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Transcripts For SFGTV 20140516

Contingency required to cover the additional risk. I just want to make sure you heard you correctly you said only covering 65 percent with our current budgeted these are things that may happen or may not happen so we run an analysis to get the probability of how much of the list budget we think might need to be used. So you dont think well have enough money . Thats not what im saying. So actually were 65 percent confident that the remaining contingency will cover the remaining construction risk in the program. Thats not very comforting that you are 65 percent confidence id like to hear that you are a hundred percent confident. Then wed need to request 3 or 4 times that amount of money and we dont think its appropriate to request money that may not be needed in future years. At what point will you determine that we have enough money for the project. The risk will continue to come down and well be increasingly confident over time. Thats what we thought about calaveras and then we had geo

Transcripts For SFGTV 20140523

Risk profile has diminished and 65 percent would be an appropriate level for where we stand today. Certainly it is a policy call and so as the policy component of our organization if you would like us to revisit that 65 percent we would certainly be willing to do that but this is what we believe to be the best but if theres concern over 65 percent and a desire to go with a higher contingency profile certainly we would do that. I think i want to add i want to thank commissioner torres i think the conversation is valuable and then your response about whether or not we want to take a long hard look at that policy but i want to thank commissioner torres its an important line of questioning. Are we going to continue the report. Thank you very much emilio. I guess were not going to revisit the policy of 65 percent at this point. Im fine with it i just want to make sure 65 percent is a comfortable number i had the same reaction seems like a low number but in understanding how that number is d

Transcripts For SFGTV 20140515

65 percent would be an appropriate level for where we stand today. Certainly it is a policy call and so as the policy component of our organization if you would like us to revisit that 65 percent we would certainly be willing to do that but this is what we believe to be the best but if theres concern over 65 percent and a desire to go with a higher contingency profile certainly we would do that. I think i want to add i want to thank commissioner torres i think the conversation is valuable and then your response about whether or not we want to take a long hard look at that policy but i want to thank commissioner torres its an important line of questioning. Are we going to continue the report. Thank you very much emilio. I guess were not going to revisit the policy of 65 percent at this point. Im fine with it i just want to make sure 65 percent is a comfortable number i had the same reaction seems like a low number but in understanding how that number is derived at i think a bullet form

Transcripts For SFGTV 20140519

[laughter]. And you also dont want to tell your contractor that just in case you have another hundred thousand tucked away in in a corner. So to cover a hundred percent of it we think would be inappropriate but we also think 50 percent is too low, 65 seems appropriate. Before you start again so the will of the body is we want a short memorandum and once we receive that memorandum well discuss whether we want to revisit or change or delete or leave it as is is that our will . I dont think its a Commission Policy more a policy as it relates to industry type of practice when you are doing a program of what is a risk of a program that you are willing to accept and there are a lot of factors on, you know, for example, what is the exposure i mean you can have people look at it and maybe the exposure which is the cost of it, may not be as big as we are indicating so i mean theres a lot of engineering factors that go with that and i just think looking at everything, we felt very comfortable th

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