All right. So, were good. Item number three, approval of the minutes. Wi aer going to approve four sets of minutes today. The prebudget hearing january 18, 25 and february 1 and the january 23rd regular meeting. Do we have a motion to approve these minutes . Move to approve all of them. Second. Any discussion, commissioners . Any punt comment . Ok. All in favour . Aye. Opposed . Approved. Item number four is where members of the public can address the commission on matters that are within the matter of jurisdiction and are not on todays agenda. Do we have any Public Comment . For general Public Comment . Yes, please. Hello, everyone. Im name is bonnie, may i have the overhead, please . Im here to talk about the islay creek watershed, flood mitt investigation, opportunities, Climate Change, and the triple bottom line. And here we are upstream at the School District, the lshaped piece of land which is under that black [laughter] you cant see it because its under that black. Ok. Right here. This is a School District property of two high schools, a middle school, an Early Education school. And my organization has been working at the site since the mid 1990s. Weve just secured a 633. 3k grant to redo a portion of seneca avenue and i want to talk to you about that because this is directly in the flood zone, the overflowing sewer at the end of cayuga avenue. Were talking about seneca between the end of san jose avenue and cayuga. And i want to look at this mid zone of the watershed which is where the extreme flooding is at cayuga, which is at the convergence of the part of the creek that comes down from glen park and the other part that leads into the cayuga valley and that is why there is all this flooding there. And the opportunity there where there is quite a bit of open space land behind some of the houses to develop an islay creek watershed Confluence Community park. And then further downstream in the interchange where there is a great deal of open space is the opportunity to create an islay creek watershed Southern Gateway community park. And then the chavez at 101 creates an opportunity to create the northern Gateway Community park that really represents and expresses and calls attention to the value of the watershed. And we talk about triple bottom line, we are talking about improving the quality of life, making areas safe and accessible, community and school education, green skills job training, Habitat Restoration and helping with biodiversity goals, utilizing abundant public lands and engaging city, state and federal sectors. And it would be beneficial to have the city the p. U. C. Contribute some resources to expand this 633. 3k opportunity that weve already that we have in hand and do more to mitigate flooding upstream. And i know that this section at cayuga and seneca is part of the 100year map that you will be seeing. Ok. Were out of time. Thank you. Thank you very much. Thank you. Any other Public Comment . Ok. I am item five, please. Item five is communications. Any discussion . Commissioners . Any Public Comment . Seeing none, item six. Other commission business. Any comments, commissioners . Any Public Comments . Well move to item number seven. Item seven is report of the general manager. So, the first item is a clean power update. Barbara hill. Good afternoon, commissioners. Barbara hale, assistant general manager for power. We have item 16 later in the meeting on todays agenda so im just going to update on enrollment and service to customers and legislative and regulatory activities. Our enrollment really hasnt seen change since january 23rd. We are serving around 80,500 customer sites. Our optout percentage is 3. 2 . Our super green upgrade rate continues to exceed our optout rate at 4. 1 of our customers, choosing 100 renewable power. Looking ahead, our next enrollment will be a small enrollment in april of 2018. We have closed the wait list for that enrollment and have been have begun noticing our customers will be adding about 230 accounts starting april. On the legislative front, consistent with your vote november 14, an ordinance was introduced at the board requesting the board of supervisors provide a limited delegated authority to our general manager so the p. U. C. Can enter into supply contracts to support the completion of our programme enrollment. The board adopted the ordinance january 23rd. Mayor farrell signed it january 26. Later, well be asking the committee to ask on that authority in item 16. At the capital, calccs lobbying day was held on january 25 and 26. All 16 operational members of calcca participated. Cleanpower s. F. Was representative by emily lam. Thank you to her publicly for her extensive efforts in supporting calccas lobbying and legislative efforts and cleanpower s. F. s programme. The group spent time educating and raising awareness about community interests and local energy agregation programmes. On the regulatory front, the pcia, the exit fee. Our customers continues to pay pg e and continues to be under review and reform at the cpuc and were preparing testimony now for hearings that are expected. We spent considerable time over the last couple of weeks responding to questions from other party, mostly pg e and mostly about our supply costs and preparations for those hearings. The staff resolution on Resource Adequacy was before the commission, the California Commission last thursday. They issued a resolution. That resolution is intended to integrate c. C. A. s initiation and expansion with the timetable. With the timetable, the cpuc has on Resource Adequacy. This is the resolution that, when it was first issued as a draft, would have resulted in delaying c. C. A. Expansion and start up at least a year. The state of the stated objective by