SFPUC Commission Meeting – March 10, 2026

The San Francisco Public Utilities Commission met on March 10, 2026, at 9:45 AM to review quarterly budget and capital improvement reports, approve consent calendar items, and authorize new agreements and contracts. The meeting began with a land acknowledgment and included public comments on water quality and a park redevelopment proposal. Commissioners approved the minutes of February 24, 2026, consent calendar items (including a contract for Cherry Valley Dam spillway repairs), a memorandum of agreement with San Bruno for a shared groundwater well, and a contract for NERC compliance and audit support.

Consent Calendar

• Item 6A, 6B, 6C – Awarded three contracts: (6A) Cherry Valley Dam spillway interim repairs to Sierra Mountain Construction ($8.7 million, engineer's estimate $13.5 million), (6B) another infrastructure contract, and (6C) a third contract. All were approved unanimously after questions about wide ranges in compensatory delay bid prices. Commissioner Stacy noted disparities: e.g., for the Cherry Spillway project, bidders quoted $15/day, $7,500/day, and $225,000/day for compensable delays. Staff explained that compensable delay is a competitive bid-priced item and does not necessarily lead to more disputes.

Public Comments & Testimony

• Francisco da Costa – Criticized the SFPUC for poor water quality and maintenance of reservoirs, stating "the water stinks" and urged inspections. He expressed that ratepayers should not have to pay for degraded water.
• Susan Mullaney – Opposed a proposed artificial turf conversion of 20 acres of baseball fields at Crocker Amazon Park, citing that the PUC's own report identifies baseball fields as good for stormwater infiltration. She asked the commission to oppose the project since the PUC owns the land.
• Tracy Swedlow – Also opposed the Crocker Amazon artificial turf project, noting it would remove 100 mature trees and close large portions of the park for over a year. She urged the commission to reject the proposal.
• On Item 10 (Commissioner-initiated discussion) – No public comment was offered.

Discussion Items

• Item 5A – Quarterly Budget Status Report (Q2 2025) – Presented by Anna Dooning. Water enterprise revenues down due to lower wholesale volumes (wet weather) and loss of Build America bond subsidy, offset by $29.5 million in debt service savings from 2025 refunding and personnel savings. Wastewater showing a modest shortfall due to usage variance, but expected to recover in second half. Power projecting $15–50 million surplus due to lower demand and power purchase costs, though not yet incorporating recent Middle East energy market changes. CleanPowerSF also positive due to rate decreases (approved earlier) offset by lower purchase costs and reserve use. All enterprises meeting internal policy targets.
• Item 5B – Hetch Hetchy Capital Improvement Program Quarterly Report – Presented by Katie Miller. Reported on 22 major projects ($2 billion budget; $506 million spent). Notable: Moccasin Penstock Rehabilitation cost increase of $203 million (included in approved fiscal year 2027–2036 10-year capital improvement plan). Mountain Tunnel Improvements Project completed 80% of contact grouting during winter shutdown. Two contracts received silver awards for partnering. Changes to report formatting to meet Department of Justice accessibility requirements (removed pie/bar charts, simplified tables).
• Item 5C – Wastewater Enterprise Capital Improvement Program Quarterly Report – Presented by Bessie Tam. Reported on 127 capital projects (shift to reporting all projects, not just Phase 1). Biosolids Digestive Facility (BDFP) biogas subproject budget increased by ~$165 million in mid-cycle update, matching the 10-year CIP. Headworks project forecasting ~$10 million savings as construction nears completion. Mainstream Nutrient Reduction Project design-build contract awarded to Jacobs/PCL.
• Item 7 – Memorandum of Agreement with City of San Bruno for Acapello Well No. SB21 – Presented by Obin Zoe. San Bruno will construct and operate a new well as a shared facility for the Regional Groundwater Storage and Recovery (GSR) project. PUC will contribute 38% of capital costs (proportional to benefit). Well is already constructed; treatment system and conveyance are in design (35% complete). This will allow San Bruno to participate in the GSR project after earlier attempts to site wells at the Golden Gate National Cemetery failed. Approved unanimously.
• Item 8 – Award of NERC Compliance and Audit Support Contract (PRO.0327 HHW) to Archer Energy Solutions LLC – Presented by Adam Zirkowitz (new Hetch Hetchy Water and Power Division Manager). Five-year contract, not-to-exceed $11.6 million, to support the SFPUC's compliance with North American Electric Reliability Corporation (NERC) reliability standards. Risks of non-compliance include reliability, financial penalties, and oversight. Contract is a continuation of a prior contract; past contract was fully used due to staff departures. Two new staff are being onboarded to bring some expertise in-house. Approved unanimously.
• Item 10 – Items Initiated by Commissioners – President Arce raised a question about how to access project-specific LBE (Local Business Enterprise) contractor goal outcomes at closeout. General Manager noted that citywide project-specific data is compiled by the Contracting Management Division (Stephanie Tang, director), not the PUC, and offered to help Commissioner Arce find the information.

Key Outcomes

• Approved Minutes of February 24, 2026 (5-0).
• Approved Consent Calendar (5-0) – including three construction contracts.
• Approved Memorandum of Agreement with San Bruno for shared groundwater well (Item 7) – unanimous.
• Approved NERC Compliance Contract with Archer Energy Solutions LLC (Item 8) – unanimous.
• Meeting Adjourned at 2:29 PM.