Feb 06, 2025 Utilities Commission

CALL TO ORDER

[PLEDGE OF ALLEGIANCE]

[00:00:03]

.

THANK YOU.

THANK YOU, JOE.

I CALL ON DINA FOR

[ROLL CALL]

PRESIDENT MCGUIRE HERE, VICE PRESIDENT SCOTT PRESENT.

SECRETARY CORDERO.

COMMISSIONER SHANNON AND COMMISSIONER RAINEY IS ABSENT.

YOU HAVE A QUORUM.

THANK YOU FOR THE RECORD.

COMMISSIONER RAINEY'S EXCUSED FROM TODAY'S BOARD MEETING.

ARE THERE ANY OBJECTIONS FROM THE BOARD? SEEING NONE, UH, WE'LL NOW MOVE

[1. 25-54247 Recommendation to approve January 23, 2025 Board meeting minutes.       Suggested Action: Approve recommendation. ]

ITEM NUMBER ONE, APPROVING JANUARY 23RD, 2025.

BOARD MEETING MINUTES.

ANY PUBLIC COMMENTS? ANY COMMISSIONER COMMENT? WE HAVE A MOTION FROM COMMISSIONER SANDON.

DO I HAVE A SECOND? THANK YOU.

UH, ANY OPPOSED? ALL IN FAVOR, SAY AYE.

ANY OPPOSED? MOTION CARRIES.

THANKS.

ITEM NUMBER TWO

[2. 25-54248 Recommendation to adopt Resolution UT-1530 authorizing the General Manager to execute a contract, and any necessary subsequent amendments, with National Auto Fleet Group to furnish and deliver up to five new/unused light-duty vehicles on the same terms and conditions specified in the Sourcewell Cooperative Purchasing Agreement in a total amount not to exceed $308,000, for as long as the Sourcewell contract is in effect.       Suggested Action: Approve recommendation. ]

I CALL ON LISA GUTIERREZ.

THANK YOU.

GOOD MORNING COMMISSIONERS FOR AGENDA NUMBER TWO.

STAFF IS REQUESTING THE BOARD TO AUTHORIZE THE GENERAL MANAGER TO ENTER INTO CONTRACT.

IS IT TURNED ON? IT'S ON MY HEARING OR WHAT? HOW ABOUT NOW? THERE WE GO.

THANK YOU.

OKAY, I'LL START AGAIN FOR AGENDA NUMBER TWO.

STAFF IS REQUESTING THE BOARD TO AUTHORIZE THE GENERAL MANAGER TO ENTER INTO CONTRACT WITH NATIONAL AUTO FLEET GROUP TO FURNISH AND DELIVER UP TO FIVE LIGHT DUTY VEHICLES ON THE SAME TERMS AND CONDITIONS SPECIFIED IN THE SOURCE WELL COOPERATIVE PURCHASING AGREEMENT IN A TOTAL AMOUNT NOT TO EXCEED $308,000.

IN THIS PRESENTATION, I WILL BRIEFLY DISCUSS THE FISCAL YEAR 25 VEHICLE AND EQUIPMENT REPLACEMENT PLAN AND PRESENT STAFF'S RECOMMENDATION.

THIS IS A SNAPSHOT OF THE FISCAL YEAR 25 VEHICLE AND EQUIPMENT REPLACEMENT PLAN.

VEHICLES HIGHLIGHTED IN GREEN ARE THE THREE HEAVY DUTY VEHICLES AND THE OR ELECTRIC MEDIUM DUTY VEHICLES THAT HAVE ALREADY BEEN ORDERED.

THE VEHICLES THERE IS A 10 YEAR, 10 YARD, 10 WHEEL DUMP YARD, UH, TRUCK THAT IS CURRENTLY OUT TO BID AND WILL BE AWARDED ONCE IT HAS, UH, UH, WILL BE ORDERED ONCE IT HAS BEEN AWARDED THE PURCHASE OF THE HEAVY DUTY.

AND THE ELECTRIC MEDIUM DUTY VEHICLES WERE ORIGINALLY BUDGETED AT $1 MILLION, BUT THE ACTUAL COST CAME IN AT $1,078,000.

INITIAL FOCUS WERE ON THESE CLASSIFICATIONS SINCE THESE ARE THE MOST IMPACTED BY THE A CF REGULATION.

THE NEXT GROUP OF VEHICLES THAT ARE REPLACED ARE SCHEDULED TO BE REPLACED ARE FIVE LIGHT DUTY VEHICLES, WHICH ARE HIGHLIGHTED IN YELLOW.

THESE ARE NOT PART OF THE A CF, BUT THEY ARE PART OF THE REPLACE REPLACEMENT SCHEDULE FOR THIS FISCAL YEAR.

AND THESE ARE THE IMAGES OF THE VEHICLES TO BE REPLACED.

THERE ARE TWO FORD ESCAPES, ONE FORD RANGER, AND TWO SIENNA MINIVANS.

THESE FIVE LIGHT DUTY VEHICLES WERE INITIALLY BUDGETED AT $300,308,000.

WE BEGUN SEEKING QUOTES, AND THE THE ESTIMATES ARE COMING IN AROUND $208,000.

UM, HOWEVER, THIS ESTIMATE IS TENTATIVE BECAUSE IT IS BASED ON WHAT'S AVAILABLE IN THE ORDERING PORTAL.

AND THESE VEHICLES WILL BE PURCHASED THROUGH THE COOPERATIVE, UM, BY PIGGYBACK THROUGH SOURCE WALL COOPERATIVE PURCHASING AGREEMENT WITH NATIONAL AUTO FLEET GROUP.

AND SINCE THE ORDERING PORTAL IS LIMITED AND WITH A SMALL WINDOW FOR DIRECT PURCHASING STAFF IS REQUESTING THE BOARD TO ADOPT RESOLUTION.

UT 1530 AUTHORIZING THE GENERAL MANAGER TO EXECUTE CONTRACT AND NECESSARY AND ANY NECESSARY SUBSEQUENT AMENDMENTS WITH NATIONAL AUTO FLEET

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AND THE SOURCEFUL COOPERATIVE PURCHASING AGREEMENT IN A TOTAL AMOUNT NOT TO EXCEED 308,000 FOR AS LONG AS THE SOURCE WILL CONTRACT IS IN EFFECT.

THIS CONCLUDES MY PRESENTATIONS AND I'M HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE.

THANK YOU.

LISA.

IS THERE, UM, ANY PUBLIC COMMENT ON THIS ITEM? ANY COMMISSIONER COMMENT? SEEING NONE, DO I HAVE A MOTION TO APPROVE? TO APPROVE? HAVE A, A MOTION AND A SECOND.

SECOND.

WE HAVE A ROLL CALL VOTE HERE I CALL ANDINA.

YES.

AYE.

PRESIDENT MCCOY? YES.

COMMISSIONER RAIN.

THE VOTE CARRIES.

THANK YOU.

ITEM NUMBER THREE IS TO AUTHORIZE THE GENERAL MANAGER

[3. 25-54249 Recommendation to authorize the General Manager to provide and request emergency assistance to and from participating agencies under the terms and conditions of the California Utilities Emergency Association (CUEA) and California Water/Wastewater Agency Response Network (CalWARN) mutual assistance agreements, subject to the General Manager’s confirmation of adequate staffing and equipment resources, and with the condition that such assistance does not exceed thirty (30) days per incident and/or a total aggregate cost of $1,000,000 for all incidents, under both agreements, per fiscal year.       Suggested Action: Approve recommendation. ]

CAL WARN MUTUAL ASSISTANCE AGREEMENTS SUBJECT TO THE GENERAL MANAGER'S CONFIRMATION OF ADEQUATE STAFFING AND EQUIPMENT RESOURCES, AND WITH THE CONDITION THAT SUCH ASSISTANCE DOES NOT EXCEED 30 DAYS PER INCIDENT.

AND OR A TOTAL AGGREGATE COST OF $1 MILLION FOR ALL INCIDENTS UNDER BOTH AGREEMENTS PER FISCAL YEAR.

IT'S A MOUTHFUL.

UH, I CALL IN SEAN CURTIS.

HI.

GOOD MORNING COMMISSIONERS.

THANK YOU FOR THIS OPPORTUNITY TO PRESENT TODAY.

THE ITEM I BRING BEFORE YOU IS NUMBER THREE ON THE AGENDA, AND IT IS REGARDING MUTUAL ASSISTANCE DURING EMERGENCY.

