SAN FRANCISCO PUBLIC UTILITIES COMMISSION
City and County of San Francisco
Daniel Lurie
Mayor
REGULAR MINUTES
Tuesday, February 25, 2025
1:30 PM
(Approved March 11, 2025)
1 Dr. Carlton B. Goodlett Place
City Hall, Room 400
Commissioners
Kate H. Stacy, President
Joshua Arce, Vice President
Avni Jamdar
Stephen E. Leveroni
Dennis J. Herrera
General Manager
Tiffany Lennear
Director of Commission Affairs
SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 2 of 8
ORDER OF BUSINESS
1. Call to Order
President Stacy called the meeting to order at 1:30 P.M.
2. Roll Call
Present: Stacy, Jamdar, and Leveroni
3. Approval of the Minutes of February 11, 2025
No public comment provided.
On motion to approve the minutes of February 11, 2025:
Ayes: Stacy, Jamdar, and Leveroni
4. General Public Comment
Vice President Arce arrived at the Commission meeting at 1:33 P.M. • Peter Drekmeier, Policy Director of Tuolumne River Trust, provided comment relating to checks and balances for Administration in Washington DC, the importance of checks and balances at the PUC, and asked SFPUC leaders to serve as a check and balance for staff.
5. Report of the General Manager (discussion only)
a) Local Community Workers and Small Businesses Report
Benjamin Poole, Acting Director of Workforce and Economic Program Services, and Wendy Macy, Chief People and Workplace Officer, presented the report.
No public comment provided.
b) Fiscal Year 2024-25 2nd Quarter Budget Status Report Anna Duning, Budget Director, presented the report.
No public comment provided.
c) Introduction to Capital Finance and Bonds
Nikolai Sklaroff, Capital Finance Director, presented the report.
No public comment provided.
d) Report on Recent San Francisco Public Utilities Commission Activities, Events and Announcements
Dennis Herrera, SFPUC General Manager, announced that former SFPUC Commissioner, Francis “FX” Crowley, who had also served on the San Francisco Civil Service Commission, the Port Commission, as a labor leader, a great community leader and as husband to SFPUC Press Secretary Nancy Crowley, passed away; and, SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 3 of 8
Mr. Herrera stated that he would like to adjourn this meeting in honor of Francis Crowley.
Commissioner Arce provided comment relating to community impacts from the work performed on local and hyperlocal hiring and contracting, contributing it to the effort and pursuit of a first in the nation mandatory local hiring policy and strategy by former City Attorney and current SFPUC General Manager Dennis Herrera.
6. Bay Area Water Supply and Conservation Agency Report Tom Smegal, BAWSCA GM and CEO, presented the report.
No public comment provided.
7. CONSENT CALENDAR
a) Approve Amendment No. 1 to Agreement No. PRO.0169, Project Pull Citywide Internship with Japanese Community Youth Council, increasing the contract duration by two years by exercising the first of two 2-year options to extend under the contract, to continue providing San Francisco youth with summer internship opportunities among City departments, for a total duration of six years, with no change to the contract amount. (25-0029)
b) Award Contract No. WW-727, Various Locations Sewer Replacement No. 16, to the responsible bidder that submitted the lowest responsive bid, Precision Engineering, Inc., in the amount of $8,702,449 and with a duration of 580 consecutive calendar days (approximately one year and seven months) to replace/line existing sewers on specified streets in the City and County of San Francisco. This action constitutes the Approval Action for the Project for the purposes of the California Environmental Quality Act (CEQA), pursuant to San Francisco Administrative Code section
31.04(h). The Planning Department has determined that the Project is exempt from the CEQA. The Commission will rely on that determination to make its decision on this action. (Not applicable)
c) Award Contract No. PRO.0289, As-Needed River Ecosystem Science Services, to Applied River Sciences, for an amount not to exceed $4,000,000 and with a duration of eight years, to provide the San Francisco Public Utilities Commission Natural Resources and Lands Management Division professional services to support river ecosystem science and management efforts. (25-0030)
Item 7b was not considered by the Commission.
No public comment provided.
On motion to approve Consent Calendar Item Nos. 7a and 7c:
Ayes: Stacy, Arce, Jamdar, and Leveroni
SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 4 of 8
REGULAR CALENDAR
8. Approve (1) the form of a Revolving Credit Agreement with Wells Fargo Bank, National Association (Wells Fargo) in the total principal amount of $200 million and (2) the related Fee Agreement, pursuant to which agreements a principal amount of not-to-exceed $100 million at any one time will support the San Francisco Public Utilities Commission Water Interim Funding Program and a principal amount of not-to-exceed $100 million at any one time will support the San Francisco Public Utilities Commission Power Interim Funding Program, separately; and authorize the General Manager to enter into the same agreements with Wells Fargo.
