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Commission approves two power operations service contracts after debate over consultants versus hiring
Summary
The SFPUC authorized two professional services agreements (each up to $4 million over five years) to supplement power operations work; commissioners questioned whether consultants would substitute for in‑house staffing and expressed concerns about prior cuts to energy efficiency programs.
The commission authorized two professional services agreements on March 14 that staff said will supply technical support for power operations, grid scheduling and power procurement planning. Barbara Hale described the contracts as time‑limited professional services to support Hetch Hetchy and Clean Power SF activities and to help the agency adapt to rapid regulatory changes at the ISO, CPUC and state agencies.
The recommended awards were to Siemens Industry Inc. (PRO0018A) and Utilacast LLC (PRO0018B), each for an amount not to exceed $4,000,000 over five years. Hale told commissioners the scope includes power supply management, enterprise risk management, ISO settlement and scheduling support, grid reliability and electric billing/process improvements — for example, automated meter infrastructure and customer account services.
Commissioners sought greater detail on scope, staffing consequences, and whether employee representatives were engaged. One commissioner expressed concern that an $8,000,000 combined authorization could look like spending on consultants rather than restoring in‑house programs that were previously cut (noting prior reductions in energy efficiency work). Staff and the general manager said the intent is to use consultants to fill short‑term capability gaps while approved vacancies are filled and not as a permanent substitute for full‑time hiring.
The commission moved, seconded and approved the authorizations by voice vote. Speakers noted the contracts are intended to be nimble, short‑term supports that bring specialized expertise quickly during a period of regulatory change.
