history in the

program. back in 91-2001, there were 13 wastewater srf loans and then from the period of about 2000 to 2015, there were other optimal sources of financing available to the capital financing team, but around 2014, the state changed some of its financing terms to make it more advantageous for large bowoes and sfpuc reengaged pursuing loans. from 2015 to present aside from the two before you we had 7 executed agreements for the wastewater enterprise, totaling about $400 million for total for the wastewater enterprise of $672 million. it is worth noting, there are two other loan agreements for the water enterprise, and those total about $430 million and one of those is the most recent one you saw a couple years ago

for the mountain tunnel project. the two loan requests before you today are for the treasure island project and folsom project, and we are just coming to you today, this work started many years ago, back in 2020 we started pursuing these loans. the srf program is very financially constrained. just in 24-25 there were 206 applicants requesting about $3.4 billion worth of funding just on the clean water srs side, not drinking water side and the state intends for fiscal year 24-25 to fund 91 of those projects, including these two, and of the 91 projects the total financing is about $2 billion. you will see that these two projects are receiving partial financing. the state isn't funding total project cost out of clean water for

projeths over a certain dollar value. the treasure island project is forecasted at $224 million and state offering $110 million loan and $8 million water recycling grant on top that. and that is because it addresses one of the state priorities, which is water recycling. for the folsom project which is forecasted for total project cost of $391 million, the state is offering us $50 million loan and 5 million in principal forgiveness it is essentially like a grant, and that's because it addresses priority needs for the state, which is to address regulatory compliance. so, loan administration as mentioned, these are federal funds and even though they come to us from the state, those federal funds-the federal requirements get passed to borrowers so

included in those federal requirements you see various ones here. [indiscernible] it is worth noting that the state has the authority to do a neapa like process so they call ceqa plus. essentially it is nepa, but under their authority they can differ to ceqa, plus additional federal cross-cutters and do their authorization through that. also listed here is build america by america. both are receiving financing through [indiscernible] under the adjustment period waver which means american iron and steel applies as the domestic preference requirement. b a b a is exempt. there is progress reports. there is site visits.

those sorts of things, noticing. the noticing and reporting on the financial side is very similar to what is done for the revenue bond reporting. and then, financing terms here. again we are anticipating it to be 2.1 percent for both of these loans. repayment commences in april, 30 years after construction completion. this is pledge of wastewater net revenues so on parody with the wastewater bonds with it other srf loans wifia loans on the wastewater side. i mentioned the grant and principal forgiveness for both of these. i mentioned combining with wifia. good because wifia only pays for part as well so combining the two gives optimal financing and worth noting, the not to exceed principal amount that's

asked of you here is greater then the loan amount, because the loan amount-or it includes construction period interest and anticipated capitalized interest, so that's the repairment amount greater then the loan amount will include the interest, so why a larger not to exceed value. and i'll hand it over to edward to talk how this fits into the capital financing plan. >> back to slides, please. good afternoon commissioners. edward kwon. xhgz we wanted to highlight the agreement proposed were a part of the fiscal year 25 capital finance plan presented to you last month indicated here in the red arrow. we are proceeding ahead of what was originally estimated but should still close in rks qu 2 or q3.

these loans and future similar loans are part of the puc overall strategy to actively pursue low cost financing al trfbatives to revenue bonds to fund capital projects. the loans proposed today for example have a stated interest rate of 2.1 percent with rate of maturity of 17 years, versus 4.2 percent, the rate of our latest new money wastewater revenue bond. those bonds in average life of 23 years. as with the rest of the enterprise cip, overall strategy is interim fund with low cost short-term financing, namely in the fund of commercial paper and that is the same. those commercial paper notes long-term finances such as revenue bonds or loans such as this when appropriate and of course, we will continue to actively monitor the markets with our advisors and financial partners for