WHAT I'LL BE DISCUSSING TODAY IS, UH, ESSENTIALLY PROVIDING AN OVERVIEW OF OUR EMERGENCY PREPAREDNESS PROGRAM HERE AT THE UTILITIES.

I WILL DISCUSS, UH, MUTUAL ASSISTANCE AND ITS IMPORTANCE TO OUR PROGRAM.

I WILL DESCRIBE THE DELEGATION OF AUTHORITY THAT WE ARE REQUESTING TODAY AND CLOSE WITH THE RECOMMENDATION FOR AN OVERVIEW OF OUR EMERGENCY PREPAREDNESS PROGRAM.

WE IMPLEMENT, UH, THE FOLLOWING ITEMS. THE FIRST IS OUR EMERGENCY RESPONSE PLAN.

THIS IS OUR GUIDING DOCUMENT FOR HOW OUR UTILITY WILL RESPOND TO A VARIETY OF INCIDENTS THAT AFFECT OUR, UH, FACILITIES AND, UH, INFRASTRUCTURE.

AND THIS EMERGENCY RESPONSE PLAN IS REQUIRED, UH, BY THE AMERICA'S WATER INFRASTRUCTURE ACT OF 2018.

AND SO WE HAVE TO PREPARE A RISK AND RESILIENCE ASSESSMENT OF WHAT WE THINK THE VULNERABILITIES ARE TO OUR OPERATIONS AND INFRASTRUCTURE, AND THEN DEVELOP AN EMERGENCY RESPONSE PLAN OF HOW WE'RE GOING TO ADDRESS THOSE VULNERABILITIES.

WE ARE CURRENTLY WORKING ON THAT UPDATE THIS YEAR AND SHOULD HAVE IT, UH, DONE BY THE END OF THIS FISCAL YEAR.

WE ALSO IMPLEMENT THE STANDARDIZED, UH, EMERGENCY MANAGEMENT SYSTEM OR EMS, AS WELL AS THE NATIONAL INCIDENT MANAGEMENT SYSTEM.

NIMS. UH, THESE TWO ARE ESSENTIALLY THE SAME, BUT IT'S ESSENTIALLY HOW ALL AGENCIES ARE GOING TO, UH, COORDINATE AND RESPOND TO INCIDENTS TOGETHER, WHETHER IT BE STATEWIDE OR NATIONWIDE.

UH, WE ALSO UTILIZE THE INCIDENT COMMAND SYSTEM OR ICS.

IT IS A COMMAND AND CONTROL STRUCTURE OF HOW WE'RE GOING TO COORDINATE FIELD RESPONSE ACTIVITIES DURING AN EMERGENCY.

AND IT IS USED IN OUR DEPARTMENT OPERATIONS CENTER.

WE ALSO ENSURE THAT WE HAVE MULTI-AGENCY COORDINATION, WHETHER IT BE THROUGH OUR CITY, UH, PARTNERS, UH, THE OTHER DEPARTMENTS, AS WELL AS INDUSTRY, UH, ORGANIZATIONS, SO THAT WE CAN WORK TOGETHER TO RESPOND TO AN INCIDENT.

AND, UH, BECAUSE ALL OF THESE AGENCIES UTILIZE THE INCIDENT COMMAND SYSTEM, UH, EVERYONE UNDERSTANDS HOW WE'RE GOING TO WORK TOGETHER TO RESPOND.

WE ALSO CONDUCT TRAININGS AND EXERCISES FOR STAFF AND, AND THAT'S TO ENSURE THAT WE TEST OUR PLANS TO MAKE SURE THAT THEY ARE VIABLE AS WELL AS TO ENSURE THAT ALL STAFF UNDERSTANDS THEIR PARTICULAR ROLE DURING AN INCIDENT.

UH, AND THEN THERE'S ALSO MUTUAL AID ASSISTANCE, WHICH IS WHAT WE'RE GONNA BE FOCUSING ON TODAY.

SO, MUTUAL ASSISTANCE IS VERY IMPORTANT, ESPECIALLY DURING CATASTROPHIC INCIDENTS.

AND IT IS BECAUSE YOU CAN IMAGINE, FOR INSTANCE, DURING AN EARTHQUAKE WHERE THERE'S GONNA BE A LARGE IMPACT TO OUR INFRASTRUCTURE AND FACILITIES.

AND SO THAT'S GOING TO QUICKLY OVERWHELM OUR RESOURCES HERE IN OUR DEPARTMENT AS WELL AS THROUGHOUT THE CITY.

BY HAVING MUTUAL ASSISTANCE AGREEMENTS, IT ENSURES THAT WE HAVE ACCESS TO ADDITIONAL PERSONNEL,

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UM, BUT THERE ARE CHALLENGES THAT COME WITH GETTING, UM, EXTERNAL SUPPORT.

AND THOSE COME IN FINANCIAL LIABILITIES, SUCH AS, WELL, WHO'S GONNA PAY FOR SENDING THESE RESOURCES OUT? OR IF WE REQUEST THEM, WHO'S GONNA PAY FOR THAT AS WELL? AS WELL AS LEGAL LIABILITIES SUCH AS IF SOMETHING HAPPENS, UH, AN EMPLOYEE FROM AN EXTERNAL AGENCY GETS INJURED, OR WHO'S RESPONSIBLE FOR RECOVERING THAT.

AND SO THE BENEFITS OF MUTUAL ASSISTANCE AGREEMENTS IS THAT THEY ESTABLISH ALL OF THESE TERMS IN ADVANCE.

ALL PARTIES THAT SIGN ON TO THESE AGREEMENTS AGREE THAT, HEY, WE'RE GOING TO REIMBURSE YOU, UH, FOR THE RESOURCES YOU SEND, OR WE WE'RE GONNA REIMBURSE YOU FOR WHAT YOU SEND TO HELP US.

UH, IT ENSURES THAT THERE ARE PROPER FORMAL PROCEDURES FOR REQUESTING THOSE RESOURCES, AS WELL AS SIMILAR DOCUMENTATION OF HOW WE'RE TRACKING THE, THE USE OF THOSE RESOURCES AND THEIR COSTS.

IT LAYS OUT THE REIMBURSABLE EXPENSES SUCH AS WAGES, LODGING, UH, TRAVEL, UH, EQUIPMENT USAGE AND SO FORTH, AS WELL AS SHIFTS LIABILITY ONTO THE REQUESTER FOR WORKERS' COMPENSATION AND INDEMNIFICATION.

ANOTHER KEY ASPECT IS THAT IT EXPEDITES RESOURCE SHARING.

BY HAVING THESE TERMS ESTABLISHED IN ADVANCE, WE CAN QUICKLY DEPLOY RESOURCES OR REQUEST RESOURCES AND HAVE THOSE IN A TIMELY MANNER.

IT IMPROVES RESPONSE BECAUSE WE HAVE, UH, THE RESOURCES NEEDED FOR OTHER AGENCIES AS WELL TO FILL THOSE RESOURCE GAPS QUICKLY.

AND LASTLY, ANOTHER KEY BENEFIT IS THAT THERE IS ZERO OBLIGATION FOR ANY MEMBER TO LEND OR ACCEPT SUPPORT.

UH, AND THAT COULD BE DUE TO COST OR, OR WHATEVER IT MAY BE, BUT WE HAVE THE CHOICE OF WHETHER WE WANT TO PROVIDE SUPPORT TO ANOTHER AGENCY OR ACCEPT SHOULD THAT INCIDENT AFFECT US.

SO WE ARE PARTY TO TWO, UH, STATEWIDE MUTUAL ASSISTANCE AGREEMENTS, THE FIRST ONE BEING THE CALIFORNIA UTILITIES EMERGENCY ASSOCIATION, AND THE SECOND, THE CALIFORNIA WATER WASTEWATER AGENCY RESPONSE NETWORK.

SO THE CUEA IS AN ORG MUTUAL ASSISTANCE, UH, ORGANIZATION THAT ENCOMPASSES ALL UTILITY TYPES FROM WATER, WASTEWATER, NATURAL GAS, TO PETROLEUM POWER AND TELECOMMUNICATIONS.

SO THAT ALLOWS US ON THIS TO REQUEST, UH, AID FROM ANY UTILITY TYPE THAT IS WILLING TO PROVIDE THAT SUPPORT TO.

AN ADDITIONAL KEY IS THAT THEY ARE PARTNERED WITH CAL WARN AND CAL WARREN IS A MUTUAL ASSISTANCE ORGANIZATION SPECIFICALLY FOR WATER AND WASTEWATER.

