have a [inaudible] eric sandler give you a update. >> president caen, commissioners eric sandler, assistant general manager of business services and chief financial officer of pu crnchlths happy to be before you after a 10 year highates and here with a brief presentation that is a your relural quarterly budget report. the budget report that i'm about to present is a summary of fiscal year 15, recently completed june 30 that needs preodd audit numbers so they haven't been to audit for external audit [inaudible] and the way thais is organized, i have a presentation and there is a memo that provides narrative context on the year and detailed schedules in your package. before i get into the play by play for each enterprise, i thought there were helpful observations that aplayed to all. all thee enterprises experienced reduced revenue as a result of the drought our drought response. we have been able to fully or partially mitigate the revenue reductions through a number of measures that are pretty much one time in nature either one time revenue or one time expense reductions. the good news is th

. >> committee members, eric sandler assistant general manager and of the san francisco puc. and but, the item before you is approval of the issuance of 4.1 million dollars in new clean renewable energy bonds and they are referred to as mcrebs. >> they are essentially a federally, tax advantage for renewable energy projects. and we receive a 70 percent from the federal government and we will yield the cost and the attractive interest cost of about 1.7 percent. >> and the puc has issued ncrebs previously in 2008 and 2012, to fund the solar projects. >> the proceeds of the issuance will fund, two projects one at the marine little school and one at the sf police academy. we received an irs allocation in april and we will send a lender rfp in july of this year and they acted on september the 8th ask we are here before you and the proposed balance will be october, 15th. >> and the requested action is to authorize the issuance of the mcreband to improve the form of the bond documents and the equipment and the direct purchase agreement and the filing agreement. >> i am happy to answ

. >> committee members, eric sandler assistant general manager and of the san francisco puc.nd but, the item before you is approval of the issuance of 4.1 million dollars in new clean renewable energy bonds and they are referred to as mcrebs. >> they are essentially a federally, tax advantage for renewable energy projects. and we receive a 70 percent from the federal government and we will yield the cost and the attractive interest cost of about 1.7 percent. >> and the puc has issued ncrebs previously in 2008 and 2012, to fund the solar projects. >> the proceeds of the issuance will fund, two projects one at the marine little school and one at the sf police academy. we received an irs allocation in april and we will send a lender rfp in july of this year and they acted on september the 8th ask we are here before you and the proposed balance will be october, 15th. >> and the requested action is to authorize the issuance of the mcreband to improve the form of the bond documents and the equipment and the direct purchase agreement and the filing agreement. >> i am happy to answer

. >> eric sandler chief financial officer at sf puc. as you have a long term business you have a business plan which include your business strategies and risk analysis and so you know whether you are exposeing the rest of the power enterprise to risk and if you are what they are. recently the power enterprise entered into with bond holders that have an installation between between the power enterprise financials and cca. so it's important for bond holders from power enterprise to understand what the risk are of the cca and what they might contribute to the underlying power and enterprise. so your sense is that risk analysis and assessment we need to get a more complete business plan in place rather than just that risk assessment as it relates to the cca. >> you need to clearly identify what the business is and what the approach is and with a -- what the structure is and do an analysis based on that clearly defined enterprise. >> is there timing on that would be, how long would that take? >> i think the timing on it, we are working on th

. >> committee members, eric sandler assistant general manager and of the san francisco puc. and but, the item before you is approval of the issuance of 4.1 million dollars in new clean renewable energy bonds and they are referred to as mcrebs. >> they are essentially a federally, tax advantage for renewable energy projects. and we receive a 70 percent from the federal government and we will yield the cost and the attractive interest cost of about 1.7 percent. >> and the puc has issued ncrebs previously in 2008 and 2012, to fund the solar projects. >> the proceeds of the issuance will fund, two projects one at the marine little school and one at the sf police academy. we received an irs allocation in april and we will send a lender rfp in july of this year and they acted on september the 8th ask we are here before you and the proposed balance will be october, 15th. >> and the requested action is to authorize the issuance of the mcreband to improve the form of the bond documents and the equipment and the direct purchase agreement and the filing agreement. >> i am happy to answ

