SFPUC Commission Meeting January 9, 2024: Capital Projects, Contract Performance, and Community Concerns
STREAMING COPY IN PREPARATION — RECORDING AVAILABLE FROM THE ORIGINAL SOURCE
SFPUC Commission Meeting January 9, 2024: Capital Projects, Contract Performance, and Community Concerns
The San Francisco Public Utilities Commission (SFPUC) met on January 9, 2024, to discuss wastewater capital projects, contract delivery performance, and community contracting concerns. The Commission approved the consent calendar, received reports on contract performance and wastewater capital improvements, and addressed public comments regarding local hiring and LBE inclusion. The meeting also included a closed session where the Commission recommended approval of a $9 million settlement.
Consent Calendar
- Approved unanimously (5-0) the consent calendar, which included:
- Contract No. CS-1412 for water and power resource studies in the Tuolumne River Watershed (not to exceed $2,000,000, 4 years).
- Contract No. HH-1009 for San Joaquin Pipeline Valve and Safe Entry Improvements Phase 3 – Tesla Surge to Tower Mountain Cascade, Inc. ($11,051,305).
- Contract Nos. PRO.0254 A & B for Construction Manager services to CM Pros PRO.0254.A and PMA Consultants LLC & Dabri Joint Venture, Inc. PRO.0254.B (each not to exceed $7,500,000, 8 years).
- Contract No. PRO.0257 R for Underwater Tank Reservoir Inspection & Cleaning Services to Underwater Resources, Inc. (not to exceed $1,800,000, 5 years).
- Accepted work and increased contract amount for WD-2811 Water Main Replacement on 17th Street.
- Increased construction cost contingency for Contract No. WD-2840 (new cost limit $27,344,289).
- Approved 120-day increase for Contract No. WD-2871 Sunol Valley Water Treatment Plant.
- Decreased contract amount for WD-2882 Trousdale Oaks Tree Removal by $199,765 (total $2,587,187).
- Awarded Contract No. WD-2896 for 12-Inch Ductile Iron Water Main Installation on Webster Street.
Public Comments & Testimony
- General Public Comment: Several community members and business owners expressed concerns about lack of local hiring and inclusion of micro-Local Business Enterprises (LBEs) in SFPUC projects. Speakers included:
- A community advocate who stressed the need for a needs assessment and community consultation, referencing the Bayview community's struggles.
- Atuma Belfry, a skilled electrician and San Francisco native, who highlighted challenges for local workers in getting retained on projects.
- Aron A. Sterling, owner of Sterling Builders, who requested fair opportunities for micro-LBE contractors on SFPUC projects.
- Dennis Williams, community leader and real estate developer, who appealed for more contracts for the Black community, noting statistics showing they receive the lowest share.
- On Wastewater Capital Report: A public commenter criticized the lack of transparency and detailed reports on energy use at the biosolids facility, calling for more accountability.
Discussion Items
- Wastewater Enterprise Capital Improvement Report (5a): Bessie Tam presented Q1 FY2023-24 status. Key points: 120 projects, overall program at 64.8% complete for SSIP Phase 1; highlighted projects completing in 2024 (Wawona Stormwater, Ocean PSD Clarifiers, Southeast Plant Power Feed). Biosolids Digestive Facilities project at 45% construction, with a forecast budget increase due to market conditions. New Headworks facility nearing completion, also with potential cost/completion changes.
- Commissioners asked about performance-based contracts, timeline extensions (e.g., Kansas and Marin project pushed to 2036), and energy generation opportunities at the biosolids facility.
- Contract Performance and Delivery Methods (5b): Stephen Robinson presented data on 89 completed construction contracts (5 years). Findings: 40% completed within 10% of budget; 67% within 10% of schedule. Compared to industry benchmarks of 31% (budget) and 25% (schedule). Discussed diversification of delivery methods (design-bid-build down to 64% of active contracts; integrated delivery up to 34% by dollar amount). Emphasized need to select appropriate delivery strategies early.
- Commissioners praised the analysis, requested benchmarking against similar utilities, and suggested exploring community-based public-private partnerships and performance-based contracting.
