the impact -- the puc employ good project management practices on these projects and the puc has reestablished its cmis users group. and just for note, for 11-12, we are already in the progress of planning our audit with the puc. a couple that have been noted is the asset management performance audit that we are considering and another audit of the water system improvement. we are completed. thank you very much. supervisor campos: thank you very much for your presentation. colleagues, i do not know if you have any questions for the comptroller -- controller's office. why don't we let the puc provide additional comments. we know you are working with the comptroller -- controller's office. >> i would like to point out our gratitude to the office and the city services auditor. city services auditor. this speaks well for the city

the puc sets it could modify the terms for an annual reconciliation if the lease rates to be modified for other reasons. the sfpuc has proposed a staffing reorganization of the real estate services division, which has been approved in the budget. originally, the organization was overseen by external affairs, and it has been proposed to be overseen by the general manager's office of puc. our next audit was -- supervisor campos: before you move, one of the things that struck me in the report on this audit was that on page seven, you indicate that while sunol retain most of the records necessary for the audit, it did not retain some supporting documentation for its revenues. in light of that, i'm wondering how complete is the information that we have? to be able to know that we are getting from sunol everything we are supposed to be getting, we have to have the documentation as complete as possible. given that some documentation was not retained by them, i'm wondering what your level of comfort

currently, the puc requirement the puc retain access read, which causes them to maintain accounting that carries over each year. rather than at the end of each annual year doing the final reconciliation and then releasing the credit backed, it is carried through the term of the lease. we recommended that puc modify the lease sell an annual two level reconciliation of brent occurs each year so that a red settlement is made each year -- a bent -- a rent supplement is made each year. puc should require sunol and crystal springs to submit annual reports timely. supervisor campos: if i could do a follow-up on that -- in your performance audit, was there a reason why this was not being done? was it a lack of understanding of what the requirements of the lease were? >> [inaudible] supervisor campos: you mentioned some deficiencies, not collecting some of the late payments. >> [inaudible] >> hello, supervisors. i'm the audit manager of these two audits and another one coming up. what i can tell you is that there are several deficiencies we are talking about that the puc did not do. looking back

protect the puc in case we discover critical i.t. system weaknesses we would not want to reveal to the public. finally, csa will have a fourth audit this year on another query i, which will be the santa clara gravel and sand lease on it, and this will be completed in fiscal year 2012. i will discuss the findings, recommendations, and in fact, and i would like to note that overallnotecsa has found that the puc facilitates the audit process well, is receptive to the findings, and that in general, the view the findings as opportunities for improvement. for sunol and crystal springs golf course, we conducted two separate compliance management audits, and our objective was to determine whether sunol and crystal springs golf courses properly paid men and whether the puc adequately managed the leases -- whether they properly paid rent. both sunol and crystal springs submitted rent payments late, but sfpuc did not assess or collect late charges totaling $77,320. they did not assess or collect late charges from sunol totaling $5,000 and from

the puc ownsis

however, puc recognizes there are some coordination actions. we have developed a settlement agreement to address those concerns. supervisor chu: thank you. let's go to the budget analyst report. >> madam chair, members of the committee, towards the bottom of page 6 of the report, we note the $6 million in construction related costs detailed in table 3 -- again on page 6 of the report -- subject to approval of the proposed settlement agreement, the puc anticipates expanding a total of $2.5 million on that settlement agreement. that is between the puc and east bay regional park district. on page 9 of our report, we note the board of supervisors could continue the requested release of reserved funds until after the puc received construction bids for the calaveras dam replacement project, which are currently due on april 1, 2011. however, having said that, continuing the subject could result in delays to the project, due to the construction-related activities which i just mentioned, listed on page 6 of the report, totaling $6.9 million. that must b

sfpuc's investing in our community including a new web page and ways to talk about how people see the puc. we have asked mr. jue to talk about that. >> thank you. i'm very excited to be here. what we're asking the commission for today is feedback. there is no formal action to be taken. it is just a new look and feel for the agency. on the agenda -- i will send this over. we have some long-term strategies. the reason we chose to the branding effort now -- and also how we structure of this to be a low-cost transition. and then i will take the back and questions. our priorities are about establishing credibility with both the public and our internal staff. we do that by providing opportunities for engagement, for awareness. whether we're doing our newsletter, talking to the commission, we tried to focus on our message to people and what those messages far. this correlates to the sustainability plan. we are trying to present ourselves as high-quality, dependable services. we are doing so in a way that is transparent. we are all part of the process early on. and moving along to our training pa

but again, as far as implications they're seeing for the puc, they think we should be watching -- some of them will be going to that d.c. area to meet with our bay area folks as well as the department's we interface with most like epa and others. when we come back at the end of april, we will have a better sense of what we're hearing directly from the departments in d.c. and our legislative allies and be able to report back what we're seeing at the state level because that will be progressing quicker at that point as well as with some of our -- as well as what some of our priorities are at the local level as well as policies to partner with the board of supervisors to move to. president vietor: i have one request for next month's update and that would be on the redevelopment agency situation, specifically as it relates to the puc's projects and what that might mean. >> in line with that, we are scheduling a discussion of treasure island of this commission meeting and we are asked to postpone that because of the uncertainty with redevelopment. >> we could have available frank blackwell

