WEBVTT
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Thank you for your patience.
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Welcome and thank
you all for standing by
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and welcome to the California
Public Utilities Commission
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conference call.
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I would now like to turn the call over
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to President Batjer.
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Thank you, you may begin.
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Thank you very much.
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I wanna welcome everyone this morning,
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and I do want to remind everyone
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that this is a public meeting
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and it is being recorded
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and may be posted online
for subsequent viewing.
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By continuing to attend this meeting
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you consent to being recorded.
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If you do not consent,
please disconnect now.
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Thank you.
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Again, good morning
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and welcome to the California
Public Utilities Commission's
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19th annual supplier diversity En Banc.
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I am Marybel Batjer,
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the president of the California
Public Utilities Commission.
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It is my pleasure to welcome
all of you to the 19th annual
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supplier diversity En
Banc on General Order 156.
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And our theme today
is General Order 156,
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"Thriving and Surviving
During a Pandemic."
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The utility supplier diversity program
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was created as a voluntary program
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over three decades ago,
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to encourage a fair proportion
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of the total utility contracts
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and subcontracts for
products and services,
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be awarded to diverse businesses.
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Over the years, it has expanded
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and today includes businesses
owned by women, minorities,
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disabled veterans, and
the LGBT community.
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The program has,
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was recently updated
with the passage of SB 255
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by Senator Bradford
to include procurement
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and reporting requirements
from electric service providers
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and community choice aggregators.
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The program has continued
to make great strides
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to support supplier diversity
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since it was first adopted in 1988.
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In 2020, the reporting
utilities procured $11.7 billion
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from diverse firms which exceeded.
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Which exceed spend goals of 21.5%
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while the goals of the program were met,
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the actual spend for
diverse enterprise declines
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during the COVID 19 pandemic.
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The Commission is
hopeful that today's event
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will shed some light on
procurement challenges
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due to the pandemic and
suggest some solutions
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on how to increase participation
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with diverse suppliers
in utility supply chain.
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I would like now to welcome
my fellow Commissioners
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to make any opening
remarks they may have
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I'll start with Commissioner
Cliff Rechtschaffen,
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who is the lead Commissioner
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on the Commission's efforts
to modify General Order 156
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in accordance with assembly bill 1678,
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Commissioner Cliff
Rechtschaffen, good morning.
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Thank you very
much, President Batjer.
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Welcome everybody. I'd
like to echo your comments.
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Thank you all for being here
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and supporting the
Supplier Diversity Program
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for over 30 years.
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This has been one of our most important
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and impactful programs.
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As President Batjer mentioned,
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there have been significant
program challenges
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for participants as a result of COVID.
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We're interested in hearing
updates about how utilities CCAs
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and suppliers have addressed these
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pandemic related challenges,
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as well as recent progress in promoting
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diverse supplier procurement.
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This year as President Batjer
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know I'm the lead Commissioner
on a proceeding that we have
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to update and improve
the program through an act.
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The rulemaking is 2103-010.
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The issues we've been
dealing with include
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setting a numerical procurement
target for LGBT businesses
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and evaluating what our methodology
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should be for setting
targets, going forward.
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Adding businesses owned
by disabled individuals
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as a category to include in our program,
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considering requirements
to have reporting of workforce
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and board diversity and
implementing the requirements
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of SB 255,
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which extends the program
to include CCAs and ESPs.
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I wanna thank the many organizations
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that have worked with us this year.
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Your participation is
critical to creating a program
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that stays up-to-date.
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I wanna also commend
the supplier diversity staff
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for preparing a very interesting report
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about the extent to which utilities
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are contracting with diverse
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and non-diverse
suppliers in environmental
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social justice communities,
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which you'll hear about
in the staff presentation.
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This is very highly relevant to helping
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to further one of the
goals in our environmental
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and social justice action plan,
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increasing economic
opportunities in these communities.