AND THIS WAS ENCOURAGED BY, UH, CUEA AS WELL AS THE STATE FOR THE WATER INDUSTRY SPECIFICALLY TO COME UP WITH ITS OWN MUTUAL ASSISTANCE, UH, PAC.

AND THAT IS BECAUSE WATER IS AN EXTREMELY CRITICAL RESOURCE FOR COMMUNITIES TO THRIVE AND EXIST.

SO CAL WARN IS SPECIFIC FOR, UH, THE WATERSIDE.

SO WHAT I HAVE HERE ARE, ARE TWO PATHS FOR REQUESTING, UH, RESOURCES DURING AN .

FIRST IS THROUGH THE SIMS NIMS PROCESS.

AND SO A LOCAL AGENCY THAT NEEDS SUPPORT, UH, WOULD REQUEST THAT THROUGH THEIR CITY EMERGENCY OPERATIONS CENTER.

AND IF THEY'RE NOT ABLE TO FULFILL THAT RESOURCE, IT GOES TO THE COUNTY AND THEN TO THE REGION, THE STATE, AND ULTIMATELY THE FEDERAL GOVERNMENT.

UM, AS YOU CAN IMAGINE, THAT'S A VERY TIME, UH, IT WOULD TAKE A LOT OF TIME TO OBTAIN THAT RESOURCE IF IT'S GOING UP THE CHAIN.

AND SO MUTUAL ASSISTANCE AGREEMENTS, UH, PROVIDE A MORE DIRECT AND QUICKER PATH FOR OBTAINING THOSE, UH, NEEDED RESOURCES.

WE HAVE MEMBER A, FOR INSTANCE, THAT NEEDS A, A VEHICLE OR SOME TYPE OF EQUIPMENT WE REQUEST THROUGH THE, UM, MUTUAL ASSISTANCE, UH, ADMINISTRATOR, AND THEY GO DIRECTLY TO THE O OTHER SIGNATORIES AND REQUEST THAT RESOURCE.

THEN THEY SEND IT DIRECTLY TO THE REQUESTER.

SO THIS IS A, A QUICKER AND MORE EFFICIENT PATHWAY FOR OBTAINING RESOURCES, ALTHOUGH WE WILL USE BOTH BECAUSE THAT INCREASES OUR CHANCES OF OBTAINING THE NEEDED RESOURCE DURING AN EMERGENCY.

AND SO WHAT WE'RE REQUESTING TODAY IS THAT THE BOARD PROVIDE THE GENERAL MANAGER WITH LIMITED DISCRETION TO REQUEST OR PROVIDE MUTUAL ASSISTANCE WITHOUT PRIOR BOARD APPROVAL.

AND THIS IS FOLLOWING, UH, SOME OF THE RECENT INCIDENTS AND THE FACT THAT WE WANT TO FORMALIZE OUR OWN PROCESS FOR PROVIDING OR REQUESTING RESOURCES DURING AN EMERGENCY.

HOWEVER, THIS LIMITED DISCRETION WILL BE CONDITIONAL UPON THINGS.

THE LONG STATEMENT THAT YOU READ, COMMISSIONER, THAT IS THAT THE DEPLOYMENT OF RESOURCES DOES NOT EXCEED 30 DAYS PER INCIDENT.

THAT THE CUMULATIVE COSTS DO NOT EXCEED $1 MILLION PER FISCAL YEAR.

AND THAT THE GENERAL MANAGER PROVIDE AN UPDATE DURING THE NEXT SCHEDULED PUBLIC MEETING TO INFORM YOU

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AND THIS WILL ENSURE THAT WE ARE REMAINING TRANSPARENT TO THE BOARD OF WHAT ACTIVITIES ARE OCCURRING DURING EMERGENCY RESPONSE.

UH, SHOULD, UH, WE EXCEED THESE THRESHOLDS, THEN THE GENERAL MANAGER WILL SEEK ADDITIONAL AUTHORIZATION TO EXTEND THE DEPLOYMENT OF RESOURCES DURING EMERGENCY.

SO WHAT ARE WE RECOMMENDING TODAY? STAFF IS OFF REQUESTING THE BOARD TO AUTHORIZE THE GENERAL MANAGER TO PROVIDE OR REQUEST EMERGENCY ASSISTANCE TO AND FROM PARTICIPATING AGENCIES UNDER THE TERMS AND CONDITIONS, UH, OF THE CALIFORNIA UTILITIES EMERGENCY ASSOCIATION, CUEA AND THE CALIFORNIA WATER WASTEWATER AGENCY RESPONSE NETWORK.

CAL WARN MUTUAL ASSISTANCE AGREEMENTS SUBJECT TO THE GENERAL MANAGER'S CONFIRMATION OF ADEQUATE STAFFING AND EQUIPMENT RESOURCES, AND WITH THE CONDITION THAT SUCH ASSISTANCE DOES NOT EXCEED 30 DAYS PER INCIDENT AND OR TOTAL AGGREGATE COST OF $1 MILLION FOR ALL INCIDENTS UNDER BOTH AGREEMENTS PER FISCAL YEAR.

WITH THAT, I CONCLUDE MY PRESENTATION AND I PUT IT UP TO QUESTIONS FROM THE, IS THERE ANY PUBLIC COMMENT ON THIS? COMMISSIONER COMMENT.

HI.

GOOD MORNING.

UH, ARE WE CURRENT, UH, SIGNATORIES TO THESE AGREEMENTS? YES, WE ARE.

WE ARE.

UM, AND HOW LONG HAVE WE BEEN SIGNATOR? OH, WE HAVE BEEN, UH, SIGNED ON TO CAL WARREN.

THEN THE INCEPTION OF CAL WARREN, WHICH I BELIEVE IS 20, UH, 2002 CUEA.

I'LL HAVE TO GET BACK TO YOU ON NOW, BUT IT'S BEEN, IT'S BEEN A WHILE.

IS THAT, UH, 2014? HAVE WE EVER, UH, RESPONDED OR REQUESTED ASSISTANCE RESPONDED TO OR REQUESTED? YES.

WE HAVE, UH, PROVIDED ASSISTANCE AND, UH, AS WELL AS ACCEPTED ASSISTANCE.

SO, FOR EXAMPLE, DURING THE LATEST MAIN BREAK, UH, THAT OCCURRED BACK IN OCTOBER, WE DID REQUEST THROUGH CAL WARN, UH, TO OBTAIN SOME COUPLINGS FOR THE 20 INCH, UH, TRANSMISSION PIPELINE.

AND THAT WAS ULTIMATELY FULFILLED BY A DW.

AND DID WE PROVIDE ASSISTANCE DURING THE MOST RECENT, UH, LA FIRES? UH, NO, WE DID NOT.

WE REQUESTED, WE WERE REQUESTED FROM SOCAL GAS.

AND SOCAL GAS REQUESTED NOT AN EMERGENCY RESPONSE.

SOCAL CALGAS REQUESTED A HELP WITH SERVICE IN THE SENSE THAT, UH, HOMES THAT WERE STILL PERFECTLY FINE, BUT HAD, UH, UNDERGONE AN EVACUATION ORDER, UH, IN ORDER TO HELP WITH BRINGING THOSE RESIDENTS BACK INTO THEIR HOMES AND RESTARTING GAS SERVICE, SO-CALLED GAS WAS ASKING FOR FORCE AUGMENTATION TO HELP THEM WITH THAT.

SO IT WAS NOT AN EMERGENCY RESPONSE, IT WAS JUST SIMPLY TO HELP WITH THEM WITH THEIR ROUTINE SERVICES AT RESTORATION OCCURRING AFTER THE INCIDENT ITSELF.

OKAY.

BUT WE DID NOT PROVIDE, WE DID NOT, WE DID NOT PROVIDE ONE, ONE OF THE THINGS THAT CAME ABOUT WAS THIS DISCUSSION HERE, IN ADDITION TO DISCUSSING WITH SOCAL GAS, THE TERMS OF THEIR EMPLOYMENT WITH THOSE EMPLOYEES, PROVIDING THE SERVICE, NAMELY WAGES, OVERTIME, AND HOURS OF COMMAND AND CONTROL OF SOCAL GAS.

UH, BUT IF WE RESPONDED UNDER THESE AGREEMENTS, WE, THEY WOULDN'T BECOME EMPLOYEES OF SOCAL GAS.

THEY WOULD BE UNDER THE CONTROL OF SOCAL GAS AS THEY WERE EXERCISING THEIR SERVICES.

AND IN DOING SO, THERE WERE LIMITATIONS AS TO WHAT SOCALGAS WAS WILLING TO PAY FOR.