the cpuc staff that drafted the resolution was to avoid cost shifts from. Departing customers to residence maining utility customers by aligning the c. C. A. Expansion and startup dates with the cpucs planning cycle for Resource Adequacy. We filed comments and reply comments, both as a city and in collaboration with calcca. We participated in several conversations with cpuc staff. The utilities and other parties trying to influence the outcome there. We joined stakeholders in making our views known on the steps of the cpuc before the vote. The p. U. C. Ultimately adopted a muchimproved resolution. I think largely as a result of that participation. We still remain concerned about the process that was used and are evaluatesing with the City Attorney whether we should be filing an appeal at the cpuc over those process concerns. It engendered quite a bit of activity at the cpuc, this item. They took over an hour of Public Comment prior to conducting their business. Thats not typical at that entity. So, the c. C. A. Folks came out and made sure that the california p. U. C. Understands the concerns of the community. At that same meeting, the cpuc also adopted their integrated Resource Plan approach. Theyve establish add twoyear cycle where all loadserving entities those are entities that provide Retail Electric Service to californians that are subject to cpuc Regulatory Authority need participate in that twoyear cycle. Our cleanpower s. F. Programme will be subject to those regulations and will participate. You know because we already adopted or presented to you the integrated Resource Plan fur our hetch hetchy programme that that engagement with our regulators happens at the California Energy commission. So, the publiclyowned utilities all go to the california utility commission. The ccas go to the california p. U. C. For regulation of their integrated Resource Plans. So, im sure well hear more to say about how we can successfully comply with the objectives there. I think the objectives in our programme are in alignment with the cpuc with respect to their objectives in the integrated Resource Planning format where theyre really looking to reduce the Greenhouse Gas impacts of providing electric service to customers. Were down with that objective. Right . So hopefully that alignment will help us have a successful engagement there. And with, that im happy to take any questions you might have. Should we have any Public Comments on this item . Ok. 7b, please. The next item is our water Enterprise CapitalImprovement ProgrammeQuarterly Report. And also the water system improvement Quarterly Report. Good afternoon, president kwon, commissioners. Dan wade, director of programmes. I want to start out with the water enterprise Quarterly Report for the quarter ending december of 2017. Ill start with advances that ive noted before in past quarters that are flaged in this report. The first one is the Water Treatment plant, addition of powdered activated car gone. Carbon. There is an advance of 1. 68 million as a result of adding that project to that suite of projects and steve richie in the budget presentations decided why thats needed prior to the 60day shutdown scheduled for next year. The san andreas ii lockbar replacement project has an advance of 4 million and 16 months and this is due to Design Development and higher engineers cost estimate than was previously forecast. The project is essentially on hold and that continues to grow over time until we decide whether to do that promise or nots and well make a decision on that prior to establishing the new baseline mid year for the new ci. P. For the new skyline trail extension, we have a 22month variance thats been previously reported due to the additional time thats needed for the ceqa review going to a full i. R. Rather than a more expedited ceqa process. And then lastly the longterm promise which consisted of two components, the sinola yard which is under constructioner over 30 complete and the watershed centre, which is has been on hold should the budget be approved later today, we would go forward with a watershed centre thaurnlz project as well. And so the variance shows the additional cost for the watershed centre as well as the time needed for that. So with that, id just like to state a few highlights from the reporting period. I mentioned the sinola yard administration building. The structural framework has come along. Ill show you a photo in just a moment. The water valley Treatment Plant has some server upgrades that have taken place and we also issued the powdered activating carbon to proceed to the contractor actually, we will issue it very shortly. It has been awarded. The n. T. B. s coming up. And then the pipeline, we did advertise and bid that project. We actually just recently rejected all the bids for a couple of reasons. One is that two of the lowest bidders withdrew due to bid error and the other bidders were well above the project budget so were pulling that one back for now and taking another look at it. And once weve deciphered whats going on there, well repackage and rebid. On the local watershed, weve completed a number of projects and we have a number of projectss in construction, not the least of which theres some very large joint projects, namely van ness and some others. This is the structural framework. This photo out in sinola. The jazzeder 30 complete. We have continued to encounter archeological artiing facts that have been relocated. But we have been able to work through those issues and we expect to have total completion on this project by tend of the year. And i mentioned that the watershed centre would move forward once the new budget is approved. Finish the snow valley Water Treatment plant, i mentioned the activated