. >> eric sandler chief financial officer at sf puc. as you have a long term business you have a business plan which include your business strategies and risk analysis and so you know whether you are exposeing the rest of the power enterprise to risk and if you are what they are. recently the power enterprise entered into with bond holders that have an installation between between the power enterprise financials and cca. so it's important for bond holders from power enterprise to understand what the risk are of the cca and what they might contribute to the underlying power and enterprise. so your sense is that risk analysis and assessment we need to get a more complete business plan in place rather than just that risk assessment as it relates to the cca. >> you need to clearly identify what the business is and what the approach is and with a -- what the structure is and do an analysis based on that clearly defined enterprise. >> is there timing on that would be, how long would that take? >> i think the timing on it, we are working on th

there's a little we'll role with that commissioner courtney and commissioners eric sandler assistant general manager and cfo i have a brief presentation here foyer you to kickoff the bio annual budget process so i have the agenda here the first 3 items to provide context for understanding how our venue budget fits in the planning activity and next item relatives to the considerations that are important for this particular bio annual budget period when i have here is the puc has a very integrated framework driven by commission policy the first to items as a capital doesn't even agency cpa capital planning is sdament involved with the planning so we have the first two items are planning efforts that are long term in nature the 10 year capital plan and financial plan they provide the long term visibility for the capital investment rates and charges trends so those plans to look into the long term future the next two items the operating budget and capital budget those really based on the long term plan they set the stage for the next two years are that finally a number of rates and chart

there's a little we'll role with that commissioner courtney and commissioners eric sandler assistant general manager and cfo i have a brief presentation here foyer you to kickoff the bio annual budget process so i have the agenda here the first 3 items to provide context for understanding how our venue budget fits in the planning activity and next item relatives to the considerations that are important for this particular bio annual budget period when i have here is the puc has a very integrated framework driven by commission policy the first to items as a capital doesn't even agency cpa capital planning is sdament involved with the planning so we have the first two items are planning efforts that are long term in nature the 10 year capital plan and financial plan they provide the long term visibility for the capital investment rates and charges trends so those plans to look into the long term future the next two items the operating budget and capital budget those really based on the long term plan they set the stage for the next two years are that finally a number of rates and chart

. >> eric sandler chief financial officer at sf puc. as you have a long term business you have a business plan which include your business strategies and risk analysis and so you know whether you are exposeing the rest of the power enterprise to risk and if you are what they are. recently the power enterprise entered into with bond holders that have an installation between between the power enterprise financials and cca. so it's important for bond holders from power enterprise to understand what the risk are of the cca and what they might contribute to the underlying power and enterprise. so your sense is that risk analysis and assessment we need to get a more complete business plan in place rather than just that risk assessment as it relates to the cca. >> you need to clearly identify what the business is and what the approach is and with a -- what the structure is and do an analysis based on that clearly defined enterprise. >> is there timing on that would be, how long would that take? >> i think the timing on it, we are working on th

there's a little we'll role with that commissioner courtney and commissioners eric sandler assistantneral manager and cfo i have a brief presentation here foyer you to kickoff the bio annual budget process so i have the agenda here the first 3 items to provide context for understanding how our venue budget fits in the planning activity and next item relatives to the considerations that are important for this particular bio annual budget period when i have here is the puc has a very integrated framework driven by commission policy the first to items as a capital doesn't even agency cpa capital planning is sdament involved with the planning so we have the first two items are planning efforts that are long term in nature the 10 year capital plan and financial plan they provide the long term visibility for the capital investment rates and charges trends so those plans to look into the long term future the next two items the operating budget and capital budget those really based on the long term plan they set the stage for the next two years are that finally a number of rates and charts a

there's a little we'll role with that commissioner courtney and commissioners eric sandler assistant general manager and cfo i have a brief presentation here foyer you to kickoff the bio annual budget process so i have the agenda here the first 3 items to provide context for understanding how our venue budget fits in the planning activity and next item relatives to the considerations that are important for this particular bio annual budget period when i have here is the puc has a very integrated framework driven by commission policy the first to items as a capital doesn't even agency cpa capital planning is sdament involved with the planning so we have the first two items are planning efforts that are long term in nature the 10 year capital plan and financial plan they provide the long term visibility for the capital investment rates and charges trends so those plans to look into the long term future the next two items the operating budget and capital budget those really based on the long term plan they set the stage for the next two years are that finally a number of rates and chart

there's a little we'll role with that commissioner courtney and commissioners eric sandler assistant general manager and cfo i have a brief presentation here foyer you to kickoff the bio annual budget process so i have the agenda here the first 3 items to provide context for understanding how our venue budget fits in the planning activity and next item relatives to the considerations that are important for this particular bio annual budget period when i have here is the puc has a very integrated framework driven by commission policy the first to items as a capital doesn't even agency cpa capital planning is sdament involved with the planning so we have the first two items are planning efforts that are long term in nature the 10 year capital plan and financial plan they provide the long term visibility for the capital investment rates and charges trends so those plans to look into the long term future the next two items the operating budget and capital budget those really based on the long term plan they set the stage for the next two years are that finally a number of rates and chart