'CAUSE IT WAS NOT AN EMERGENCY RESPONSE.

SO IT WAS A CONDITIONAL TERM.

AND THAT ADDED TO THE COMPLEXITY AND THE NUANCE.

IT WOULD BE VERY DIFFERENT IF IT WAS ACTUALLY AN EMERGENCY RESPONSE.

SO THAT, THAT'S THE, THE NATURE THAT, UM, PUT US IN THE POSITION OF NOT BEING ABLE TO RESPOND.

WHAT, UH, WERE THE LA FIRES THOUGH? WERE THEY NOT COVERED BY, UH, EMERGENCY DECLARATIONS THE GOVERNOR AND PRESIDENT? THE FIRES WERE, AND SO EMERGENCY RESPONSE TO THE FIRE WOULD'VE BEEN A DIFFERENT SITUATION.

THIS WAS JUST SIMPLY COMING BACK TO YOUR HOME TO TURN ON GAS SERVICE.

THAT WAS THE VERY NARROW, UH, ASPECT OF THE RESPONSE THAT SOCALGAS WAS ASKING US TO FULFILL.

THERE WAS TO, TO GIVE YOU AN EXAMPLE ON THE WATER SIDE, THE COMMUNITIES THAT WERE THERE CLOSE TO THE FOOTHILL, MY COLLEAGUES AT GLENDALE AND PASADENA, THEY WERE RESPONDING TO EACH OTHER.

METROPOLITAN HAS FACILITIES UP IN THE FOOTHILL AREA.

THEY WERE RESPONDING TO EACH OTHER AT THE MOMENT.

VERY DIFFERENT TYPE OF RESPONSE.

THAT'S EMERGENCY RESPONSE AT THE MOMENT.

UM, VERY DIFFERENT CONDITIONS.

MR. CORDERO, THANK YOU.

THANK YOU FOR THAT REPORT.

IT'S ACTUALLY, OBVIOUSLY VERY TIMELY.

UM, ONE OF THE TWO THINGS THAT STICK OUT FOR ME, AND I GREATLY APPRECIATE IT, IS, UM, THAT WE'RE LOOKING FOR MUTUAL AID, BUT I THINK THAT

[00:20:01]

I'M ASSUMING IT'S COORDINATION HERE IN OUR CITY, AND THEN ALSO HOW WE COORDINATE WITH OTHER AGENCIES THAT COME IN.

AND, UM, I'VE HAD A LITTLE BIT OF A CLOSER LOOK AT WHAT'S GONE ON IN LA AND WE HAVE A LOT, THERE'S A LOT WE CAN LEARN AND WE SEEMS LIKE WE CAN NEVER BE PREPARED ENOUGH.

SO I GREATLY APPRECIATE THAT, BRINGING THIS FORWARD TODAY.

THANK YOU.

THANK YOU.

WITH THAT, I'LL MAKE A MOTION TO, UH, WE HAVE A MOTION TO APPROVE.

AND A SECOND.

ALL IN FAVOR? AYE.

ANY AYE.

ANY OPPOSED? THE MOTION CARRIES.

THANK YOU.

IT JUST, UM, I DID NOTICE THAT THIS AGREEMENT THAT WE HAVE RECEIVED A COPY OF WAS SIGNED BY COMMISSIONER SHANNON, A CITY ATTORNEY IN 2013.

SO I WAS WAITING TO SEE IF HE HAD ANYTHING TO SAY.

YEAH, .

ANYWAY, THIS IS SO TIMELY, AND THANK YOU SO MUCH.

WE, EVERY TRAGEDY IS ALSO AN OPPORTUNITY AND IT'S A WAY FOR US TO LOOK AT WHERE THINGS WORK OR DON'T WORK.

AND I LOVE THAT WE'RE TRYING TO GET AHEAD OF THIS SO THAT WE CAN HELP AS WELL AS RECEIVE HELP MORE EASILY.

THANK YOU.

THANK YOU.

OKAY.

ITEM NUMBER

[4. 25-54250 Recommendation to receive and file the Urban Water Use Objective Update.       Suggested Action: Approve recommendation. ]

AND I CALL ON JOSEPH AGAIN.

JOE.

GOOD MORNING COMMISSIONERS.

YES.

SO THIS IS AN UPDATE, UM, I BELIEVE IN JULY OF 2024, MY DIRECTOR, UH, CAME IN AND SPOKE WITH YOU ALL, UM, REGARDING THE IMPLEMENTATION AND BASICALLY THE BEGINNING OF THIS, UH, WATER USE OBJECT.

AND HE WENT OVER SOME INFORMATIONAL ITEMS AS TO WHAT WILL GO INTO THE REPORT AND THE REQUIREMENTS WAS HERE TO REITERATE, UH, THROUGH MORE OF THE BACKGROUND INFORMATION AND THE DATA THAT'S GOING TO THAT AND WHAT WE'RE DOING, AND MAKE SURE THAT WE'RE MEETING ALL A LITTLE BIT OF THE AGENDA HERE AND A GREAT PHOTO OF ONE OF OUR DIRECT INSTALL GARDEN PROGRAMS. UM, TALK ABOUT THE BACKGROUND OF WHERE WE STARTED WITH THE UWO, UM, THE IMPLEMENTATION OF THAT.

UM, WHERE WE STAND FOR OUR REPORT FOR FISCAL YEAR 2024, UM, FORESEEABLE REGULATION TIMELINE, THAT'S, UH, GOING OUT TO 2040.

UM, AND THEN THE PROJECTS THAT WE'RE WORKING ON.

SO THIS IS A LONG TIME COMING.

UM, I DON'T KNOW IF ANY OF YOU HAVE BEEN IN INVOLVED IN THE PROCESS, UM, BUT I CAN KIND OF TAKE YOU BACK ACTUALLY TO 2009, WHICH WAS, UH, SENATE BILL, UH, X SEVEN DASH SEVEN, WHICH REQUIRED, UH, URBAN WATER RETAILERS TO DECREASE THEIR USAGE BY 20%, UM, BY 2020.

UM, WHAT HAPPENED AT, UH, FROM THAT POINT, UH, THERE WAS, UH, A STRING OF DROUGHTS, UM, WITHIN CALIFORNIA THAT HAPPENED BETWEEN 2013 ALL THE WAY THROUGH ROUGHLY 20 16, 20 17 FOR NORTHERN AND SOUTHERN CALIFORNIA, UM, WITHIN THAT TIMEFRAME AS WELL.

UM, IN 2014, THE, UH, AT THE TIME, UH, GOVERNOR BROWN, UM, CREATED THE CALIFORNIA WATER PLANT UPDATE.

AND TWO OF THOSE THINGS WERE, UH, ACTIONABLE ITEMS. ONE TO CREATE, UH, WHAT'S CALLED NOW MAKING CONSERVATION AS THE CALIFORNIA WAY OF LIFE ACTION ITEM, AND ALSO FOR WATER UTILITIES TO PREPARE FOR LONG-TERM DROUGHTS, UM, AND LACK OF PRECIPITATION.

UH, UM, IN 2016 DURING THE, THAT LARGE DROUGHT, UH, GOVERNOR BROWN INTRODUCED, UM, THE EXECUTIVE ORDER B 37 DASH 16, UM, WHICH BEGAN THAT PROCESS, UH, WITH THE STATE WATER RESOURCE CONTROL BOARD, AS WELL AS THE DEPARTMENT OF WATER RESOURCES TO BEGIN THE DISCUSSION ON CREATING, UH, WHAT IS NOW MAKING CONSERVATION OF CALIFORNIA.

IN 2018, THE, UH, THE, THE PRIMER WAS FINALLY, UH, COMPLETE FOR THE MACON, CALIFORNIA WAY OF LIFE.

UM, UH, AND THE LEGISLATION WAS PASSED WITH SENATE BILL 6 0 6 AND SEM ASSEMBLY BILL 1668.

UM, ONE OF THOSE, BILL 6 0 6 IS BASICALLY A, UH, IDENTIFYING STATE WATER RESOURCE CONTROL BOARD AND DWR TO REVIEW AND, UH, UH, SET, UH, DATA AS WELL AS, UM, IDENTIFY THE NECESSARY, UH, REPORTING DOCUMENTATION AND CREATE THAT DOCUMENTATION FOR URBAN WATER RETAILERS TO REPORT TO THE STATE.

UM, SB 6 0 6 WAS THE REQUIREMENT OF, UH, UH, WATER RETAILERS TO REPORT THAT TO THE STATE ON AN SO

[00:25:01]

DIFFERENT SLIDE.