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And finally, I wanna in
particular thank our staff,
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Stephanie Green and Drisha
Melton who you'll hear from.
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As the lead Commissioner,
I've had the pleasure
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of working more closely
with them this year,
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and I've gotten to see
how incredibly dedicated
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and talented they are at their jobs
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With that I look forward
to today's program.
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Thank you very much,
Commissioner Cliff Rechtschaffen.
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I'll next turn to Commissioner Houck
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for any remarks that she
would like to make this morning.
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Thank you, President
Batjer, just very briefly.
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I also would like to thank
Stephanie Green, Tricia
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and their team for all the work
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in putting today's En Banc together
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and Commissioner
Rechtschaffen for his leadership
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on this matter and
then all of the speakers
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and panelists that are here
today for this important event,
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I'm looking forward to
hearing from everyone
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on the progress that's being made
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and meeting our goals
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and how we can continue to improve
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on expanding the diversity
of our utility supplier pools
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and again this is my
Banc as a Commissioner,
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and I'm very much looking forward
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to hearing all of the speakers.
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Thank you Commissioner Houck,
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I wish in that this
is your first En Banc.
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I wish that we were all together
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'cause this is one of the
most enjoyable, thoughtful,
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interesting meetings that
we have during the year.
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And I miss being on many
levels, I miss being together,
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but I particularly
missed in this En Banc.
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Commissioner Shiroma please.
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Yes, good morning everyone.
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Thank you, President Batjer,
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to my colleagues Chair
Holding the right keys
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to attend the En Banc.
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I think it's critical year
it's the first En Banc
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after a full year of
supply chain disruptions
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and delays after a full
year during a pandemic
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and last year has been especially
hard on small businesses.
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There's been a shift
to online purchasing
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and every spending
category in the United States.
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Small businesses don't always
have the resources to set up
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an online store or service,
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especially when it comes
to handling order logistics.
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It's the same when a
business is in the service sector,
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relies on people
physically performing a job,
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people being together,
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the pandemic has made it
even more difficult to thrive.
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These challenges definitely
were essentially by the pandemic
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and the challenges
are also the reason why
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it is more important than ever
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that our supplies program
continues to see expansion
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and improvement.
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I am aware of the challenges
that our small businesses
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and making payroll as PCP
enables a diverse screen
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of energy resources.
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I mean, unless it's a system,
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we must also see that
is hard by first range
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of business suppliers.
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So I'm looking forward to
parts from our panelists today
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and participating in a productive
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and candid discussion.
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I thank you for all
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and also thank you to Stephanie
Green and Drisha Melton
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for making it possible for us
to have this En Banc today.
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Thank you.
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Thank you,
Commissioner Shiroma.
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Commissioner Guzman Aceves.
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Thank you, President Batjer.
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I think my Commissioners
have summed it up well,
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and I'm very much looking
forward to today's dialogue
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and getting to some action, thank you.
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Thank you so much,
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and now it's really my pleasure
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to welcome assembly member
Holden and Senator Bradford,
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who will be joining us shortly.
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And the virtual dais with us.
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Assembly member Holden serves as chair,
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very important chair of the
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Assembly Committee
on Utilities and Energy.
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He's been a major policy thought leader
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and partner as we
address many of the state's
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most important issues
in an energy challenges.
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So we'll start today with assembly
member Holden Mr. Chair.
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Thank you, madam president.
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First of all, it's a pleasure
to be here with you.
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I will say that it's bittersweet
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because this will obviously
be the last En Banc
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that I'll have an opportunity
to participate with you.
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And I just want to acknowledge
your great partnership
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with the committee and
we've worked well together.
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There've been some really tough times,
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even in recent times,
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but I just want to take this opportunity
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when it per a personal privilege
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to thank you for your service.
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and we know that
you're only a phone call,
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will only be a phone call away.
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I also wanna acknowledge
the Commission as a whole
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and individual Commissioners
who have steadfastly
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held supplier diversity as a priority
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for energy, water and
communication providers.
