Business plan is that right now for new facilities, distribution, stuff that we cant fund through Revenue Bonds, we have to pay cash. And so this gives us a vehicle to debt finance using our revenue. And so we are unable to do that on any new facilities. So, that was the thinking of trying to make the power enterprise. We always had the ability for clean power, not cleanpowersf, but clean power, we have that authority already. But as barbara and they have said, we are separating the business units, or we have hechi and we want clean power to stand on its own. So we started having clean power, you know, at a really relied on the power enterprise and initiation or the start, but now we have it where its true and not codependent, so we want to continue that. Right. I understand that. I just was surprised to first learn about the power Revenue Bonds charter amendment, you know, at a board meeting, frankly. This is the first ive had it explained. I approach appreciate it. I have a number of questions. So, basically this is a line of credit. Yes. In simple terms. Im fuzzy on the Agreement Terms and one area the where am i here the line of credit, i dont mean the line of credit where just a sec. Oh, the debt service ratios. Why is it lower, why is it than our other enterprises . Right. Because we wanted the maximum flexibility that we could have for compare. And then for the l. O. C. Fees, with the range of the percentages, 1. 85, how does that coexist with the Debt Service Coverage . Ok. So, depending on the Debt Service Coverage, so, lets say we are in the middle of this agreement and barbara and mike come to me and say eric, we have a great opportunity to procure power at a low cost but they want a letter of credit to back up the commitments under the agreement, which is not uncommon. I would say ok, let me look at our financial statements, let me look at what our Debt Service Coverage ratio is, and if its above 1. 50 we get the best terms under the agreement and we pay j. P. Morgan 1. 85 to issue that letter of credit. If our ratio is below that, if its between 125 and 150, we pay a little more. If its above 120, we pay the higher rate. Ok. So, is that the Debt Service Coverage in the we dont have that for clean power. So that would be the power enterprise. Its actually clean power. Thats a very good question. So, for the purposes of the agreement, any outstanding credit as well as the loan to the power enterprise are considered debt service, thats whats being compared to the net revenues. Ok. Uhhuh. And getting back to the basic loan from the power enterprise, has clean power paid that back . Theres a schedule of repayment and clean power has made the payments on schedule. And thats over how many years . Its a fiveyear loan. Thank you. I have one more question. Trigger and what is the estimate time you think clean power will have its own rating . A track record of operations, a track record of c. C. A. S growing and being successful, a number of them have approached Credit Rating agencies to receive Credit Ratings. We have talked to a number of agencies as well. They are working their arms around how to rate these entities. I cant give you an exact answer. What i can say is the terms and conditions of this particular agreement are consistent with an investment rated enterprise. So, if we operate in these parameters, it will enhance our ability to secure ultimately an Investment Grade rating. Thank you. I think we had a motion and second. Some discussion. Any Public Comment on this item . Hello, 350 bay area. Thanks to mr. Sandler, mr. Heinz, ms. Hale and their work. To commissioner vietors point and the discussion that happened, we definitely want cleanpowersf to have its own Credit Rating so we can use the existing authority to issue Revenue Bonds versus general Obligation Bonds to build stuff, Energy Infrastructure that we keep talking about over and over. So, anything that we can do to get that Credit Rating, which we definitely made very clear to staff, we are supportive of and to the extent that this holding to this for a year or two might get it done, we really need that Credit Rating. The power enterprise does not want to take the weight cleanpowersf to the commission and the advocates have had for many, many, many years now. I think the question which hopefully could get elaborated a little more now is how the cash reserve covenant that was mentioned will impact local buildout. I know in the i cant remember the name of the financial document but kind of the allocation of revenues Going Forward through i think 2022 that we had originally seen maybe last year, i know that investment in what was called supergreen projects or local build was starting i think in 2020, and we raised a bunch of heck about that at the time how we needed to get started sooner than that, based on what i just saw. It looks like the accumulation of reserves might go well beyond that, and this covenant through the early 2020s unless i would assume that excess revenue could not be diverted to such projects until after that. So, if it pleases the commission, i would think that its useful to, to discuss how this financial agreement will impact our ability to, will positively impact our ability to build our credit worthiness, but negatively impact our timeline. Thank you. We did not have a motion or second, so can we have one, please . So moved. Second. Any other Public Comment . All in favor . Aye. Opposed . Next item, please. Item 12, approve a plans and