BUT, UM, WHAT'S HAPPENING IS THEIR, THEIR URBAN WATER USE OBJECTIVES ARE MADE UP OF THESE FOUR DIFFERENT, UM, CATEGORIES.

WE HAVE OUR INDOOR RESIDENTIAL WATER BUDGET, OUR OUTDOOR RESIDENTIAL, OUR CII, WHICH IS OUR COMMERCIAL INDUSTRIAL AND INSTITUTIONAL DEDICATED IRRIGATION METER, OUTDOOR WATER BUDGET, OUR WATER LOSS BUDGET, AND THEN IN THE ADJUSTMENTS, UM, AND VARIANCES THAT FALL INTO, UM, APPLICATIONS THAT WE WOULD HAVE STATE WATER RESOURCE CONTROL BOARD APPROVE SO THAT WE CAN INCREASE OUR BUDGET.

SO WHAT THIS MEANS IS THE STATE ACTUALLY GIVES US ALL OF THESE DATA POINTS, UM, BASED OFF OF, UH, DIFFERENT, UM, REPORTING FACTORS THAT WE PUT IN ON AN ANNUAL, EXCUSE ME, A MONTHLY AND THEN AN ANNUAL BASIS.

SO ON.

DO YOU MIND GOING FORWARD FOR ME, GEORGE? NO, THANK YOU.

SO, UM, I PUT THIS SLIDE UP HERE, ONE SO YOU CAN SEE MY PAIN, BUT ALSO .

YOU CAN, UM, SEE HOW ALL THIS DATA IS COMING IN TOGETHER.

SO, UH, THE SAFER CLEARINGHOUSE REPORTING IS SOMETHING THAT WE, WE AND, UH, TREATMENT PLANT PUT TOGETHER ON A MONTHLY BASIS THAT GETS PUT INTO THE STATES.

UM, AT THE END OF THE YEAR, THE ELECTRONIC ANNUAL REPORT OF THE EAR, IF YOU'RE FAMILIAR WITH THAT, UM, GETS SUBMITTED TO A STATE WATER RESOURCE CONTROL BOARD.

UM, AND THOSE TWO ARE BASICALLY PUTTING TOGETHER HOW MUCH WATER WE'RE USING AS AS A CITY.

THERE'S ALSO THE WATER LOSS AUDIT THAT WE REQUIRED TO SUBMIT ON A, ON A ANNUAL BASIS.

UM, THOSE THREE REPORTS MAKE UP THE BULK OF THE DATA THAT IS AUTOMATED, THAT IT'S PUT INTO THE SYSTEM.

UM, THE ADDITIONAL, UH, UH, DATA POINTS THAT ARE LED BY STATE WATER RESOURCE CONTROL BOARD AND DDWR, UM, TO MAKE SENSE OF THE RULING IS THINGS LIKE FLYOVER DATA.

SO AERIAL IMAGERY OF IRRIGABLE LANDSCAPES FOR RESIDENTIAL, UM, AND, UH, CII CUSTOMERS, UM, RIGHT NOW, THE, UH, IRRIGABLE AREAS THAT THE STATE HAS PROVIDED IS JUST FOR RESIDENTIAL AREA.

THEY'RE WORKING ON DOING A FLYOVER DATA FOR, FOR CII, UM, BUT KIND OF PUT IT IN PERSPECTIVE, UM, THOSE DATA POINTS ARE STILL BEING DEVELOPED, WHICH IS ONE OF THE REASONS WHY THIS REGULATION, UM, ISN'T, UH, REALLY, UH, NOT TO SAY THAT IT'S NOT HAPPENING, BUT IT'S NOT GOING INTO FULL EFFECT UNTIL 2027 BECAUSE THERE'S STILL SOME, UH, DATA REQUIREMENTS THAT THE STATE NEEDS FROM US.

SO THE, UH, ADDITIONAL THINGS HERE THAT WE HAVE ARE SOME CII CLASSIFICATIONS.

THAT'S, THAT IS ANOTHER REQUIREMENT THAT WE'RE WORKING ON INTERNALLY.

UM, THE, UH, ENERGY STAR PORTFOLIO, UM, IS SOMETHING THAT, UH, BUILDING MANAGERS AND, UH, PROPERTY OWNERS CAN SUBMIT TO MAKE SURE THAT THEY'RE MEETING IN ENERGY STANDARDS AND THAT STANDARDS ARE SET UP IN 22 DIFFERENT CATEGORIES, FOR EXAMPLE.

SO WHAT WE'RE REQUIRED TO DO IS TO TAKE ALL OF OUR, UH, CII BUSINESS CATEGORIES AND PUT THEM INTO 22 OF THOSE DEFINED CATEGORIES.

UM, NOT ONLY THAT, UM, THERE'S ALSO THE ADDITIONAL OPTIONS FOR VARIANCES AND TEMPORARY PROVISIONS THAT WE HAVE.

SO THINGS THAT, UM, JUST THAT WERE JUST MENTIONED, IF THERE WAS FIRE, FOR EXAMPLE, AND WE HAVE FOR THAT ONE SPECIFIC YEAR, WE WERE USING A LOT OF WATER, OR IF THERE IS A, UM, UH, PORTABLE REUSE OPPORTUNITY, WE COULD PUT THAT IN FOR A VARIANCE AS WELL AS SO WE COULD INCREASE OUR ON AN ANNUAL BASIS.

SORRY TO SCARE YOU.

SO WHERE ARE WE NOW? UM, GOOD NEWS IS, UH, WE PASSED.

SO, UH, THE, THE URBAN WATER USE OBJECTIVE HAD US AT A 35,534 ACRE FEET FOR THE REPORTING PERIOD FOR, UM, JULY 1ST TO JUNE 1ST, 2024.

UM, WHAT OUR ACTUAL USAGE, UM, FOR WHAT'S BEING REPORTED AND WHAT THE STATE'S LOOKING AT FROM ALL THOSE URBAN

[00:30:01]

SO WE MADE IT BY ABOUT 3000 ACRE FEET, OR ROUGHLY ABOUT 950 MILLION GALLONS WE WERE IN COMPLIANCE.

UM, AND THEN HERE'S OUR TIMELINE OF WHERE WE'RE LOOKING AT ALL THE WAY THROUGH 2040.

SO, UM, AS YOU KNOW, JANUARY 1ST, 2025, AS I MENTIONED, ARE GALLONS PER CAPITA PER DAY, UH, REQUIREMENTS FROM THE STATE AS THEIR STANDARD IS AT 47, THAT 47, UM, DON'T BE ALARMED BECAUSE, UH, THE URBAN WATER USE OBJECTIVE IS A, UH, BUDGET THAT'S BASED OFF OF THOSE FOUR DIFFERENT FACTORS.

SO WE'RE NOT LOOKING AT THAT AS AN, AS AN INDIVIDUAL METRIC FOR EACH INDIVIDUAL PERSON THAT LIVES WITHIN THE CITY.

THIS IS A, AS A BUDGET BILL FOR DIFFERENT THINGS.

UM, ALSO TO THAT POINT AND FINANCE CAN CLOSE THEIR EARS, IS THAT WE'RE AT ABOUT ROUGHLY 60 GPCD FOR THE LAST YEAR.

AND WHAT THAT, WHAT THAT IS FOR US IS SHOWS TWO DIFFERENT THINGS.

ONE, UM, THAT'S A COMBINATION OF OUR INDOOR AND OUR OUTDOOR USE, WHICH IS, UM, UNFORTUNATE THAT WE ARE AREN'T ABLE TO DISAGGREGATE THE, THE METER USAGE WHERE IT GOES FROM INDOOR AND THE OUTDOOR.

WE'RE WORKING ON A, UM, PROJECT RIGHT NOW, UM, WITH A PRIVATE, UH, UH, CONTRACTOR TO HELP US DISAGGREGATE THAT USE TO SEE WHAT IS GOING INSIDE AND WHAT IS GOING OUTSIDE.

BUT ON AN AVERAGE, WE'RE LOOKING ABOUT 50% OF THE WATER THAT'S USED IN THE HOME IS GOING TOWARDS THE OUT.

SO WE COULD ROUGHLY SAY THAT WE'RE MEETING THAT GPCD TARGET ALREADY.

THE, UM, THE OTHER BIG THINGS I WOULD SAY THAT WE'RE, WE'RE LOOKING AT HERE ARE THE, THE NEXT INDOOR RESIDENTIAL AT 42 GPCD THAT'S HAPPENING IN JANUARY OF 2030.