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As you may know diversity
in the gears of our economy
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has been a priority for
me in the legislature.
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We are now requiring diversity
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of corporate board membership,
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which adds an additional
facet of inclusion.
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But we have to work
down the economic ladder
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to build diversity at all levels.
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This program has
proven to be an important
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and successful rung over time.
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The research behind my work on diversity
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and corporate boards has shown
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that those with a more diverse
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and equitable board
have better governance
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and better decision-making,
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which leads to more equally equitable.
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Excuse me Chair Holden,
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where I need to, I don't
wanna interrupt you,
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but we have some
interference on the line.
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So please everyone be sure
you have muted your line.
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We can hear someone
talking in the background
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and it's interrupting
chairholder presentation.
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So please mute your
lines, thank you, chair.
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Thank you.
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This is no doubt equally applicable
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to the business institutions,
which feed the corporations.
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The research also shows that
we must take measurable actions
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to improve diversity in business
sector, over our economy.
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We know that the
underrepresented faced barriers
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to getting higher, face
hostile environments
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and microaggressions
once hired obstacles
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to getting promoted
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and are not able to climb
up the ladder of success.
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This is no doubt applies
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to the minority owned
businesses as well.
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I also wanna acknowledge the foresight
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of Senator Bradford,
who authored legislation
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to expand SB 156 program participants
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to include CCAs and CSPs.
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Based on these first filings,
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it looks like half of the
CCAs has stepped up
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to participate, but have
a lot of room to grow.
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I am more alarmed by the
number of CCAs that did not file
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and the volume of companies
from the energy sector
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like storage and DER's,
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which has not heeded
senator Bradford's call.
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I look forward to working with you
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to see what we can do to
improve that participation.
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The challenges of lack of fairness
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and equity for unrepresented communities
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that existed before the pandemic
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were exacerbated as a
result of the pandemic.
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The social and racial
inequalities were exposed
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the demand and even
greater intentionality
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towards equity and change.
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As it appears, we are now on the brink
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to survive the pandemic.
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It's time to redouble our
efforts for upward mobility
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in order that we may
thrive beyond the pandemic.
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In closing, borrowing
from Jesse Jackson,
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"Inclusion is not a matter
of political correctness.
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It is a key to growth."
00:13:21.170 --> 00:13:22.960
Thank you for allowing me to participate
00:13:22.960 --> 00:13:24.890
in the En Banc this morning.
00:13:24.890 --> 00:13:27.140
Thank you for those
very encouraging
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and thoughtful words.
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We definitely share your concerns
00:13:32.204 --> 00:13:37.170
as well as those thoughts
about how we have to have
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more involvement on the CCAs and others.
00:13:40.709 --> 00:13:45.452
I don't believe that
that Senator Bradford
00:13:45.452 --> 00:13:46.968
has joined us yet.
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I have joined.
00:13:49.644 --> 00:13:51.290
Oh, that's marvelous.
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Thank you so much.
00:13:52.290 --> 00:13:55.690
Well, Senator who serves currently
00:13:55.690 --> 00:13:58.370
as chair of the Legislative Black Caucus
00:13:58.370 --> 00:14:00.870
and formerly served as chair of then
00:14:00.870 --> 00:14:03.550
Assemble Utilities and
Commerce Committee.
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He most recently championed SB 255,
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that expanded the scope
00:14:09.600 --> 00:14:11.940
and impact of our
supplier diversity program.
00:14:11.940 --> 00:14:13.660
So welcome Senator Bradford.
00:14:13.660 --> 00:14:16.080
I'm so thrilled that you've
been able to join us today.
00:14:16.080 --> 00:14:18.280
Would you like to make
some remarks, please?
