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Committee backs amendment to Calpine contract to sustain Clean Power SF enrollment and operations
Summary
The committee agreed to forward an amendment authorizing SFPUC to increase and extend a contract with Calpine Energy Solutions to support Clean Power SF enrollment, adopting BLA-recommended reductions and conditions requiring future Board approval for further extensions.
The Government Audit & Oversight Committee on July 18 voted to send to the full Board a resolution authorizing the SFPUC general manager to execute an amendment to the contract with Calpine Energy Solutions that extends and increases the agreement to support the Clean Power SF community choice aggregation program during accelerated citywide enrollment.
Michael Hyams, director of Clean Power SF, told the committee the amendment would secure critical services — meter data management, billing and a staffed call center — while the SFPUC builds in-house capacity. "Extension of this contract ensures continuity of essential Clean Power SF business operations through the enrollment period and the initial years of citywide service," Hyams said, adding that the amendment would allow the program to complete citywide enrollment and that the SFPUC intends to transition call-center operations in house over the three-year term.
The staff presentation and BLA materials reflected different ways of stating the contract totals. The clerk read that the amendment would increase the contract by $14,030,000 to a not-to-exceed figure shown in the staff packet; the San Francisco Public Utilities Commission’s estimates of actual and projected expenditures through October 2021 were described in the BLA analysis as about $18.8 million, including contingency. The Budget Legislative Analyst recommended amending the proposed resolution to reduce the not-to-exceed amount by $860,775 and to clarify that exercising a further three-year extension (to 10/31/2024) would require future Board approval.
Supervisor Erin Peskin moved the BLA-recommended amendments; the committee adopted them and moved the item to the full Board with the recommended changes and without objection.
What happens next: The resolution, as amended to reflect the BLA's recommended not-to-exceed reduction and the requirement that any further extension be approved by the Board, will go to the Board of Supervisors for final action.
