ms. hale thank you for your presentation. if there are no other questions we can go on to ms. miller. >> i will add on to what was reported on there are continued meeting with the sfpuc staff and the stakeholders and meetings with the technical review process which is a peer review process and those meetings have been interim. as you expect there is some level of discussion about how -- i call it phase two, but the local build out is going to occur, when it's going to occur, how it will be funded, the timing of that, and the siewnchs made under the model and those are not always discussions. first of all just to try to get to understand where we are, and second what is needed to move forward so i wanted to let you know those are ongoing. i think they have been productive. i think while there is some difficulty in those that at least your lafco's staff has pledged to see if we can figure out a common path to get the recommendation before you as soon as possible. i just wanted to bring that to your attention. thanks. >> great thank you. commissioner campos, we talked about joini

years suggests that we may not have in the current year firm power and that is a key issue and so ms. hale who knows this better than i do the seasonality and the if i rememberness of how much is available when, when we can bank through the year and buy more expensive during the none run off period matters a lot. and so mr. moran races a good point if you bring up the most average and cost effective which hetchy is the most cost effective in california and it's an amazing system but i can't tell you it's firm for the next ten or 20 years and you will see that in one of the slides in the consumptions is that ap i has assumed that we have relatively standard prices and relatively affordable hetchy and that it's form year after year and that is a risk had a i can't mitigate away without collateral or or reserves. >> and typically what we do on that is we have a farming contract that says, where hetchy cannot meet the load. somebody else will and we can lock in the price for that. >>> that is typically always more expensive and so in the last ten-seven years, we typically had to buy at six to

i want to thank puc and ms. hale for your presentation. thank you very much and i really appreciate the work that has been put together in developing the framework for outreach. i actually really believe that we need to move forward quickly as a city. i want to make sure we're successful in the program. while we don't have all the details of the early notification and education plan there, the framework is clear and i think it's a good starting point to move forward for the city and i believe that while we have had comments about talking about caution i think they're well meaning how to have a successful program but i think the success of the program is that we roll out quickly with the notification and the education plan. that's going to be most meaningful. i also want to make sure that we're really clear that the effort is really working in the deep green areas first and foremost where we know a particular target audience is for the message and we know how to craft that message for them as well. i think that is going to be significant. w

. >> ms. hale could you elaborate about the code of conduct? what are the elements of that?uld summarize what is before the puc with that? >> i can and we have city attorney here who is also familiar with this and perhaps could fill in some of the gaps for me. the code of conduct largely came out of the -- the law that created the code of conduct requirement came out of the experience that pg&e and marin energy had when marin energy launched its program so the code of conduct puts certain restrictions on both parties, the utility, in our case pg&e and on us as a cca. broadly speaking it prohibits either party from misleading customers. it requires that any expenditures that pg&e incurs to actively market against the program cannot be reimbursed by rate payers and shared by shareholders. it allows pg&e to answer questions and educate about their program and how it compares to our program. it requires both parties to work with the california public utilities commission public advisor's office to create a comparison document that would be made able by all parties on the two pro

. >> yes ms. hale i wanted to go along the comments by the current chair and supervisor olague as well. part of the challenge we with with the stem cell industry is put in plain language the consent form and one of those experiences that we just had was with a young lady, who i can talk about now because she went public, one of the spinal cord injuries in the stem cell trial was that the medical language was so complex in the consent form that it needed to be improved so someone couldn't come back later and say "this patient was under emotional distress and of course they choose to because they didn't know what the consequences and side effects are" and this is not as serious as that, but

more storage capacity up at hetchy, i can't testimony you that and tell you that and i'll defer to ms. hale. may be you can address this somewhat briefly because we want to move on from this item and can you tell us and especially our last co commissioners proposition about the h bonds? it's a long question for a short answer but how are you proposing to pay for the local build out. >> we plops that h bonds be used for potentially the whole build out consisting of two major categorize of bonds one being taxable bonds and those would be for private benefit on commercial buildings but then, tax exempt bonds for p uc owned generator and is that would include the wind farm and other large generation in the city and so this approach was confirmed by pea body and l.a. s c o year ago and the use for taxable bonds is legal and there is no basis as far as i have ever heard that it's illegal to issue revenue bonds that are taxable and it comes down to whether they are taxable and in this case we have divide them accordingly and we also think there is a role for tax equity, investment in this program