I am chair of the budget and finance committee. I am joined by supervisor stefani and. Four. I would like to thing Samuel Williams from sfgovtv for broadcasting this medium. Meeting. Please be sure to silence cell phones. Madame clerk can you please call item number one. Item one, 191022. Resolution authorizing the department of technology to enter into an agreement between the city and county of San Francisco and convergeone, inc. , for the purchase of cisco products and services, with a not to exceed amount of 70,000,000 for the term ending november 1, 2022, to commence following board approval, with two twoyear options to extend at the sole and absolute discretion of the city. Thank you very much. We have the city chief information officer. Good morning, supervisors. Thank you for having us here today. I would like to start with i think you two ryan roberts with a thank you to ryan rober roberts. We are here today to talk about an Enterprise Agreement with coverageone for products and services. [inaudible] this was a competitive agreement with an rfp. Where we advertise for cisco retailers. Coverageone scored the highest of these three beaters. The term of this contract would be for three years with two options to extend for an additional two years for potential total of seven years. The not to exceed amount is 65 million with no minimum commitment. This is based on our historic spend of 10 million per year on cisco products and services. The contract will be available for use, if needed, to all city departments. We are asking you to approve the amended resolution, and the contract which creates greater opportunities for local Business Enterprises. We will talk more about that. The scope of the agreement. We are anticipating 22 departments working together, and the expected annual expenditure would be around 10 million for cisco products and services. This is what has historically been done since 2014. What cisco does is they build the hardware and software, basically the plumbing for our network, our Communication Systems and access to the internet. It is telecommunications as well as the networking. The projects that are envisioned and are awaiting this contract is the new permit center. We will be installing a nextGeneration Network. Our new phone system which is voiceover ip and also providing access to Call Services for the permit departments. What is important to understand is that this will be the vehicle that we used to bring the next Generation Network to the city to support business applicatio applications, increased security, and performance, and really build something over the next 15 years serves all of the business needs, communication data access, performance for our lines of business. We will also be replacing our aged phone system and support a mobile workforce and also give us a very secure access to Cloud Services to support organizational collaboration, and all of the reasons why we would move to cloud infrastructure. Some of the benefits of this Enterprise Agreement, which is so very important, is to leverage the whole citys purchasing power to get the highest level of discounting on this expensive equipment. Converge and understand pricing structures which is really important, because as they bundle our procurements together will be done in a way to have the highest Service Level as well as the highest discount. We want to increase our efficiency on procurement. In the past we have been doing little contracts and it is 1020 steps, it is very inefficient it delays projects and delays our work. This will be much more efficient. Importantly it will provide visibility on this expenditure. Over time we can better understand what departments are purchasing what. We can match a procurement to Maintenance Agreements on Service Level agreements. Additional services that will be part of this Enterprise Agreement with converge one is a presale which is very important. They will be able to pre stage a lot of this equipment. Loaded up. Test before it is even delivered to the city. Also consolidating our maintenance contracts which is really helpful, because again, we will be saving money as we start to ensure our Maintenance Agreements match with what we are using. Its very important and that we are getting the best the dollar value those. Some more reasons we have talked about, to reduce costs to get the higher discounts to increase efficiency and to improve the visibility. The amendment that we have made to the contract is to support local Business Enterprise provisions. The amendment you have in your packet, the amended resolution and the accompanying contract, given the size and length of this contract we sought ways to retain quality and price while increasing opportunity over time. Working with the Contract Monitoring Division and the office of Contract Administration this is what we are proposing and what we have done. We have modified the contract to include a 20 goal for professional services for the lb ease. There will be a separate process working with oca and contracting monitor division. To make additional opportunities for l. B. E. s for this 5 million over the term of this contract. Available to them providing services in that network scope. We also have agreement from cisco to work to help l. B. E. s in San Francisco become certified partners. It is training, it is a lot of things and we will be looking at how the vendor can help us as well. That is the amendment. A bit about the historical spe spend. This chart shows you what we have expended over time. I think what you will see here is that this discount will actually, what we are anticipating is we are expecting a savings of 2 million