specifications and work contract number wd23 2838 for amount not to exceed 5,965,300, for e the good afternoon, president kwon, commissioners. This item is before you because we have only received one bid for this construction contract, this contract is to address taste and odor issues at sunol Treatment Plant from local water sources. If we have negotiated with the contractor, and its still roughly 10 over the engineers revised engineer estimate. We will continue to negotiate, if the Commission Approves this item, we do need, we actually received five contractors picked up packages. One of the contractors, one contract in sunol valley for the system, another contractor chose to bid on moccasin project, and the other contractors were nonl. B. E. And did not choose to participate. If we went out to bid again, i dont think we would get additional bidders. This project is also Time Critical because we have scheduled mountain tunnel shutdown for january 2019, and so we would need to get this construction substantially complete before we could do mountain tunnel shutdown for additional repairs. Ill move the item. Second. Thank you. Discussion, commissioners. I have a question. Why is there such a vast difference between the original engineers bid and the revised . To be honest, the consultants estimator made a mistake and left out several items. Any Public Comment on this item . Ok, lets vote. All in favor . Aye, opposed, next item, please. Item 13, discussion and possible action to authorize the general manager to consent on behalf to the Development Agreement between the city and county of San Francisco seawall lot as i relates to the matters under the jurisdiction, consent to the mission rock project Interagency Agreement and seawall and monitoring and reporting program. Good afternoon, deputy general manager. Title speaks for itself. Another Development Agreement. This is mission rock, giants, across from the stadium. Its been in the works quite a while and we would like permission to sign a Development Agreement. Ill move the item. Second. Discussion, commissioners . Any Public Comment . All in favor, aye. Opposed . Oh, Public Comment . We have time. Now we are all looking at you, all right. No Public Comment . All right. All in favor, aye. Opposed, moving on to closed session. Read items prior to calling Public Comment. We will hear item 16, anticipated litigation as plaintiff. Would you like to call for Public Comment . Yes, Public Comment. For matters to be discussed during closed session. Do we have anyone . Ok. We have a motion on whether to assert Attorney Client privilege regarding the matters listed below as conference with Legal Counsel. Clarify item 17 is not being heard under closed session, so only, you are entering closed session only for item 16. Item 17 is not being heard. Move to assert. Second. All in favor . Aye. Opposed . All right. Motion not to disclose. Aye. Ok. Next item is item 20. Other new business. Anything, commissioners . I would just like to bring up something, it would be nice to have our, our screens working again. Yes, it would. What do we have to do to make that happen . A hammer. From my understanding, i think the equipment is old and its hard to get parts, and i think they are scheduled to put new systems in, but i dont know when. I can check. I can relate to the comments about being old. Replacement parts are hard to come by. Can i make a request . Can we prepare a save the date for the Second Annual golden pride event . Can we do that . Because still, i was speaking with colleagues, and they did not have it calendared. What is the date . Second part of my twopart question. Oh, sorry. I think its may. Right . But if we could get a save the date to distribute that, it would be kind of awesome. The monday before memorial day. I would have that information, im going up country to moccasin and talk about the golden pride award in the event, and so, did you go to c. D. D. . Im doing that tomorrow. So by tomorrow you will have because, but yeah, i think we should send out save the dates but while you are up there, i think we should hand stuff out, because a lot of folks dont receive email. My hope is we will receive some branding, if you have a conversation on some low go and, but when i was speaking with some of my colleagues, we did not have it calendared. My hope is well have a save the date distributed and hard cope and electronic, as a formal commission. If theres no objection. Nope. No, good idea. Perfect. And tomorrow we are tabling it, i think. Yes. Golden pride. Are you going to be with me at c. D. D. . I think you are in a different location. I think im in southeast. I know. C. D. D. You are going to c. D. D. , im going to moccasin, and just came from millbray today. Ok. Go where we are told. Any other new business . Thank you for your service. My pleasure. Any other new business, commissioners . Nothing else . Public comments . Public comment. Ok. This meeting is adjourned. Thank you very much for your time, everyone. So move. Second. In all favour . S aye. Opposed . Item three Public Comment and executive session. Any Public Comment . Seeing none. Ok. Executive session. May i have a motion . So move. Second. All in favour . Aye. Great. Executive session with Legal Counsel [inaudible]. I make a motion i move that we not discuss closed session. Second. All in favour . Aye. Ok. Pledge of allegiance. I pledge of allegiance to the flag, of the United States of america, and to the republic for which it