UM, AND ALSO THE, UH, REQUIREMENTS THAT THE STATE IS ASKING US TO DO LOTS OF MEASUREMENTS FOR IRRITABLE AREA FOR OUR CII SECTORS FOR, UM, MIXED USE METERS, WHICH IS, UH, METERS THAT PROVIDE WATER FOR THE OUTDOOR AND THE INDOOR AND DEDICATED IRRIGATION METERS, WHICH IS METERS THAT JUST PROVIDE WATER FOR THE OUTDOOR.

SO WITH THOSE PROJECTS AND TRYING TO KEEP OURSELVES WITHIN COMPLIANCE, UM, WE HAVE A RANGE OF DIFFERENT PROGRAMS THAT WE ALREADY PROVIDE.

SO WITH OUR OUTDOOR PROGRAMS, WE HAVE OUR LAWN AND GARDEN PROGRAM, WE HAVE OUR PARKWAY PROGRAM, WE HAVE OUR DIRECT INSTALL GARDEN PROGRAM.

WE HAVE A NEW PROGRAM THAT WE'RE, UM, UH, ACTUALLY I THINK YOU GUYS ARE GOING TO BE HEARING ABOUT THAT NEXT, UH, BOARD MEETING WITH, UH, COLLABORATION BETWEEN OUR NONPROFIT WITH SURF RIDER AND THE MARINE BRYO.

UM, WE HAVE OUR ONGOING REBATES FOR OUR CII CUSTOMERS AS WELL AS OUR RESIDENTIAL CUSTOMERS THAT'S SHARED BETWEEN METROPOLITAN AND AND OURSELVES.

WE ALSO HAVE OUR DIRECT INSTALL APPLIANCES PROGRAM THAT'S NEWER, THAT SHARES, UM, OPPORTUNITIES FOR OUR GAS AND AND WATER CUSTOMS FOR COLD WATER AND HOT WATER EXEMPT.

SO ALL OF THOSE ARE ACTIVE RIGHT NOW HELPING US, UM, STAY AT OR BELOW THAT BUDGET.

NOT TO MENTION THE ONGOING CHANGES TO THE PLUMBING CODE THAT ARE USING THE AMOUNT OF WATER USAGE, UM, PASSIVELY, BUT THE, UH, THE LARGER THINGS THAT WE'RE DOING RIGHT NOW, THERE'S SOME EXAMPLES HERE.

SO THIS IS A, JUST A SNAPSHOT EXAMPLE OF A, AN AERIAL IMAGE OF SOME MAPPING, UH, CLASSIFICATIONS THAT WE'RE DOING FOR, UH, ALL OF THE CITY.

SO YOU CAN IMAGINE THIS LITTLE MAP AND THEN THINK OF ALL THE IRRITABLE AREAS THROUGHOUT THE WHOLE CITY.

THE STATE IS REQUIRING US THAT WE PROVIDE THE SQUARE FOOTAGE FOR ALL THESE IRRITABLE AREAS.

AND, UM, THE MAIN REASON THAT WE WANT TO DO THAT IS BECAUSE THERE'S OPPORTUNITY FOR US TO INCREASE THE BUDGET THAT WE HAVE FOR THE OUTDOOR SPACE.

THERE'S A, IF THERE IS ANY TYPE OF, UM, ISSUE WITH THE, UH, PARCEL LAYERS THAT ARE FROM THE, UM, STATE DATA, THERE'S THE OPPORTUNITY THAT THE, SAY FOR EXAMPLE, THE CII, UH, UH, BUDGET MAY BE OVERLAPPING WITH THEIR, WITH THEIR RESIDENTIAL BUDGET, BUT WE WANT TO CLEAN THAT UP SO THAT WE HAVE A HIGHER BUDGET FOR THE RESIDENTIAL AND A SIMILAR BUDGET FOR CII.

THE BENEFIT OF HAVING THESE TYPES OF MAPPING, UM, OPPORTUNITIES NOT ONLY GIVES US THE, THE CORRECT NUMBER OF SQUARE FOOTAGE THAT WE CAN GO BACK TO THE STATE AND SAY, HEY, YOU KNOW WHAT? WE'RE POTENTIALLY GONNA NEED A 20% INCREASE IN OUR BUDGET BECAUSE YOUR DATA IS INCORRECT.

UM, THEIR MAPPING IS ALSO WAS FLOWN AT 2018 AND 2020, SO NOW WE'RE IN 2025.

UM, WE HAVE THE ABILITY TO USE AERIAL IMAGERY THAT'S FROM THE, FROM THE PORT, WHICH IS HELPFUL TO US.

THAT WAS ACTUALLY FLOWN IN 2024.

UM, AND WE'RE ALSO ON THE GROUND.

SHE WAS TALKING WITH LANDSCAPERS AS WELL TO IDENTIFY WHICH METERS ARE WATERING, UH, CERTAIN PARTS OF THE PARCEL.

UM, THE RED AREA IN THIS MAP IS A, UH, UH, DIFFERENT SENATE BILL AB 1572, WHICH IS A, ANOTHER, UH, STATE REQUIREMENT THAT'S COMING INTO PLAY THAT'S REQUIRING,

[00:35:01]

BUT WHILE WE'RE TAKING THIS MAPPING EFFORT AND WE'RE GOING OUT TO, UH, PROPERTIES IN THE COMMERCIAL AREA, WE'RE ASKING THE, UM, THE LANDSCAPERS AS WELL AS THE OWNERS, PROPERTY MANAGEMENT COMPANIES, IF THIS TURF THAT THEY'RE USING IS, IS USEFUL FOR A FUNCTIONAL PURPOSE.

UM, WE'RE STILL WORKING OUT WHAT THAT MEANS FOR, FROM A FUNCTIONAL STANDPOINT.

THE STATE GAVE US A VERY BROAD DEFINITION.

UM, SO WE'LL BE COMING BACK TO YOU TO DEFINE THAT FURTHER.

BUT, UM, WE WANTED TO MAP THAT AT THE SAME TIME SO WE UNDERSTAND WHICH AREAS ARE GONNA BE A POTENTIAL ISSUE.

UM, THIS OTHER MAP HERE IS A LARGER MAP THAT IS ALL THE CII BUSINESSES, UH, WITHIN THE CITY.

AS I MENTIONED.

THOSE 22 A, UM, REQUIRED, UM, SECTIONS THAT THE ENERGY STAR PORTFOLIO MANAGER NEEDS US TO PUT ALL THESE BUSINESSES INTO IS ANOTHER LARGER PROJECT THERE AS WELL WITH, UM, ECONOMIC DEVELOPMENT.

UM, AND IT'S GONNA BE A LITTLE BIT OF A, A LONG HAUL FOR BOTH OF THESE.

I WOULD SAY IT WOULD PROBABLY TAKE US MULTIPLE YEARS TO FINISH THAT.

UM, BUT IT IS REQUIRED FROM THE STATE AND HOPE THAT WE CAN MEET ALL THE BUDGETS THAT ARE NECESSARY BY 2027 AND THEN FURTHER INTO 20.

UM, SO SOME OF OUR FUTURE PROJECTS HERE, UM, SOME OF THE VARIANCES, WE'RE GONNA HAVE TO, UH, TAKE A REVIEW OF WHAT THE STATE'S OFFERING ON HOW WE CAN INCREASE OUR BUDGET.

UM, AND THEN AS I MENTIONED BEFORE, THAT'S, UH, THE IRRIGABLE AREA DATA, IRRIGABLE AREA DATA THAT THE STATE PROVIDED US, WE WILL WANT TO GO BACK AND PROVIDE THEM WITH CORRECTIONS, INCREASE OUR BUDGET FOR THE OUTDOOR WITH THAT, UM, TAKE ANY QUESTIONS.

THANK YOU.

THAT WAS VERY INFORMATIVE.

REALLY APPRECIATE THAT.

UM, ARE THERE ANY PUBLIC COMMENTS? COMMISSIONER COMMENT? JOE, I MISSED A COUPLE OF YOUR POINTS.

COULD YOU START ALL OVER AGAIN, OVER AGAIN? IT WAS A LOT OF INFORMATION.

.

YES.

AND I TALK AF AFTER COMMISSIONER C*M.

SO ONE OF THE, THE THINGS TO, TO ADD ON TO ALL OF THE DETAIL THAT JOE PROVIDED YOU IS THAT I'VE, I'VE SPOKEN TO YOU BEFORE ABOUT THIS ELEMENT FOR THE UTILITIES, THAT THEIR CHALLENGE IS EMBEDDED WITHIN THREE STRATEGIC AREAS, RESOURCE, DATA, AND AFFORDABILITY.