refinancing opportunities when advantageous. this slide summarizes the good faith estimate prepared by our municipal advisors for both loans today. this is also provided in the staff report. we require by sb45 to provide these estimates to governing body at the time of the transaction being approved. as you see from the estimates, which factor in anticipated grant portions of each agreement, the true interest cost is anticipated to be quite low, and that's it. turn it back over to alexandria. >> okay. >> any questions? and miner question. obviously, the most difficult part of getting this stuff done is get into the weeds of the financing and what comes from grants and what comes-how

you work into the government system as well as these loans. you seem to check all the boxes of everything that we need by what i'm looking at. even when i looked at your comments. just wondering when it comes to interest rates, would that have changed at all within the anticipation and final lowering of rates that the fed did a couple days ago? did anything change because that? you are so far into this by the time the feds probably work, i'm just curious if anything got better by any chance with what happened wednesday? >> is based on the state most recent bond sale which happened in the spring, so hasn't changed yet. i think they usually do in the spring and sometimes another in the fall but haven't heard if they will do another in the fall yet. >> you are doing this around

the clock trying to bundle all this stuff, so i have no other questions. commissioners? okay. we will--let us open items 8 and 9 to public comment, please. ms. lennear. >> remote callers, raise your hand if you wish to comment on item numbers 8 and 9. do we have members of the public present who wish to comment on these items? >> none present. unless, sir are you going to the mic? >> moderator, any callers with their hand raised? >> ms. lennear, no callers in the queue. >> thank you. >> public comment on items 7 and 8 are-8 and 9, sorry, thank you, are now closed. council, can we take these 8 and 9 in one vote? okay. i like a motion that we approve

the installment sale agreement of both item 8 and 9 please. can i get a motion? >> move to approve item 8 and 9. >> second. >> motion and second to approve items 8 and 9. can we have roll call, please? [roll call] >> we have three ayes, the item passes. >> item passes. can we read item 10, please? >> approve amendment number 1 to contract number pro.0168b, engineering service for transmission and pipelines with kennedy jenks consultant inc. and a gs inc. joint vercher. >> may i have the slides please? good afternoon commissioners. ted lee, from the puc engineering management bureau. here this afternoon to request approval for amendment 1 for contract number

pro168b engineering service for transmission pipelines. our transmission pipeline system vary in age from 5 years to 90 something odd years and run from hetch hetchy reservoir to the city through the east bay to the peninsula and towards the city. in 2020, we advertised pro168 a and b to support these pipeline projects. specifically 168b covers facilities shown here in the east bay and peninsula. by resolution 210117, the commission awarded pro168b to kennedy jenks consultants and a gs, a joint venture. the contract is $7 million 8 year pool contract where we list a selection of pre-determined projects that the

contract will support. this type of contract provides for flexibility in professional service support through project planning, design and construction. the primary role of the consultant is to provide planning and engineering services for our large diameter transmission pipeline focusing on specialized engineering work, geotechnical, survey seismic studies and trenchless crosses. we assume the majority split with infrastructure staff performing about 60 percent of the design work and the consultant performing about 40 percent of specialized services. at the time of

design on several facilities. the capital plan has $409.4 billion. but hundred million dollar increase. this table is formatted similar to a item a few meetings ago that shows the project in pro168b in the left column, the current phase of each project, the current contract budget, and our proposed amendment 1 modifications. we funded task orders under the contract based on project criticality and priority. we did not assign a set aside amount for each of the projects as this was not known prior the condition assessment work. now we know more, amendment 1 on the right side column asks for additional $10 million with no additional time to continue planning and

engineering design for 5 projects. crystal springs pipeline 2 reaches 2 and 3, cspl2 reach 5, the regional prestress concrete cylinder pipe pipe line 4 at millbrae and also phase 1 and the palo alto pipeline. significant increase to the contract, but intentional evolution of the work based on criticality and priority. next i'll take you through project updates. this is crystal springs pipeline 2, reaches 2 and 3. we are looking replacement and realignment of 1.5 mile stretch and lining for remaining 4 miles. the second bullet here shows the budget for when the contract was advertised in 2020, versus the budget in the current capital plan. we can see that the capital plan budget increased from 56 million to

