San Francisco Public Utilities Commission Meeting – April 8, 2025

The San Francisco Public Utilities Commission (SFPUC) met on April 8, 2025, at 9:30 a.m. The Commission approved the minutes of the March 25, 2025 meeting, adopted an ultra-high efficiency toilet rebate program, approved a 10% rate increase for Hetch Hetchy Power service (with no change to CleanPowerSF rates), amended cabin rental fees at Camp Mather, and revised the Southeast Community Center Digital Equity Operator Grant program, increasing funding and expanding services.

Consent Calendar

• Approval of Minutes (March 25, 2025): Approved unanimously (4–0) without discussion or public comment.

Public Comments & Testimony

• General Public Comment (Item 4): One caller, referencing a 2021 open letter signed by 68 retired San Francisco Fire Department officers, criticized the SFPUC's plan to use drinking water for post-earthquake firefighting on the west side. The caller argued the plan is unreliable and could lead to destruction of neighborhoods.
• Item 8 – Digital Equity Grant: Damian Posey, new Chair of the Southeast Community Facility Commission, spoke in support of the grant revisions, emphasizing the digital divide in District 10 and thanking the Commission for its support. The Southeast Community Facility Commission had unanimously recommended approval on March 26, 2025.

Discussion Items

Item 6 – Ultra-High Efficiency Toilet Rebate Program

Julie Ortiz (Water Conservation Manager) presented the new rebate program to replace toilets using 1.6 gallons per flush (gpf) or more with premium certified ultra-high efficiency models (≤1.1 gpf or ≤0.8 gpf). Key details:

• Rebate levels: Up to $100 for 1.1 gpf models; up to $200 for 0.8 gpf models.
• Estimated savings: Replacing 1,500 toilets per year would save ~3 million gallons annually; over 50,000 toilets replaced to date saved 6.6 billion gallons total.
• Target: 40% of existing toilets are 1.6 gpf; 15% are older 3.5+ gpf.
• Program launch: July 2025; administered in-house; replaces expiring direct-install program.
• Commission questions: Commissioner Leveroni asked about remaining old toilets and performance of 0.8 gpf models; Commissioner Jamdar inquired about differences from previous programs.

Item 7 – Power Rates and Facility Rental Fee Update

Matthew Freiburg (Rates Manager) presented the rate proposal for Hetch Hetchy Power and CleanPowerSF. No rate change was proposed for CleanPowerSF. For Hetch Hetchy Power:

• 10% increase across all rate tariffs, effective with meter readings on or after July 1, 2025.
• Three-cent per kilowatt-hour increase for legacy General Use (Goosey) and Tuolumne County customers, moving them toward cost-of-service rates.
• New rate tariff (IR1T) for industrial customers receiving transmission-level voltage in Stanislaus County.
• Bill comparisons: Residential Hetch Hetchy customers will pay $86/month (up $8) vs. an estimated PG&E rate of $102+; low-income discount customers will pay $60/month (up $5).
• CleanPowerSF: Staff reported that lower power purchase costs allow the enterprise to achieve its 180-day cash-on-hand target without a rate increase. Residential rates remain $3/month more than PG&E due to a negative Power Choice Index Adjustment (PCIA); staff expect this to equalize within a year.
• Camp Mather Cabin #2: Rental fee set at $270/night (resident rate) for the remainder of FY2025-26, increasing to $275 on July 1, 2026, to recoup upkeep costs.
• Commissioner Leveroni asked about PG&E’s wildfire costs and the SFPUC’s own wildfire mitigation efforts. Vice President Arce highlighted the advantage of Hetch Hetchy rates vs. PG&E and expressed interest in long-term strategies to reduce CleanPowerSF’s dependence on market rates.

Item 8 – Southeast Community Center Digital Equity Grant Revisions

Elise Washington (Senior Administrative Analyst) presented revisions to the Digital Equity Operator Grant program:

• Annual grant increase: From $125,000 to $200,000.
• Expanded services: Job placement and workforce development, connecting residents to city apprenticeship programs, entrepreneurship workshops, and enhanced outreach.
• Performance metrics: New service standards to evaluate impact and comply with Controller’s Office requirements.
• Outcomes (FY2023-24): Nearly 100 individuals served; 98% received tech support or internet access.
• Commissioner Leveroni noted the increase from $125k to $200k and growth in participants. Vice President Arce praised the program’s impact and the unanimous recommendation of the Southeast Community Facility Commission.

Key Outcomes

• Item 3 (Minutes): Approved 4–0.
• Item 6 (Toilet Rebate Program): Approved 4–0.
• Item 7 (Power Rates & Cabin Fee): Approved 4–0. Hetch Hetchy rates increase 10% effective July 1, 2025; Camp Mather cabin fee established at $270/night (rising to $275 in FY2026-27). CleanPowerSF rates unchanged.
• Item 8 (Digital Equity Grant): Approved 4–0. Annual grant increased to $200,000 with expanded services.
• Closed Session: The Commission met in closed session (Item 12) to assert attorney-client privilege and discuss pending litigation. No disclosures were made upon returning to open session; the meeting adjourned.