[Water Enterprise (25-0031)][Power Enterprise (25-0038)] Nikolai Sklaroff, Capital Finance Director, presented Item 8 No public comment provided.
On motion to approve Item 8:
Ayes: Stacy, Arce, Jamdar, and Leveroni
9. Approve the expansion of the California Water Service Company (Cal Water) Bear Gulch District service area due to the City of Menlo Park’s transfer to Cal Water of the service obligation for the County of San Mateo’s Flood Park; and approve the Fourth Amendment to the Individual Water Sales Contract between the City and County of San Francisco (San Francisco) and Cal Water, to adjust the boundaries of the service area where Cal Water may use or sell water delivered by San Francisco, in accordance with section 3.03.E of the 2021 Amended and Restated Water Supply Agreement. (25-0032) Alison Kastama, Principal Administrative Analyst, presented Item 9.
No public comment provided.
On motion to approve Item 9:
Ayes: Stacy, Arce, Jamdar, and Leveroni
10. Approve Amendments No. 1 to Contract Nos. PRO.0231.A-D, Specialized and Technical As-Needed Services, with Stantec/JHCE Joint Venture (JV) (PRO.0231.A), MMD JV (PRO.0231.B), AECOM/WRE JV (PRO.0231.C), and Lee Incorporated (PRO.0231.D), increasing each contract amount by $5,500,000 to address the higher than anticipated contract usage rate, due to an increased need for consulting resources with highly specialized skillsets, as well as an increased need for significant changes to infrastructure and asset management practices, and environmental and regulatory requirements, for a new total not-to-exceed contract amount of $13,000,000 for each contract, with no increase to the contract duration, subject to the Board of Supervisors approval pursuant to Charter Section 9.118. (25-0033)
Cheryl Sperry, Administrative Service Manager, presented Item 10.
SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 5 of 8
No public comment provided.
On motion to approve Item 10:
Ayes: Stacy, Arce, Jamdar, and Leveroni
11. Adopt a refined Mitigation Monitoring and Reporting Program pursuant to the California Environmental Quality Act and award Contract No. WD-2909, Sunol Valley Water Treatment Plant Short Term Improvements, to the responsible bidder that submitted the lowest responsive bid, Western Water Constructors, Inc., in the amount of $44,938,784, and with a duration of 1,258 consecutive calendar days (approximately three years and five months), for the repair of sediment and flocculant basin concrete; replacement of sludge removal equipment, channel and filter valves, cationic polymer system, and sample pumps; and installation of chemical piping. In addition, a new utility water pump station will be installed to support the facility. (25-0034) Alisha Reinhardt, Project Manager, presented Item 11.
No public comment provided.
On motion to approve Item 11:
Ayes: Stacy, Arce, Jamdar, and Leveroni
12. Approve an increase of 365 calendar days to the duration contingency for Contract No.
WD-2845, Cathodic Protection for Transmission Pipelines at Various Locations, Phase 2, with EXARO Technologies Corporation, for a revised duration limit of 1,168 consecutive calendar days (approximately three years and three months), with no change to contract amount, to provide additional time to complete remaining contract work due to Pacific Gas and Electric Company delays in providing utility power service. (25-0035) Tracy Cael, Project Manager, presented Item 12.
No public comment provided.
On motion to approve Item 12:
Ayes: Stacy, Arce, Jamdar, and Leveroni
13. Approve an increase of $2,000,000 to the cost contingency and an increase of 350 calendar days to the duration contingency, for Contract No. WW-723R, Channel Force Main Intertie, with Anvil Builders, Inc., for a revised contract amount limit of $19,375,899 and a revised contract duration limit of 1,131 consecutive calendar days (approximately three years and one month), to address extensive dewatering needed due to unforeseen site conditions, and extend dry weather restricted work into 2025 to support ongoing shoring and dewatering activities. (25-0036)
Carman Luk, Project Manager, presented Item 13.
SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 6 of 8
No public comment provided.