$83 million. this pipeline is located in a steep hillside adjacent to crystal springs road up to harry tracey water treatment plant. for 2 reach 5, we are replacing four miles of pipelining, adding new man holes and in-line isolation valve. for pipeline 4, the rehab at millipedes, we are slip lining our pipe at the union pacific railroad crossing. has one track that crosses a pipeline, so that stretch of the pipeline is encaseed and reinforced to withstand the rail car which is a lot heavier then normal cars. uprr has plans to widen their tracks and put a second track across, so we have to extend our casing to

withstand the railroad crossing. that is what is going on there. for bdpl4 phase 1, looking to replace or slip line 10 miles due to lateral spreading, severe ground motion and slope instability. for palo alto pipeline, looking to replace 5.1 miles of 36 inch welded steel pipe and this pipeline experienced spot leaks and in certain locations a very shallow cover. this slide is a very data rich slide. [laughter] it is the same as the earlier slide but adds additional column on the right side for a rough order of magnitude request for perhaps a future capacity as planning and design work

continue on these projects. so, wree anticipate that we will need to find or other means for contracting to do this work, which may be utilize existing as needed contracts for smaller efforts, or for larger efforts likely new rfp, or we could perhaps come back to this commission for a future amendment to pro168b. from a funding perspective as projects move through condition assessment and into planning, and as we learn more, updated scopes and budgets will be taken into consideration in the 10 year capital planning and budget process. with that, i'm available for questions. >> great. thank you. i do have one question that only came to me because i'm-during the course of your presentation. when it didn't come up. in slide 6, which is the csp2 rehab, you just have a line item there

that you mentioned, the capital plan budget increased from 56 $56 million to $82 million over the course of 4 years. could you detail if i thought of this earlier i would have asked for you to be prepared if not, but curious why that increase took place, just as a example of why over the 4 years it goes from 56 to $82.8 million? >> these are assistant general manager steve ritchie facilities, all of them. >> passing the buck? [laughter] >> innocent bystander. >> he is chairing the meeting. do you have a answer? >> i have some idea what happened. generally when we were looking at reach 2 and 3 it is steep hillside up towards harry tracey on the left side so partially this is pipeline is buried in the hillside but the ground

sloughed away and come apart and some of the pipeline is exposed. you can see maybe 25 percent of the pipeline and so when we first planned this out, we didn't have a good condition assessment and walk the hillside and find what was going on, so it was sort of a budgetary number within the capital plan. since then we have done a lot of condition assessment and done surveying in the area so we know a lot more and so with knowing a lot more we are able to better define the project scopes and the number has gone up. >> good afternoon, katie miller, director water capital projeths. i want to add, for these transmission pipeline projects, also between the time this contract was first put out and all the rebudgeting and rescoping that has gone the condition assessment and all that work, we also passed a significant health and safety

procedure that you may recall that is about having double isolation of valves, so workers can go inside the pipe safely and have two valves protecting from water if a valve should fail. we did significantly increase the scope by adding a lot more valves and ways of isolating the pipelines. >> i can summarize to say in 2020 you went in and just sort of looked and got a guesstimate but not deep into it and put it in the capital project and once you looked into it deeper and went with extra valve jz soil assessment you are henting at in 2024, it has gone up close the $30 million more because that? >> yes, that's correct. >> okay. i just. okay. i just wanted that question asked and answered. thank you.

i will not say anything else. commissioner stacey, thank you. >> thank you. my concerns are very similar to president paulson's. it is always very concerning to see this large percentage increase in a contract more then double the original amount and then as we go through and i know we have seen some of these numbers before, but a lot of these projects have significant increases in cost and what i understood from the report and what you just said and what mrs. miller just added was there are- i don't know if unforeseen site conditions, but certainly more in depth understanding of the site conditions, and also increase in scope in some of the work. some of those big project increases are due to those changes, which means that

the engineering technical studies and the support services has to expand as well for these bigger projing ects which is sort that cascadeing effect on the contracts. but, it is important for all of us from a budget perspective, from a rate perspective to stay on top of this constant upward push on some of these projects, but it certainly-the reason for the chaipg change in the project seem important from a safety perspective and seismic safety perspective and to make sure the system can stay in operation and doesn't suffer damages. so, i preciate that. it is just always concerning to see this constant upward movement.