00:14:19.410 --> 00:14:22.310
Thank you, President
Batjer for this opportunity
00:14:22.310 --> 00:14:25.170
and the other PUC Commissioners
who have joined us today
00:14:25.170 --> 00:14:28.110
and inviting me as well
as my colleague here,
00:14:28.110 --> 00:14:32.340
and Chris Holding to
participate in today's En Banc.
00:14:32.340 --> 00:14:34.620
This is probably my 10th En Banc
00:14:34.620 --> 00:14:36.520
since being in the legislature.
00:14:36.520 --> 00:14:40.090
And I'm always excited about being able
00:14:40.090 --> 00:14:42.440
to engage in meaningful conversation
00:14:42.440 --> 00:14:45.980
when it comes to real
diversity in the space.
00:14:45.980 --> 00:14:49.880
I wanna also thank of
those investor owned utilities
00:14:49.880 --> 00:14:52.269
and other stakeholders
who found it important enough
00:14:52.269 --> 00:14:54.450
to be a part of this discussion,
00:14:54.450 --> 00:14:57.140
a discussion that's long overdue
00:14:57.140 --> 00:15:00.270
and badly needed
when we are talking about
00:15:00.270 --> 00:15:02.070
supplier diversity.
00:15:02.070 --> 00:15:05.100
Supplier diversity is
more than just a tagline
00:15:05.100 --> 00:15:07.996
or policy initiative
00:15:07.996 --> 00:15:12.996
or checking the box as many
have chose to do over the years.
00:15:14.380 --> 00:15:16.860
This is really about a legal framework
00:15:16.860 --> 00:15:19.649
that was initiated in
the law and regulation
00:15:19.649 --> 00:15:22.000
and speaks to the real need
00:15:22.950 --> 00:15:25.680
to include women owned, minority owned,
00:15:25.680 --> 00:15:28.760
disabled veteran owned
businesses in the space
00:15:28.760 --> 00:15:31.323
of procurement and contracting.
00:15:32.830 --> 00:15:36.110
It has real life
implications, as we all know,
00:15:36.110 --> 00:15:37.377
and the theme this year is
00:15:37.377 --> 00:15:40.010
"Thriving and surviving
during a pandemic."
00:15:40.010 --> 00:15:42.900
We've seen that the people
who have been hurt the most
00:15:42.900 --> 00:15:44.732
are people of color.
00:15:44.732 --> 00:15:48.947
Minority individuals,
both in the health aspects
00:15:48.947 --> 00:15:51.530
and the financial aspect
and the business aspect.
00:15:51.530 --> 00:15:55.080
So really highlighting the importance of
00:15:55.080 --> 00:15:58.583
power diversity in
this space is critical.
00:15:59.690 --> 00:16:02.920
It speaks to who
still gets opportunities
00:16:02.920 --> 00:16:04.614
in the state in this country.
00:16:04.614 --> 00:16:09.614
We still know, even in
2021, race, gender and age
00:16:09.730 --> 00:16:15.330
plays a major role in who
has a seat at the table.
00:16:15.330 --> 00:16:20.330
But I'm happy to report that
we approach almost 13 billion
00:16:21.530 --> 00:16:23.750
in spend last year
00:16:23.750 --> 00:16:26.123
and that's due solely to the work
00:16:26.123 --> 00:16:30.100
and the advocacy of the
late great Gwen Moore.
00:16:30.100 --> 00:16:31.213
We would not be here today,
00:16:31.213 --> 00:16:34.360
General Order 156 would not exist today
00:16:34.360 --> 00:16:35.980
if it wasn't for her commitment
00:16:36.820 --> 00:16:40.370
and her undaunted support
00:16:40.370 --> 00:16:44.520
and determination to make
sure that all are included.
00:16:44.520 --> 00:16:48.330
And when we look around
the utility space today,
00:16:48.330 --> 00:16:51.610
we see amazing
people in this work areas,
00:16:51.610 --> 00:16:54.700
such as president Ken McNeely AT&T
00:16:55.710 --> 00:17:00.320
and DaVina Fleming with
PG&E and Kell Bill Hunter,
00:17:00.320 --> 00:17:05.140
an incredible lobbyists
representing the utility space,
00:17:05.140 --> 00:17:08.360
Pete Hernandez with AT&T
and I can go on and on.