for example, when i started with the puc, i was temporary. back then, there were some people who stayed their entire 25-year career and never became employees. typically, many, many employees were involved, like bus drivers or custodians, and when there were smaller numbers, they just hired them. once he became a permanent employee, you could buy back the time -- once you became a permanent employee, so i could start buying back my seven years. the civil service list, i was not eligible for being in the retirement plan for those seven years. in the 1990's, the world's changed. we were then told that we should not have -- the rules changed. anybody after six months went into the retirement system, so there are thousands of employees who have been buying back their time since then, because they were not eligible originally for that time, and they can buy it back for appropriate work. they had done the work. they just were not eligible to buy it back. some were originally not eligible. that was changed in 2001, and so, it did not give them any a

i have a question for the puc, please. i would like to get a better understanding of what i have been reading and hearing in the press. that the outgoing administration is talking about how the city is going to convert to 100% renewable in the next 5-10 years. nowhere in that statement do i hear cca. can someone explain the strategy of how we are going to get to 100% grenoble -- renewable? >> the former mayor made a statement in november, and interest of pursuing a 100% renewable san francisco. they have formed a task force. members of the staff set as advisers to the task force. they have been invited to set as advisers to the task force. i think the work is just getting under way as to how to accomplish that lofty goal. supervisor mirkarimi: the operative word is lofty. i wonder if there are city departments interfacing for the specific goal. does this imply that they are ready to undertake a public power campaign? something that wholesale converts? we are talking about a drop in the ocean compared to a goal that mayor n

it was either say, and not done, make it go away, it was a long time subject of discussion at the puc. commissioner courtney: i just saw this as a of waste of personnel and resources that we could have used to educate the public instead of working on our letterhead. [laughter] >> i was hoping the tragedy of runyon and juliet would not come into play. -- romeo and juliet would not come into play. there is also an additional effort that it takes to educate the public. commissioner courtney: my point is, that is your responsibility and that responsibility should be utilized by the staff. a lot of people do not know what we do, and rightly so. if we change the letterhead on a state department, a state agency -- have a different card. it does not make sense. i would expect a better utilization of our resources. president vietor: commissioner courtney? commissioner courtney: i am looking at page 11, and i really like orange. i am not sure what color that is. the power part. but it is not too late

for example, puc's lessee compliance -- complying with terms of the lease. examples are operations, processes, and controls to make sure the lease is being properly managed, that the city is receiving funds owed, and that the risk is being managed. management audits look beyond the comparison with lease terms and include taking into account economies and efficiencies. construction audits are a mix of compliance audits, management audits, and benchmarking in comparison to industry standards, best practices, and construction management. as i stated earlier, our non- audit services can include whistleblower investigations. due to confidentiality, we do not provide those details to the public. and most other types of non- audit services also have internal memorandums for internal support. in addition to the audits that have already had three audits in process scheduled to be issued for this year. in particular, the cast-received audit is part of our city-wide risk assessment with the controller's office is conducting its views of various departments. internal me

delineating and identifying the services we provide with the icon -- taking elements of our existing puc lobo to aid in continuity. you see the lightning bolt and the raindrop. umass them all together and really -- you mash them all together and really identify this as an icon that illustrates very clearly what services we provide. i have this next slide. we are talking about a identifying the services that are provided by the san francisco public utilities commission. you see the services of the sentences the public utilities commission. and we developed some treatment on the back of these business cards. the operator of the hetch hetchy water system. and we've combined the is to find opportunities to learn from. -- and we have combined these to find opportunities to learn from. for our in-city customers, their needs are a little different. so, what we are proposing is a regional business card look, outlining the hetch hetchy water system again, the san francisco public utilities commission. and then, we have space for our regional emergency number. for example -- the 24-hour hot line.

i think it was you, commissioner, when you worked for puc, i

first electric resource plan, an ordinance that made both the department of the environment and the puc -- which was adopted in 2002. since then, we have been encouraging either side or all sides to keep it up. things have changed. the recommendations that were made in 2002 were in some ways very aggressive and in some ways were not, and for the most part, i think it had to do with that we gain a lot of knowledge as we move through life, and, certainly, at this point, this report is not a directive, per se. it is an outline. it identifies so many challenges and gives a so many potential solutions -- and did so many potential solutions that it affects the board of sups and others. we do have a new rule that says major buildings have to be reviewed by either -- a different type of examination according to the top of power that we use. the previous gentleman was mentioning about how steam loops are a bad thing, and in the traditional fashion, they probably are. an apartment or units or development, instead of a traditional water boiler, a steam heater, whatever, yes, you are burning fossil

much work has been done in his administration, for our major departments that do construction work, puc, dpw, mta, and airport, and have done so under the work of niel mckelly, who is now in the -- i'm going to get it wrong -- office of workforce development? the administrator's office. i'm embarrassed. [laughter] actually, being embarrassed is part of this job, actually. being embarrassed all the time. it is part and parcel all the time. so i want to thank you for all the work you have done. there have been a lot of outside discussions i had been part of. some concerns have come from business leaders, unions, and community members of our the local fire ordinance. there has been a great deal of support, a lot of questions that have been raised. also a lot of questions that have been raised by people from san the tail county in particular about the implementation of how legislation would be affecting residents in san the sale county. i think there has been a lot of disinformation people in san mateo county have had. many elected officials have seen this as having a negative impact on res