>> commissioner rivera. >> thank you president paulson. so, i just had one question or clarification if you can help me. so, you said initially with the first-when the contract was first written up, staff was tasked with 60 percent of the engineering and 40 percent was go toog the consultant. now with this additional $10 million amendment, what is the percentage? is it still 60/40? >> should still be 60/40. approximately. >> and they are able to complete it in the original amount of time? >> at this point, we think so, yes. part of it was we-i will use beta vision pipeline as a example. this is a phase 1 pipeline. >> can we have the slide, please?

>> beta vision, this is the concrete cylinder pipe rehab. beta vision pipelines runs in the peninsula. what we did here we looked at the more critical areas. areas of steep revenes, stream crossings and very hard to get to, so we want to look at those critical areas first and clear them environmental and go in there and assess that. a lot of the trenchless crossings are very specialized services, see there is a up front loading of consultant work upfront because they do those for tipdle crossings. later in phase 1, we will be looking at pipelines that just run in a right of way fairly flat and that's where the city forces we can take over and do a lot that ourselves. the 60/40 still stands, it is just front loaded.

>> furthermore, when we do our initial estimating or assessment are we uses consultants like sailor to get that down or do we have staff that comes up with these initial assessments because they seem pretty well-- >> you are referring to the contract value? >> correct. a estimate of the work that has to be completed. from $5 million to 55 is significant. >> i think in the beginning we didn't want to come to the commission with a very large value, because we didn't really know what was wrong with the system. if there were problems with the system or we would have a project, so we came with a value that then could allow us to do condition assessment and planning work and now as the project scopes are better defined, we are asking for design and--

>> so, my question was, are we--is puc internally coming up with the estimate or are we using a consultant to do the estimate, because if we use a consultant they are obviously erroneous. is that something we could address? >> i can speak to that. maybe steve robinson can as well. one of the hardest things in capital planning is the initial cost estimate, because you got very little information in many cases, but you need to make sure you put money in the capital budget that is significant enough to pay attention to. that is a real project. as we get into more detail work there more. we can find some way-there are ways to do this, because we have been seeing this issue-this is not a brand new issue. this has been occurring for

years and years and years. cost well above the initial estimate. we could take a different shot at those that just automatically we bump it up more just to account for it and if we are over on some, darn. it will come down a bit. we have to just deal with that issue. steve. >> [indiscernible] for infrastructure. for some project scope or need is fairly well defined we can go into a process in the capital planning phase where we have some level of comfort and based on history that particular facility or work done similar before. confidence what the size of the project is. that gives confidence using industry ratios what design would be or expect construction to be and can work it out. oats others can be iterative and some of the pipes were unknown.

in order to activate the work for us to do the investigation to figure what the need is, we needed to put some amount of money in the capital plan which allowed us amount of contracting to support doing that work for the special ist service. in this case it is iterative contracting approach. there are pros and cons and this is a challenge coming back to say, there is a lot more work that needs to be done even after this amendment that is in front of you today. >> in many cases we consciously just budget for the initial assessment and not for the full construction. we are in that situation with the alameda creek recapture project. we have $5 million budgeted now for planning but we know that project will cost substantially more then that. >> if i can add to that, i started this with my initial question about that one particular line item and i just

want to paraphrase and i didn't do a follow-up question, but thank you commissioner stacey for doing that. my context for asking this is that, every since i have been on the board i have been impressed with the diligence your staff has done no matter what the type of project it is. i think when i first started on board we were opening the calaveras dam and when i was at the ceremony i heard the explanation but see the wall over there, we didn't know how goofed up this was and therefore previously you had gone through extrapieces to make sure it was done right. the one thing you guys are is diligent. you are not just okay, we said it cost a dollar but it cost 2 dollars because you don't want this poisoned or screwed up. there is that piece that is always been knowing about construction and infrastructure work that that stuff always does happen. you get the place-marker and move. this one sort of like got one pipe and