On motion to approve Item 13:
Ayes: Stacy, Arce, Jamdar, and Leveroni
14. Approve Amendments No. 1 to Agreement Nos. PRO.0275.A-C, Hetchy Capital Improvement Projects As-Needed Construction Management and Staff Augmentation Services, with AECOM and Effective Management Services LLC. Joint Venture (PRO.0275.A), Avila and Associates Consulting Engineers, Inc. (PRO.0275.B), and Hetchy CM Partners Joint Venture (PRO.0275.C), to provide as-needed construction management services to augment City construction management staff as necessary, increasing each agreement by $2,000,000, for a total not-to-exceed amount of $6,000,000 (per contract), with no change to the contract durations, to continue critical support services for ongoing public work projects. (25-0037)
Lucas Hoffman, Engineer, presented Item 14.
No public comment provided.
On motion to approve Item 14:
Ayes: Stacy, Arce, Jamdar, and Leveroni
15. COMMUNICATIONS (information only)
a. Advance Calendar
b. Contract Advertisement Report
c. Correspondence Log
d. Water Supply Conditions Update
e. Annual CleanPowerSF Report
f. Annual Water Pipeline Assessment
16. Items initiated by Commissioners (discussion only)
Commissioner Jamdar requested to have a Commission briefing on the San Francisco City Climate Action Plan, to schedule a public hearing and report on how SFPUC agency goals align with the plan, and Commissioner Jamdar commented on the Bay Area Air Quality Management District (BAAQMD) zero-NOx rules (to eliminate the emissions of nitrogen oxides) that phases out gas appliances, and added that she would like the hearing to include its impact on the affordable housing strategy for the Power Enterprise and CleanPowerSF.
Commissioner Arce reported on his tour of Mountain Tunnel last week and expressed appreciation to SFPUC staff for information shared and the work performed to host multiple commissioner tours; the Commissioner also reported on his February 18th visit with the Citizens’ Advisory Committee (CAC) concerning topics that include Treasure Island power outages, Tuolumne River water policy, the salmon population and habitat SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 7 of 8
restoration, design drought methodology, and water use. Commissioner Arce stated that he is committed to working with SFPUC staff to partner with and develop short- and long-term solutions for the Treasure Island Development Authority (TIDA), while acknowledging limitations for SFPUC as a non-owner of the electric grid and recognizing all the work performed by SFPUC staff over the years, he will continue to attend CAC meetings monthly until a written response to the resolution is provided.
17. Public Comment on the matter to be addressed during Closed Session No public comment provided.
18. Motion on whether to assert the attorney-client privilege regarding the matters listed below:
On motion to assert the attorney-client privilege:
Ayes: Stacy, Arce, Jamdar, and Leveroni
The Commission entered Closed Session at 3:31 P.M.
CLOSED SESSION
SFPUC Officials and Staff members present during Closed Session: Kate Stacy, Commission President; Joshua Arce, Commission Vice President; Commissioner Avni Jamdar; Commissioner Stephen Leveroni; Dennis Herrera, General Manager; Sheryl Bregman, General Counsel, Theresa Mueller, Deputy City Attorney; Jannie Ram, Executive Assistant; and Tiffany Lennear, Director of Commission Affairs.
CONFERENCE WITH LEGAL COUNSEL regarding existing litigation (Government Code §54956.9(d)(1), Administrative Code §67.10(d)(1)):
Pacific Gas & Electric Company
Docket Nos. ER22-619-001/Date (date filed: December 13, 2021); ER22-620-001 (date filed: December 13, 2021); ER20-2878-015 (date filed: September 15, 2020) (Consolidated) Federal Energy Regulatory Commission
City and County of San Francisco v. Pacific Gas & Electric Company Docket No. TX21-4-000
Date filed: August 20, 2021
(Not Consolidated)
Federal Energy Regulatory Commission
Proposed settlement of litigated cases related to the terms and conditions of wholesale service PG&E provides to San Francisco, subject to final approval by the Board of Supervisors. (Action Item) (25-0039)
The Commission exited Closed Session at 4:03 P.M.
SFPUC FEBRUARY 25, 2025 MEETING MINUTES Page 8 of 8
19. Announcement following Closed Session
President Stacy stated that the Commission recommends the Board of Supervisors approve the settlement referenced under Item 18.
20. Motion regarding whether to disclose the discussion during Closed Session pursuant to San Francisco Administrative Code Section 67.12(a).
On motion not to disclose:
Ayes: Stacy, Arce, Jamdar, and Leveroni
21. Adjournment
Commissioner Leveroni requested to adjourn the meeting in honor and memory of Francis Xavier Crowley.
President Stacy adjourned the meeting at 4:05 P.M.