stands, one nation, under god, indivisible with liberty and justice for all. Please be advised that the ringing of and use of cell phones and other Electronic Devices are prohibited at this meeting. Please be advised that the chair may order the removal from the meeting room of any persons responsible for the ringing of or use of a cell phone, pager or other similar soundproducing electronic device. Please be advised that a member of the public has up to three minutes to make pertinent Public Comments on each agenda item unless the Port Commission adopts a shorter period on any item. Item eight, Public Comment on items not listed on the agenda. Is there any Public Comment . Ok. Item nine, executive directors report. Good afternoon, president brandon, Vice President adams, members of the commission, members of the public and port staff. Im Elaine Forbes, the executive director. And today before we get into what is a really exciting agenda today, i would like to announce our own allstars at the port who wons the employee of the year. Every year we hold an event. We call it the breakfast of champions. And we did it this year on january 17. And this is a peerled Award Programme where managers, sub ordinants, supervisors nominate and eligible port employees evaluate and select. So every division has an employee of the year and we also have teams of the year. So just to announce all of our winners, Kerry Anne Joseph is our winner from the finance and administrative division. He is a key accountant on staff. He is koch tent. He is competent, he is behind the scenes and he is quite excellent in the work he produces. Hes had a big task with the city moving its Financial System to new Financial System and he has been on the front lines in making sure that works for our port organization. So, congratulationss to curian. Theres photographs up so of some of the winners. The Maintenance Division winner is alex chung. Alex is considered a favourite among the crass. He is somebody who helps them get through their work. He is constantly helping all the crews, whether it be the wharf crew, the laborers, the gardeners with barricades, fence panels, the plumbing shop, the iron shop. He has a cando at tuesdayer and is a friend of all. Congratulations to alex chung. In the maritime division, mike is up there. Mike nernie won this year in maritime. Mike has overseen the cruise industrys growth to record levels and very stable levels. He was recently elected as an officer of the cruise the west organization, important Cruise Association representing cruise ports from vancouver to ensenada. He is the host of many port events. Mike is wellrespected for his work with the u. S. Navy, coast guard and is the face of the port at numerous diplomatic and civic events. Congratulations to him. From the planning and environment division, the award goes to carol bach who is pictured up there. Carol was an instrumental part of the waterfront land use update team which you will be hearing about at the next agenda. She cochaired the resiliency subcommittee, which had six Public Meetings and hundreds of Public Comments for over 10 months. She has secured numerous grants for us, and competed in multiyear, multimillion dollar brownfield investigation and remediation and with a key component and partner in the pier 71 work. She is involved in the eco centre as a seawall Resiliency Team and shes lead negotiation to clean up many contaminated sites. Carol has made quite a mark here and so congratulations to her. In the real estate division, Kimberly Beal is a dedicated property manager who protects the interest of the port every sing day. She is very meticulous and pays attention to detail and is an excellent communicator. She is new and has made a mark on the real estate team. Congratulationss to kimberly. And two of the the executive Division Award was really from the port staff to our city attorneys. With kylene mali being the head of the team. Port staff gave the award to our city attorneys. Arlene leaves a highly effective, small team of lawyers who have completed volumous documents for pier 70, and for the mission rock project that you will see today. We really couldnt be rehabilitating and providing new neighbourhoods without the skillset of our attorneys and they have really allowed us to create the thriving neighbourhoods that are planned. They are tenacious. They are hard working. I dont even want to tell you about all the hours theyve billed this year. But they are tremendous value to us and they have very strong integrity, smarts and endless stamina. Congratulationss to the legal team. Ok. We have an award called above and beyond, which is really not about port work, but a port employee who does something above and beyond for either his community or the community. And this year staff nominated edmond lucia. He has taken on work with children and is a surrogate father to a relatives sofnlt hes generous and collaborative and sharing his knowledge and expertise and he is a standout person in assuming his duties in the community and in his family. So his coworkers wanted to honour him. That is not edmond up there taking the award. That is dan mcguire, an iron works supervisor accepting the award on his behalf. Congratulations, edmond. And then we have our manager of the year and that went to meghan wallace. That is new award and meghans employees, not just one, put in an award for her and asking her to honour the abilities to motivate the team, to really provide excellen