4 years ago 50 grand and now 82. what is going on here? i think it is the rule of us as commissioners that is why this commission exists and why we have this oversight body is to ask those type of questions. that is what we are here for. my question wasn't coming from acquisitions, it was coming from the explanations, because you got a huge budget in a city committed keeping its infrastructure up to snuff and that is very complicated and the teams that are involved in that work very hard at it. but, we will ask you those type of questions i guess is the just of where we are. >> since you mentioned calaveras dam replacement project was a interesting project because that was a great cost estimate and then we got into the construction project and found the unforeseen conditions that had not been discovered during all the investigations, which caused the project cost to double. with the information in hand,

it was a really good cost estimate. >> and this want going to be as i said before, i got you. you didn't take short cuts and were not doing something because it didn't meet budget. you are doing it right and those are the difficult decisions to make and for the most part the taxpayers of san francisco said we want our stuff taken care of and that's what we deal with here in town. okay. any other questions on this commissioners? great. okay. so let's open-thank you very much for the presentation and the back and forth. so, we are on item 10. ms. lennear, can we open up to public comment. >> please raise your hand if you wish to comment on item 10. do we have membersprint present who wish to comment? if so, please approach the microphone at the podium.

seeing none, moderator, any callers with their hand raised? >> there are no callers in the queue. >> thank you. >> public comment is closed on item 10. thank you. commissioners, can we have a motion and second to approve the amendment in number 10? >> move to approve. >> second. >> there is a motion and second. roll call, please. [roll call] >> we have three ayes, the item passes. >> okay. can we read item-thank you. can we read item 11, please? >> item 11, award contract pro0239, new city distribution division campus at 2000 marin construction management staff augmentation services to consor pmcm inc. >> good afternoon commissioners. my name is mario valdez the

contract manager for the construction management bureau. here to share information with you regarding pro239, which is our new city distribution division campus at 2000 marin. so, as you probably know from the agenda, the contract amount is 10 million, 720 thousand 500. we derive the budget based on the positions that we are seeking. the level of effort and the duration of the project. the duration is 4 years. 3 months. the challenge with a contract like this is to award the professional services just as we get ready to hit construction, and we are on track to do that and i can share some that information with you little update where we are with the construction of the project as well. if you have any questions, happy to answer. >> thank you. commissioners, any questions?

commissioner rivera. >> yeah, i just had a specific question regarding refueling of the shop vehicles. are there plans currently for diesel dispenser at the new cdd? >> at that level specificity i don't know. i do know we are building a new fueling station on campus. that is one of the facilities constructed. presumably it would have diesel because i know other existing facilities when we fill up the cars we can fill with diesel. >> right, because i think there existing one at newcom. my question would be, are we looking at potential alternative fuels like hydrogen to install in this new facility looking forward and i think i mentioned this at a meeting before. there's a facility on-i was

going to say army street. it isn't army. it is cesar chavez and folsom and another at sfo, and i'm wondering if that is something that is potential for us to look at as kind of forecasting what alternative vehicles may be out there in the future and i know the army has been testing some of these vehicles with really great success, and you know, i know we use a lot of construction trucks et cetera, dump trucks and it just something i think would be-we would miss not to look into that and look for that potential, because there is a pretty large fueling depot on sell be at the current central shops. probably not even a quarter

mile away,ic so there may be a redundancy of services there. just something to think about little food for thought. >> definitely. i am more then happy to follow up with the project manager or project engineer and are report back if that's preferable. >> okay, any other questions? let us open up item 11 ms. lennear to public comment. >> remote callers, raise your hand if you wish to comment on item 11. do we have members of the public present who wish to provide comment on this item? if so, please approach the microphone located at the podium. seeing none. moderator, are there callers with their hand raised? >> ms. lennear, there are no callers in the queue. >> thank you. >> okay, public comment is closed. can we have a motion to award