AND IN THIS CONTEXT YOU CAN SEE THAT FOR THE RESOURCE, THE REGULATORY ENVIRONMENT JUST BECOMES INCREASINGLY STRICT.

THAT'S IMPORTANT BECAUSE MANY TIMES WHEN WE'RE DEALING WITH CUSTOMERS, THE CUSTOMERS BELIEVE THAT THE WATER CONSERVATION DIRECTIVES ARE COMING FROM US, THAT WE ARE THE ONES IN FACT TELLING THEM THAT THEY HAVE TO CONSERVE.

BUT IN THIS CASE, THE RESOURCE ITSELF IS SEVERELY CONSTRAINED DUE TO CLIMATE CHANGE AND ALL THESE OTHER REASONS.

AND SO THE STATE IS DIRECTING THAT EMPHASIS, RIGHT? AT THE SAME TIME IN ORDER TO DO THAT, IN ORDER TO COMPLY PROGRAMS AND EVERYTHING RELIES ON AN INCREDIBLE AMOUNT OF DATA.

MORE AND MORE AND MORE DATA IN THIS CASE, EVEN TO SATELLITE IMAGERY OF IRRIGABLE AREA TO EVEN ADDRESS HOW WOULD YOU TELL COMMERCIAL DOWN THE ROAD TO BEGIN MODIFYING THEIR LANDSCAPES? BUT EMBEDDED WITHIN THAT BECOMES AFFORDABILITY BECAUSE IN THIS CONSTRAINED ENVIRONMENT THAT THE STATE IMPOSES, AS WE ASSEMBLE ALL THE DATA, THE NET RESULT OF THIS IS, AS JOE POINTED OUT, LOWER AND LOWER DEMAND.

WHILE FOR THE SAME AMOUNT OF INFRASTRUCTURE AND LOWER DEMAND, WE HAVE TO RAISE RATES AND THERE BECOMES THE CRUX OF THE AFFORDABILITY ISSUE, RIGHT? SO RESOURCES, DATA, AND AFFORDABILITY IS THIS CONFLUENCE OF THREE CRE CRITICAL STRATEGIC AREAS THAT GET EMBEDDED WHENEVER WE SEE THINGS LIKE THIS COME ABOUT.

SO IT, IT IS SOMETHING THAT WE CONTINUE TO DO.

I KNOW THAT YOU MAY HAVE FOUND, YOU KNOW, ONE OF THE ORIGINS OF THIS PRESENTATION IN THIS ISSUE WAS, I THINK AT THE TIME ONE OR MORE PUBLICATIONS, UH, CREATED A HEADLINE.

AND THE HEADLINE WAS STATE MOVES TO FURTHER RATION WATER.

SO THE RESTRICTIONS AND SO FORTH INDEED IS VERY STRICT GUIDANCE ON USAGE.

AND DEPENDING ON HOW YOU MAY FIND YOURSELVES TALKING TO SOMEBODY IN THE PUBLIC, THEY MIGHT TELL YOU THAT THEY READ SOMEWHERE THAT WE'RE RATIONING WATER.

WELL, WE OURSELVES ARE NOT RATIONING WATER.

THE STATE IN ESSENCE IS NOT RATIONING WATER.

THE STATE IS PUTTING FURTHER RESTRICTIONS AS A GUIDANCE FOR YOU TO COMPLY.

AND AS JOE POINTED OUT, HOW YOU CHOOSE TO COMPLY IS UP TO YOU.

SO IT IT'S NOT ENTIRELY ACCURATE THAT THE STATE IS RATIONING WATER.

THANK YOU.

ANYTHING ELSE? COMMISSIONER SCOTT? OKAY, COMM, I JUST HAVE A QUESTION, JOE.

UM, HOW DO WE WORK WITH OUR CNI CUSTOMERS? DO WE, DO YOU GO OUT INDIVIDUALLY? ARE YOU GOING TO AN ORGANIZATION TO INFORM THEM OR HOW DO THEY

[00:40:01]

AND THEY'RE IN AN UNDERSTANDING OF WHAT'S REQUIRED FROM THIS BUDGET FOR A CII OUTDOOR SECTION.

THE, UM, THE, THE LARGER BUILDINGS, UM, IS MORE OF A, UH, A COLLABORATION BETWEEN THE, THE CITY, UH, ECONOMIC DEVELOPMENT AND BUSINESS DEVELOPMENT, UH, DEPARTMENTS AND BUREAUS THAT WE CAN HAVE A UNDERSTANDING OF THE WAY THAT THEY BUILD BUSINESS.

UH, NOT TO SAY NS CODES FROM A TAX PERSPECTIVE, BUT THE WAY THAT THEY BUILD OUT DESCRIPTIONS OF BUSINESSES FALL IN LINE WITH THE 22, UH, CLASSIFICATION REQUIREMENTS THAT WE HAVE, THE ENERGY STAR PORTFOLIO.

SO WORKING WITH THEM TO FIRST UNDERSTAND, LET'S MAKE A ROADMAP OF WHAT THE 200 THINGS THAT YOU'RE CLASSIFYING BUSINESS AS CAN FALL INTO THE 22 THAT WE'RE REQUIRED FOR SO THAT WE CAN WORK TOGETHER TO CLASSIFY BUSINESS AND THEN GO OUT, OUT AND IDENTIFY THEM OF HOW WE CAN TO REDUCE.

THANK YOU.

OKAY.

THANK YOU.

THAT WAS GREAT.

PERFECT.

.

UM, OKAY.

DO I SEE NO OTHER COMMENTS? UH, DO I HAVE A MOTION TO RECEIVE AND FILE MOVE? THANK YOU.

COMMISSIONER SAND.

AND JULIE, JULIE? HAVE A SECOND.

SECOND.

COMMISSIONER SCOTT.

THANK YOU.

UH, ALL IN FAVOR SAY AYE.

AYE.

ANY OPPOSED? NO, THE MOTION CARRIES.

THANK YOU.

OKAY, ITEM NUMBER

[5. 25-54251 Recommendation to receive and file the January 2025 General Manager’s Report.       Suggested Action: Approve recommendation. ]

A**L CHO.

YES.

THANK YOU.

P MCGUIRE.

I HAD, I HAD A NUMBER OF DIFFERENT ITEMS FOR YOU THERE IN, IN THE GENERAL MANAGER'S REPORT.

THE FIRST ONE WAS IN GENERAL LOWER YOU ABOUT HOW BOARD RETREAT PLANNING IS GOING.

I KNOW THAT YOU'VE BEEN ENGAGED WITH THE CONSULTANTS IN INTERVIEWS, UH, TO GIVE YOU THE, THE BACKGROUND INFORMATION ON THE DIFFERENT UTILITIES AS WELL AS TO GATHER FROM YOU WHAT YOU, UH, WHAT YOUR INSIGHTS WERE AS WELL AS, UH, WHAT YOU FEEL IS TOP OF MIND PRIORITIES FOR YOU, UH, ARE AS WELL FOR THE UTILITY THAT ALL WILL COME TOGETHER FOR THE BOARD RETREAT, WHICH IS CURRENTLY SCHEDULED FOR MARCH 31ST.

STAFF IS ACTIVELY PLANNING THAT AND PUTTING THAT TOGETHER.

UH, AS THAT DETAIL ARISES, I WILL BE SHARING THAT WITH YOU SO THAT YOU ARE AWARE BEFORE WE GO INTO THAT.

UM, ON THE TOPIC OF WATER, THE STATE WATER PROJECT ALLOCATION INCREASE OCCURRED, UH, THIS IS ON JANUARY 28TH.

THE DEPARTMENT OF WATER RESOURCES AS ALWAYS TRACKING RAIN AND SNOW CONDITIONS THROUGHOUT THE STATE OR THE STATE WATER PROJECT, WHICH IS THE FEATHER RIVER WATERSHED.

THEY DECIDED TO INCREASE THAT ALLOCATION TO 20%.

THAT IS GOOD NEWS OVERALL.

UH, MINDFUL STILL THAT THIS CRITICAL TIME PERIOD NOW IS GOING TO BE WHAT THEY NEED TO TRACK, UH, WHETHER IT'S COMES IN THE FORM OF RAIN OR SNOW WILL BE IMPORTANT AS WELL AS THE TOTAL PRECIPITATION.

AND WE'LL CONTINUE TO REPORT ON THIS AS WE GO.