powder carbon addition. Theres been a lot of work at this plant, but we continue to have improvements that are made under the water 10year ci. P. And should the budget be approved today, well move forward with a longterm solution for the taste and odour issues, which is the ozone treatment. A much larger project longer term design and planning process. And ill end with this slide. This shows the water Main Replacement mileage that weve made in recent years and steve richie showed this slide during the project hearings but i wanted to highlight that, you know, we have that target of 15 miles. We havent been able to make the 15 miles for a number of reasons, including the costs and volume of projects with other agencies that are in the lead. Delays that have been encountered in these multiagency projects and analysis of our Staffing Levels that were made two years ago really, over time, its been shown that the staff have priorities and only a portion of their time is going to the water line replacement. For those reasons, were forecasting about 10. 7 miles at the end of this year as opposed to the target of 15. But that is where we stand. With that, id bz happy to take any questions. Thank you for that presentation. I appreciate it. Im curious about the microturbine project and i dont know if now is the time to get some more information on that. And if that, indeed, is going to be able to move forward. Im interested in that way to continue to diversify our power supply. Yeah. So that project has been in the planning stages for some time. It was put on hold, primarily because the Alameda Creek recapture promise has project has not been fully approved yet. And depending on how much is part of that promise and how the flows around the valley are managed that could affect the availability of the microturbine project. So very shortly we should be able to provide some additional information. That would be great. Thank you. Great. Any Public Comment . All right. Next item. He is going to do part two. So, moving to the wsip. So, as you know, were about 95 overall with the wsip. And we still do have a lot of work going on. Some of the highlights are shown here. I wont read all of those to you, but i do want to point out one very important achievement for an individual, but also really for the whole team at the replacement promise and the east bay as well as all the wsip teams. Susan how, the project manager, was recently recognized by engineering news record which is a very well known publication in the industry as one of the top 25 newsmakers in 2015. They came out and did a nice cover article on the project and she was named the newsmaker. Thats great. And so we do have some remaining challenges with wsip. Again, im not going to read all of these to you. But we are getting to a point where our risks are coming down significantly. But until we get through the next winter season, we have significant risks out there still. We values other risks to really finalize the systemwide testing and cite additional well sites in the san bruno area. Although were having discussions about some possible rescoping of that project and we would fwlaing to you as a change if our discussions appear that that is a good idea. The siting of those additional wells has been a very difficult challenge and so were looking at some other options on how to possibly rescope that promise and then come back later and, if needed in the future, add those additional wells. So, the replacement project is about 87 complete. And this recent aerial photo shows the new dam access in the lower centre of the photo. The dark brown is the clay core. The grey on the left is the upstream rockville shell and the brown on the right is the downstream shell of the dam. The dam has taken shape. And this photo was taken in january and shows the dam of that elevation is 693, which is only about 60 feet below the top of the dam. And so once we start again in the spring with the embankment construction, we expect the dam to top out late summer, early fall. And, of course, well continue with other components of the project and push for substantial completion next year. But the project is on schedule and making good progress. The facilities at the Alameda CreekDiversion Dam is going well. This shows it in the upper left of the photo and the fish ladder, you can see, taking shape downstream of the dam and the screens have been installed to screen the water that is taken in through the tunnel to the reservoir. We were able to get out as planned for winter season. The project is about 82 complete and we expect complete by the end of this year. Testing is, of course, we will be doing testing in this coming winter season. And this is a recovery project, the existing wells that constructed in phase one in the testing and startup period. We expect to continue both the individual well station testing as well as the systemwide testing through the end of this year. But, again, fwao iz was planned for two to three additional wells in the san bruno area and we havent been able to site those wells to date. We are looking at other possible locations and well do test wells starting in march at two additional locations in milbray and South San Francisco and well look at the viability of those sites. For the time being, were focused on really getting phase one up and operational. And then the bioregional Habitat Restoration programme is coming along. The as you recall, there is 18 sites between the alameda and peninsula water sheds. 10 sites are entirely complete. There is eight remaining sites that are part of the peninsula vegetation removal promise, removing the nonnative vegetation project. Were forecast ago delay to completion of the project because we need to accommod