contract number 11, please? >> motion to approve item 11. >> second. >> roll call, please. [roll call] >> we have 3 ayes, the item passes. >> thank you. any item 12 is communications. is there information or anything that needs to be talked about? seeing none, item 13. can you read, please? >> item initiated by commissioners. >> commissioners, is there anything you guys want to throw on the calendar or talk about? commissioner stacey. >> i am not initiating anything, i just wanted to thank president paulson and vice president rivera for your service. commissioner rivera, i hope yo come back. i know your seat is yet unspecified, but it has been a pleasure

working with both of you and thank you also to commissioner ajami for your service. it has been a learning process for me and i appreciate everything i learned from you all. ou. commissioner rivera. >> yes, thank you for the kind words. i really appreciate that. very nice of you. i did want to mention that on wednesday i was able to go and see the sfpuc contracting center. it's in the southeast part of the city near the old candlestick part and little hollywood. i had a great great eye opening experience, and it was just really nice to meet a lot of the potential lbe's that will be bidding on our jobs and

micro lbe's, but i just want to thank personally thank mr. steve robinson and also ben pool for facilitating my request, and you know, i met mr. miguel gularza and the guy is a wealth of knowledge. he had so much information-within the first 5 minutes, i thought to myself, this guy could be a professional or consultant in bidding contracts. not only on the local, but there state and federal level. he just unbelievably competent and for him to be there on a wednesday afternoon and talking-helping these young entrepreneurs work wg their businesses how to bid jobs, how to fill out contracts and how to adhere to the city administrative code, it was unbelievable. i had a really great time and

meeting everyone there. i just want to say i think that that is a excellent facility, and just really appreciative and i'm going to come for one of the bbq, and for the graduation ceremony for the current cohort when they graduate, but i would just recommend for anyone on this commission to see that. it was excellent. thank you. >> great. thank you commissioner. okay. anything else commissioners? okay. next item is ms. lennear, can you read the items during closed session? >> yes. item 14 public comment on the matter to be addressed during closed session. closed session item is the gabriel perez versus city and county of san francisco.

>> okay. let's open up item-this item which is to public comment before we go into closed session. any comments on the item that we will hear in public comment? can we open up that up? >> remote callers, raise your hand if you wish to comment on item 14? any members of the public present who wish to comment on this item? if so, please approach the microphone located at the podium. seeing none, moderator, any callers with their hand raised? >> ms. lennear, no callers in the queue. >> thank you. >> public comment on closed association item is now closed. can we get-before we go to close session can i get a motion to assert attorney client privilege? >> motion and segd second.

can we have roll call, please? [roll call] >> we have three ayes, there item passes. we will go into closed session. [meeting reconvened] >> back in open session. i like to announce the commission is recommending that the board approve the settlement referenced in item 16. so, can i get a motion to disclose as to whether to disclose discussion? or take a motion not to disclose discussion during closed session. >> i move not to disclose the discussion. >> second. >> motion and second not to disclose discussion. can i get a roll call, please? [roll call] >> we have three ayes, the item

passes. >> thank you. seeing no more items our commission is now in adjournment. thank you. [meeting adjourned]

>> i sweep sidewalk i clean sidewalks in front of my place. drains get clogged. i adopted the drain. >> they do over flow. hee we had a drain issue a few years ago. our sidewalks like it is part of helping out. it is easy. and an opportunity to check out the neighborhood, my neighbors and that crazy guy that is always weeping the sidewalk and i'm okay with

>> shop and dine in the 49 promotes local businesses, and challenges residents to do their shopping within the 49 square miles of san francisco.

by supporting local services in our neighborhood, we help san francisco remain unique, successful, and vibrant. so where will you shop and dine in the 49? >> i am the owner of this restaurant. we have been here in north beach over 100 years. [speaking foreign language] [♪♪♪] [speaking foreign language] [♪♪♪]

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[♪♪♪]