per year with this Enterprise Agreement. That allows us either to bring new projects forward, or to return those savings back to the budget process. That is the presentation i have for you this morning. I know we gave you a big pile of handouts. Do you have any questions for us . Colleagues, any questions or comments . Seeing then. Can we have a bla report, plea please . Good morning, members of the community. The board of supervisors is being asked to approve an agreement with coverageone to provide cisco products. This contract is actually approved for a three year initial term with two year extension. The purpose of having this contract, it is a cisco products retailer. It is to consolidate. The purchase of city departments of cisco products. We did ask for a 65 milliondollar amount, it will extend the entire term. Our understanding is it is a discount that comes with this contract are really based on the larger volume than 65 million. We do summarize the discounts on table three, page four of our report. They are expected to add up to 20 per year on city purchases. The board of supervisors would not be approving the extension of the contract as long as expenditures are the 65 million spending authority. It is our understanding that they need that level of spending to get the discount and we are recommending approval. Thank you very much. Any comments or questions . Any members of the public like to comment on item number one. Seeing then. Public comment is now closed. So, i just want to say thank you for adding this amendment in about including our l. B. E. s. I think in a city, we should be spreading the wealth. So thank you. Mr. City attorney, are these amendments sufficient . No, you can make the amendments and pass the item out of committee today. Any comments or questions . This is a fairly large contract i think that consolidation will save us 2 million per year. Thank you to your staff for diligently being efficient on this and bringing this to us. Okay. I would like to make a motion to approve the amendment before us, can take that without objection. Thank you very much. Move this to the full board with a positive recommendation as amended. Madame clerk, can you call item number two . Item two, 190842. Ordinance renewing and extending a prior waiver and refund of investigation fees imposed by Building Code, section 107a. 5, for persons registered with the office of cannabis through december 31, 2020; amending the health code to extend the date beyond which temporary medical cannabis dispensary permits issued under article 33 of the health code are rendered invalid, from december 31, 2019, to december 31, 2020; amending the police code to extend the date beyond which temporary cannabis business permits issued under article 16 of the police code cannot be extended from december 31, 2019, to december 31, 2020; and amending the planning code to extend the date by which a grandfathered medical cannabis dispensary, as defined in the planning code, must have received a permit to operate from the department of Public Health to be deemed a temporary cannabis sales use, as defined in the planning code, from december 31, 2019 to december 31, 2020. Thank you, madame clerk. That is a mouthful there. The speaker today is supervisor mandelman. I just want to make sure that there is clarity on the committee about what that means. Supervisor mandelman introduced a substitute ordinance last tuesday replacing the original that was in the file. The substitute ordinance is in the packet of todays materials. But the agenda lifts the title of the original ordinance. Supervisor. Four, and tends to make amendments today to the ordinance that are sensitive. You can amend, you will be amending the substitute and then those amendments will trigger a continuance to the next weeks budget. You amended the title, supervisor . There are amendments to the title that it will reflect the substitute title, and also additional amendments that supervisor. Four is making today. I think we are going to take your lead on this. Please start. Thank you for your consideration of this item. This ordinance will allow cannabis businesses participating in the Amnesty Program to continue to access the fee waivers i will extend permits through 2020. The following passage of proposition 64 which legalized Recreational Cannabis activity in the state of california. The city started a registration process that allowed nonretail cannabis business arbitrators to come forward and make themselves and activities known to the city. This process has closed almost 250 operators in the areas of cultivation, manufacturing, distribution, testing and delivery and allow the city to begin to move any of these operations at the legal marketplace. These operators were able to apply for a temporary cannabis business permit submitting to inspections by the department of building inspection. The Building Code is an investigation fee for any work performed without a required Building Code permit in an effort to ensure that these operators focus their Financial Resources on coming into compliance, the board of supervisors passed an ordinance in 2017 waving and refunding the fee. That ordinance expired on december 31, 2018. Due to unforeseen delays, some operators were not able to complete their inspections prior to that date. This ordinance will extend the deadline for these fee waivers through december 31, 2020 so that these remaining businesses can pass their inspections and come into full compliance without being assessed fees. The ordinance will also extend the terms of the temporary cannabis business permits under which these businesses are operating through december 31, 