- Items Initiated by Commissioners (8): Commissioner Maxwell requested a report on LBE and community benefits for the Biosolids project; Commissioner Jami requested information on the feasibility of restoring remote public comment, noting other commissions still offer it.
Closed Session and Actions
- Closed Session (Item 11 & 12): The Commission unanimously (5-0) voted to assert attorney-client privilege and entered closed session to discuss:
- Conference with legal counsel: Proposed settlement of a personal injury claim (Mason Masuda vs. City and County of San Francisco) for $9,000,000.
- Conference with labor negotiator: Issues related to unrepresented employee compensation.
- Post-Closed Session: The Commission recommended approval of the settlement and voted unanimously (5-0) not to disclose further details.
Key Outcomes
- Approved consent calendar unanimously (5-0).
- Approved minutes from December 12, 2023 (5-0).
- Directed staff to compile a report on LBE participation and community benefits for the Biosolids project (for February 2024).
- Directed staff to investigate the timeline and feasibility of reinstating remote public comment.
- Recommended approval of the $9 million settlement to the Board of Supervisors.
Note: The meeting minutes were not available; this summary is based on the agenda and raw transcript. There may be discrepancies between the agenda and the verbal proceedings (e.g., the agenda lists items 5a, 5b, 5c, but only 5a and 5b were presented in the transcript).
Meeting Transcript
New year, everyone. The January 9th meeting of the San Francisco Public Utilities Commission is now called to order. Can we have the roll call, please? President Paulson. Here. Vice President Rivera. Here. Commissioner Maxwell. Commissioner Jamy. Yeah. Commissioner Stacy. Here. The San Francisco Utilities Public Utilities Commission acknowledges that it owns and are stewards of the unceded lands located within the ethno historic territory of the Molecula Ohlone tribe and other familiar descendants of the historic federally recognized Mission San Jose Verona Band of Olamita County. The SFPUC also recognizes that every citizen residing in the Greater Bay Area has and continues to benefit from the use and occupation of the Molequa Ohlone's tribe's aboriginal lands since before and after the San Francisco Public Utilities founding in 1932. It is vitally important that we not only recognize the history of the tribal lands on which we reside, but also we acknowledge and honor the fact that the Muekla Olone people have established a working partnership with the SFPUC and our productive and flourishing members of the many greater San Francisco Bay Area communities today. So Madam Secretary, can you call the first item, please? Item number three is approval of the minutes of December 12, 2023. So are there any questions or uh addendums uh to the min to the uh minutes? Seeing none, let us open the uh this item three to the uh general public, madam secretary. Do you have any members of the public present to provide comment on item number three, the approval of the minutes? See none? Okay, seeing none, um can I uh request a motion and second to approve the minutes of December 12th? Second, there's a move, there's a motion and a second. Can we have roll call, please? President Paulson. Aye, Vice President Rivera? Aye. Commissioner Maxwell, Commissioner Jamy, Commissioner Stacy. Aye. You have five eyes. Okay, item four is general public comment, madam secretary. Uh general public comment is do we have any members of the public present to provide to address the commission on matters that are within the commission's jurisdiction and are not on today's agenda. The commissioners uh I want to address a very important issue in our community, and that's uh jobs. And the way we have to look at it now is because there's so much coming down the pipeline on Third Street is skills for our young people, men and women who are dying. And um we had an opportunity to invest in our young people from the year 2016, and we failed miserably. But uh the contracting center was my vision to focus on young people, but then something got changed, and all that the contracting center did for a long time was allowed to come to look at the projects. And many of the contractors thought that the contracting center was at Hunter's Point and a dangerous place to go to and did not visit it when y'all know that it's at 150 executive park, which is more or less a gated place. So now we have to make up. And we cannot make up unless we have a needs assessment. And in order to do the needs assessment, you have to consult the community. Don't ever do things without consulting the community. Like last time there was some agenda item about 1550 events, and you left the community out. The Bayview community is hurting, and the time to be a holistic is now. Thank you very much. Thank you. Are there any other speakers? Hello, Commissioners. My name is Atuma Belfry, and I'm here. I'm a skilled trained electrician. I've been I got into the union in 1999.
openpublica.com