>> who doesn't love cable cars? charging emissions and we're free which we're proud of you know, it's not much free left in the world anymore so we managed to do that through donations and through our gift shops. you got a real look and real appreciation of what early transit systems are like. this was the transit of the day from about 1875 to about 1893 or later, you know. cable car museum is free, come on in. take a day. come down. rediscover the city. you can spend as time you want and you don't have to make reservations and it's important to be free

because we want them to develop a love for cable cars so they do continue to support whether they live here or other places and people come in and say, yes, i have passed by and heard of this and never come in and they always enjoy themselves. people love cable cars and there's none left in the world so if you want to ride a cable car, you've got to come to san francisco. that what makes the city. without the cable cars, you lose part of that, you know, because people who come here and they love it and they love the history ask they can ride a cable car that has been running since 1888 or 1889. wow! that's something. can't do that with other historical museums. rarely, have i run into anybody from outside who didn't come in and didn't feel better from knowing something about the city. it's a true experience you'll remember. i hope they walk away with a greater appreciation for the history, with the mechanics with people are fascinated by the

winding machine and i hope the appreciation, which is a part of our mission and these young kids will appreciate cable cars and the ones who live here and other places, they can make sure there will always be cable cars in san francisco because once they are gone, they are gone. it's the heartbeat of san francisco that founded the cable and the slot and without the cable cars, yeah, we would lose something in san francisco. we would lose part of its heart and soul. it wouldn't be san francisco without cable cars. [bell ringing]

>> i'm rebecca and i'm a violinist and violin teacher. i was born here in san francisco to a family of cellists, professional cellists, so i grew up surrounded by a bunch of musical rehearsals an lessons. all types of activities happened in my house. i began playing piano when i was 4. i really enjoyed musical activities in general. so when i was 10, i began studying violin in san francisco. and from there, i pretty much never stopped and went on to study in college as well. that's the only thing

i've ever known is to have music playing all the time, whether it is someone actually playing next to you or someone listening to a recording. i think that i actually originally wanted to play flute and we didn't have a flute. it's always been a way of life. i didn't know that it could be any other way. >> could you give me an e over here. great. when you teach and you're seeing a student who has a problem, you have to think on your feet to solve that problem. and that same kind of of thinking that you do to fix it applies to your own practice as well. so if i'm teaching a student and they are having a hard time getting a certain note, they can't find the right note. and i have to think of a digestible way to explain it to them. ee, d, d, e.

>> yes. then, when i go on to do my own practice for a performance, those words are echoing back in my head. okay. why am i missing this? i just told somebody that they needed to do this. maybe i should try the same thing. i feel a lot of pressure when i'm teaching young kids. you might think that there is less pressure if they are going on to study music or in college that it is more relaxing. i actually find that the opposite is true. if i know i'm sending a high school student to some great music program, they're going to get so much more instruction. what i have told them is only the beginning. if i am teaching a student who i know is going to completely change gears when they go to college and they never will pick up a violin again there is so much that i need to tell them. in plain violin, it is so

difficult. there is so much more information to give. every day i think, oh, my gosh. i haven't gotten to this technique or we haven't studies they meese and they have so much more to do. we only have 45 minutes a week. i have taught a few students in some capacity who has gone on to study music. that feels anaysing. >> it is incredible to watch how they grow. somebody can make amazing project from you know, age 15 to 17 if they put their mind to it. >> i think i have 18 students now. these more than i've had in the past. i'm hoping to build up more of a studio. there will be a pee ono, lots of bookshelves and lots of great music. the students will come to my house and take their lessons

there. my schedule changes a lot on a day-to-day basis and that kind of keeps it exciting. think that music is just my favorite thing that there is, whether it's listening to it or playing it or teaching it. all that really matters to me is that i'm surrounded by the sounds, so i'm going top keep doing what i'm doing to keep my life in that direction. job. >> my name is heather i'm an

society engineer start as an interim about the knowing that and after completed my certificates i received my professional engineering licenses and became a an social engineer i work on a chain of multi engineering we work on a plan through conduct and take ownership and are involved from the beginning to the he said end i take a lot of pride. >> where you, you planning on uss this. >> at the top. >> at the top of interference. >> it's regarding i've been given more challenging projects working as a designer on smaller projects to tuvenl managing project i'm a huge go property of getting revolved in jerry, it is a field that month women

don't know about the more educated they'll apply for college i love the professionals and the projects i work with its very