UH, IN DEAN'S WATER SUPPLY UPDATES, BUSINESS MODEL DISCUSSIONS, METROPOLITAN CONTINUES TO BE ENGAGED AND A LONG RANGE RESOURCES PLAN, WHICH THEY CALL THE CLIMATE ADAPTATION MASTER PLAN.

AND AN EMBEDDED WITHIN THAT IS A CONTINUED DISCUSSION AND REFINEMENT OF THEIR BUSINESS MODEL.

CERTAIN DISCUSSIONS HAVE COME FORWARD IN THE BUSINESS MODEL.

ONE IS APPROACH TO BUDGETING AND RATES THAT WOULD HAVE AN IMPACT, UM, CONSERVATIVELY ON, UM, BUDGETING AT A LOWER SALES LEVEL AND INTENTIONALLY DOING SO, CREATE THE PROSPECT THAT SALES MIGHT BE ABOVE IT AND AS THAT MANNER RAISE THEIR RESERVES.

THAT IS ONE APPROACH BEING DISCUSSED.

THE OTHER APPROACH BEING DISCUSSED IS CAN THERE BE A FUNDAMENTAL SHIFTING TO THE ONLY SOURCE OF FIXED REVENUE THAT THEY HAVE, WHICH IS THE A VALOREM PROPERTY TAX.

UM, THAT IS THE SINGLE FUNDAMENTAL BASIS FOR FIXED REVENUE FOR THE AGENCY.

AND THAT DEBATE ALSO CONTINUES AT THE SAME TIME.

ANOTHER ELEMENT OF THE BUSINESS MODEL DISCUSSION IS INDEED WHETHER THERE CAN BE MEMBER AGENCY TO MEMBER AGENCY TRANSFERS OF LOCAL SUPPLY, ALBEIT ON PAPER.

SO METROPOLITAN JUST MOVES WATER IN ITS SYSTEM, BUT THE NET RESULT OF IT IS THAT ONE MEMBER AGENCY'S LOCAL SUPPLY HAS IN EFFECT MOVED TO THE OTHER, SIMPLE TO SAY, VERY COMPLEX TO ACTUALLY PULL OFF.

AND SO THAT CONTINUES TO BE ONE OF THE OTHER CRITICAL DISCUSSIONS IN TERMS OF BUSINESS PLAN DEVELOPMENT.

I HAD TOLD YOU THAT ONE OF MY GOALS WAS TO BRING FORWARD A BUSINESS PLAN AND ALIGN IT WITH THE CURRENT BUDGET.

SO THAT CONTINUES TO BE MY GOAL.

STAFF IS ACTIVELY TRYING TO PUT THAT TOGETHER.

UH, IT IS MY GOAL TO MARRY THAT UP TO THE BUDGET REPORTING AS WE BRING TO YOU DIFFERENT QUARTERLY RESULTS OF THE BUDGET.

AND SO I ANTICIPATE SOMETIME IN MARCH I'LL BE BRINGING THAT TO YOU HERE

[00:45:01]

AND THAT CONCLUDES THE GENERAL MANAGER'S REPORT.

I'M HAPPY TO ENTERTAIN ANY QUESTIONS YOU HAVE ABOUT THIS OR ANY OTHER TOPICS.

GREAT, THANK YOU.

ANY PUBLIC COMMENT, COMMISSIONER COMMENT TO GO.

UH, DO I HAVE A MOTION TO RECEIVE AND FILE IN FILE? I HAVE A MOTION AND A SECOND.

ALL IN FAVOR? AYE.

ANY OPPOSED? NO.

GREAT.

UM, THIS IS THE PUBLIC

[PUBLIC COMMENT Opportunity to address the Utilities Commission on non-agenda items. Each speaker is limited to three minutes to make their comments unless extended by the Board.]

UH, IS THERE ANYONE WISHING TO SPEAK ON A NON AGENDA ITEM? SEEING NO ONE, NONE.

THE PUBLIC COMMENT PERIOD IS NOW CLOSED.

AND

[ANNOUNCEMENTS]

ARE THERE ANY ANNOUNCEMENTS FROM ANYONE? YES, COMMISSIONER SHANNON.

FIRST OF ALL, I LIKE YOUR SOCKS TIE OH, PINK .

ON A LITTLE MORE SERIOUS NOTE.

UM, UH, UNLESS YOU FEEL IT'S INAPPROPRIATE, UH, COULD WE HAVE A IF OF SOME FUTURE TIME, A PUBLIC DISCUSSION OF THOSE GRANTS AND SIMILAR ACTIONS OR SIMILAR SOURCES OF REVENUE, WHICH ARE OR MIGHT BE, UH, IN JEOPARDY.

UM, GIVEN THE, UH, NEW PRESIDENT AND THE, SOME OF THE LANGUAGE HE'S USED, I NOTICED IN THE, IN UH, JOE'S PRESENTATION, UH, THE WORD FEMA, UM, IF WE BELIEVE MR. TRUMP, UH, FEMA WON'T EXIST ANYMORE, UH, WHO KNOWS.

BUT, UH, THOSE ARE, THOSE ARE THINGS THAT MAY BE ON THE, UH, HORIZON THAT WE MIGHT WANNA PUBLICLY DISCUSS.

AND THEN AGAIN, WE MIGHT NOT LEAVE IT TO YOUR DISCRETION IF YOU HAVE A FEW COMMENTS LIKE, YEAH, I THINK IT'S IS ABOUT WHAT'S HAPPENING.

SO ONE, FOR US AS A DEPARTMENT, TWO AS A DEPARTMENT OF THE CITY, WE ARE COLLABORATING AS WELL FOR OUR PART.

UH, WE'RE WORKING VERY CLOSELY WITH OUR FEDERAL LOBBYISTS.

OUR WEIGHT ARE KEEPING US INFORMED AS TO THE POTENTIAL RAMIFICATIONS AND OUR PART, UM, DIANE HAS LED THE EFFORT OF TRYING TO GET KIND OF ASSEMBLE.

IT'S NOT THAT WE DON'T KNOW, BUT WE'VE NEVER ASSEMBLED IT IN, UM, A TABLE OF ALL OUR GRANTS.

SOME OF THE SPECIFICITY WELL PREPARED THIS TIME.

NOTHING SPECIFICALLY HAS COME TO I WANT TO, BUT YOU KNOW, TOO THAT WHEN IT COMES TO GRANTS, UM, IT HAS BEEN MY GOAL TO PUT BEFORE THE BOARD THAT WHEN WE ASK YOU TO TAKE ACTION, WE ASK YOU TO TAKE ACTION IN THE PROGRAM FOR THAT PROJECT.

AND THEN WE INFORM YOU HOW BENEFICIAL IT WOULD BE TO GET A GRANT.

YOU CAN UNDERSTAND THE CONTEXT OF RECEIVING THOSE FUNDS THAT YOU PROGRAM WITH THE EFFECTIVE.

SO WE DO NOT FIND OURSELVES, I SAY PERHAPS IN THE HEALTH DEPARTMENT WHERE THEY HAVE POSITIONED THAT THE VERY NATURE OF THE PROGRAM IS BECAUSE OF FEDERAL FUNDING AND THEN LACKING THAT ENTIRE GOAL WITH YOU.

IS THAT FUNDING THAT COMES FIRST, THAT YOU'VE AUTHORIZED IT? I DID FOR IT.

WE DONE.

SO IT'S NOW BECOMES THAT'S MY, AS WE GIVE MORE INFORMATION, BUT WE THINK IT MIGHT BE BENEFICIAL TO HAVE A CAR P IN CLAY TO COME OUT HERE AND THERE WAS AN UPDATE.

IT WILL, IT WILL DEPEND.

I'LL, I'LL, I'LL CONSULT WITH THEM AND SEE IF IT'S IMPORTANT.

IMPORTANT.

IF YOU'LL, IF NOT, WE'LL DO OUR BEST TO SUM AUTOMATION.

AND I CERTAINLY IS THE INTERESTING QUESTION FROM YOU.

IT'S YOUR STRESS.

ALRIGHT, A QUICK QUESTION.

UM, ANNA, THERE'S A LEGISLATIVE DAY.

ARE YOU, ISN'T THERE ONE IN DC COMING UP? OKAY.

GREAT.

THANK YOU.

THANK YOU DIANA.

THANK YOU FOR ALL THOSE CLARIFICATIONS.

I THINK IT'S ON OUR MINDS.

UM, ANYTHING ELSE ANNA, TO FOR YOUR REPORT? THAT'S IT COMPLETED.

OKAY.

UM, SEEING

[ADJOURNMENT]

[00:50:01]