2021 as the office of cannabis works through their permitting backlog and process as a permanent. The onus will amend the health code to allow for 120 day extensions until december 31, 2021 of existing permits. These temporary extensions are necessary to successfully transition our medical expense raise to recreational dont you sale and allow them to continue operations and remain in compliance while supporting our broader goals. I do have amendments today to be made to the substitute version of the ordinance which is what is in front of you. These amendments incorporate the recommendation of the Planning Commission that the ordinance extend the adult use cannabis permit from four years instead of three. These amendments will allow more time for the cannabis to process for the adult use permits. I want to thank and acknowledge mr. Rodriguez, at the office of cannabis. Mr. Lott is here today to answer questions. I also want to thank Sarah Crowley from the City Attorneys Office on my aid for their work on the ordinance. Thank you, supervisor. Any comments or questions from colleagues . Mr. Law i have a question for you. We recently appointed members to the cannabis oversight committ committee. As has the committee began to convene yet . Yes. Ray law from the office of cannabis. The seventh member has been confirmed yesterday which means right now we have a quorum. The first meeting should happen within 30 days. Right now we are finalizing a contract with our vendor to support our oversight committee. We anticipate that at the first meeting will happen by late november. Okay. That will not be in time to actually review this piece of legislation, is that correct . Unfortunately, it will not. Thank you very much. Lets open this up for public it may be, mr. Starr from the Planning Department might want to say something, he looks like he wants to say something. Thank you. Im here for the Planning Commission they heard this last week on october 24 and plan to recommend approval with modifications. Extending the temporary use permit. Thank you very much. Lets open this up for Public Comment. Seeing none. Public comment is closed. No comments or questions. I will say because these are substantive amendments, lets vote on the amendments i make a motion to move the amendments with a positive recommendation, i mean, approve the amendments. Thank you very much. Without objection. And then we make a motion to continue this item into the next meeting, as amended. Thank you very much. Madame clerk can you please call item number three . Item three, 190997. Resolution retroactively authorizing two agreements for cleanpowersf to purchase electricityrelated products from Pacific Gas Electric company for a term of january 1, 2020, through december 31, 2022, for a total cost of 26,070,118; and retroactively authorizing the sale of electricityrelated products to Pacific Gas Electric company and Southern CaliforniaEdison Company for a term of january 1, 2020, through december 31, 2022, in an amount not to exceed 3,500,000. Thank you very much. We have barbara hale. Good morning. Thank you for having me. Today we are requesting retroactive approval of a three year electricity product contract with Pacific Gas Electric that is valued at about 1,100. If i get into the details of that im going to give you a quick update on cleanpowersf. Cleanpowersf is a Retail Electric Service offering that requires this product. Today we have our cleanpowersf enrollment steps for you. We are serving about 380,000 san franciscans now. That is businesses and residents. We are happy to say that about 97 of the folks that we offered service to decided to stay with us. We have two products, a super green and a green product, our super green customers, you see it here, 6800. They receive 100 Renewable Energy from us. Those customers who stay in our program as green customers, our default product have a portfolio of about 50 california compliant, Renewable Energy in their supply. Together these two Product Offerings provide a rate, 87 below with the citywide admissions levels were in 1990. We benchmark back to that 1990 in all of our climate work. At this. , we are moving forward with a planning process. We are moving forward with contract approval for the board. You will be seen that same. That is some of the activities that now for some details on the specific request. As a load serving entity the sfpuc and power are required by state law and forced by the california puc to meet the Resource Adequacy requirements. The requirements intended to ensure sophistic sufficient resources are available in california to meet high demand level days. It is based on demand forecast and established according to a methodology that has been adopted under state law. Under the recently modified requirements we must procure Resource Adequacy products three years ahead from a geographic regions. We must report our compliance to the california puc. Our Compliance Report for the 20202022 timeframe is due to the puc on october 31. How do we go about our efforts to comply . We conducted conducted solicitations i would participated in solicitations that others held like utilities and other ccas. They put out multiple solicitations our self, since april, for Resource Adequacy products. We execute contracts with several suppliers as a result of those efforts. But still did not have enough supply under contract to meet our requirements for this time. We also participated in pg es 2019 multiyear solicitation that was issued in july 2019. Pg e holds at most, if not all come of the remaining market supply. They had most of the customers, so it made sense that they had most of the supply as cu