SFPUC - Annual Reports Utility of the Future | Page 2

01 Annual Report for the Fiscal Year Ended June 30, 2016 San Francisco Public Utilities Commission (as of date of publication) Anson Moran, President Ike Kwon, Vice President Ann Moller Caen, Commissioner Vince Courtney, Commissioner Francesca Vietor, Commissioner Water Contents 03 Water Delivering High-Quality Water Every Day 06 Power 07 Sewer 10 • 2.6 Million People Served Outreach and Engagement 11 Finance Harlan L. Kelly Jr. General Manager • 197 Million Gallons per Day (MGD) Distributed • 1.6 Million kW hours of Clean Hydroelectricity Generated • 167 Miles Across the State Over Major Fault Lines • Gravity-fed Engineering Marvel Using No Fossil Fuels Power Generating Clean Energy For Vital Services • 100% Greenhouse Gas-Free Energy for Residential, Commercial and Municipal Customers • 380.5 MW of Greenhouse Gas-Free Hydroelectric Generation Capacity • 11.1 MW of Renewable Solar and Biogas Generation • 45,000 SF Street Lights Powered with Clean Energy • 160 Miles of Transmission Lines Sewer Protecting Public Health And The Environment • 3 Treatment Facilities • Approximately 1,000 Miles of Pipes Dear Customers and Stakeholders, Our core mission at the San Francisco Public Utilities Commission (SFPUC) is to provide customers with high-quality, efficient and reliable water, power, and wastewater services in a manner that values environmental and community interests and sustains the resources entrusted to our care. Being a Utility of the Future means we deliver services in a way that values the diverse communities that we serve and embraces a culture and practice of sustainability. Our Sewer System Improvement Program (SSIP) is deploying cutting edge technology for essential upgrades at our Southeast Treatment Plant (SEP) to further strengthen our seismic reliability while reducing odors. We capture the methane gas created during the wastewater treatment process, meeting up to 40% of the plant’s energy needs. Innovative resource reuse is an important part of how we do business. After 25 years of conservation leadership, San Francisco has some of the lowest residential per capita water usage in the United States. While we are very proud of these results and our progress in crucial water supply diversification projects, we must confront the challenge of rebalancing our finances around new, lower levels of water demand. Hetch Hetchy Power provides clean energy to our municipal facilities, and some residents and businesses. San Franciscans can participate in our clean energy revolution by signing up for CleanPowerSF. We will be expanding the program rapidly over the next few years, which will be pivotal in achieving the City’s climate goals. Our Local Water Program will ensure the right water for the right use. In addition to utilizing groundwater to augment our existing water supply, we are also moving forward with recycled water projects for irrigation. Our headquarters utilizes an innovative onsite water treatment system, which reduces our own potable water consumption by 60%. Going forward, onsite water treatment systems are now required in new large-scale developments in San Francisco. We do this while maintaining sound fiscal stewardship of our ratepayer dollars. Despite our challenges this year, we achieved a credit rating upgrade to AA for the Wastewater Enterprise. This will allow us to sell bonds at lower interest rates, resulting in lower debt service. On behalf of the San Francisco Public Utilities Commission, I am pleased to present the SFPUC Popular Annual Financial Report (PAFR), for the fiscal year ended June 30, 2016. • 70 MGD Treated Dry Weather • 575 MGD Treated Wet Weather • 40 Billion Gallons Treated per Year Annual Report for the Fiscal Year Ended June 30, 2016 02