00:17:08.360 --> 00:17:12.760
Many of them, owe that
opportunity to Gwen Moore
00:17:12.760 --> 00:17:15.281
because prior to General Order 156,
00:17:15.281 --> 00:17:19.090
there were no black
officers in utilities companies.
00:17:19.090 --> 00:17:22.470
There were no black
lobbyists and Gwen Moore said
00:17:22.470 --> 00:17:23.650
you cannot meet with me
00:17:23.650 --> 00:17:25.580
unless you have people who look like me.
00:17:25.580 --> 00:17:29.310
So, we owe a debt of
gratitude for Ms. Moore
00:17:29.310 --> 00:17:31.440
for her determination
00:17:31.440 --> 00:17:33.017
and making sure all are included
00:17:33.017 --> 00:17:34.532
and I'm honored to call her a friend
00:17:34.532 --> 00:17:38.490
and honored to have
expanded upon her work,
00:17:38.490 --> 00:17:42.300
both in the assembly and in the Senate.
00:17:42.300 --> 00:17:44.530
Ms. Moore used her
leadership in this position
00:17:44.530 --> 00:17:47.410
as the legislature to empower others,
00:17:47.410 --> 00:17:50.740
to make sure that they can
compete in this utility space.
00:17:50.740 --> 00:17:51.960
Like you stated,
00:17:51.960 --> 00:17:56.250
it was in 1986 that she
wrote General Order 156
00:17:56.250 --> 00:17:59.190
and as I stated, it's
why we're here today.
00:17:59.190 --> 00:18:00.663
To all the randomly.
00:18:02.120 --> 00:18:03.070
What is that?
00:18:04.650 --> 00:18:05.680
Hello?
00:18:05.680 --> 00:18:06.513
Senator, I'm sorry.
00:18:06.513 --> 00:18:10.330
That was somebody
that I spoke over you that,
00:18:10.330 --> 00:18:12.232
I apologize, please go ahead.
00:18:12.232 --> 00:18:14.010
Okay, And I apologize
00:18:14.010 --> 00:18:14.944
for the technical difficulties.
00:18:14.944 --> 00:18:17.310
I'm experiencing today as well.
00:18:17.310 --> 00:18:18.560
The laws, the reason, again,
00:18:18.560 --> 00:18:21.933
that diverse spending has
gone from less than a half,
00:18:21.933 --> 00:18:26.933
a million dollars, 35 years
ago to now close to 13 billion.
00:18:29.480 --> 00:18:31.190
And we should all be proud of that.
00:18:31.190 --> 00:18:33.606
It's opened many doors and allow people,
00:18:33.606 --> 00:18:35.860
many opportunities to compete,
00:18:35.860 --> 00:18:38.926
but as we stated there's
much work to be done,
00:18:38.926 --> 00:18:42.410
and I'm honored to
have continued to work
00:18:43.390 --> 00:18:45.490
and expanding opportunities,
00:18:45.490 --> 00:18:49.140
but as Chairman Holden stated,
00:18:49.140 --> 00:18:51.660
there's still much work to be done.
00:18:51.660 --> 00:18:55.847
We have entities like CCAs and
ESPs who wanna masquerade
00:18:55.847 --> 00:18:58.440
and be treated as utilities,
00:18:58.440 --> 00:19:02.430
but are failing miserably
to achieve real diversity
00:19:02.430 --> 00:19:05.183
amongst their works, workforce
00:19:05.183 --> 00:19:08.640
and in their contracting
procurement opportunities.
00:19:08.640 --> 00:19:11.470
So I wanna send a warning shot
00:19:11.470 --> 00:19:14.780
that we are serious
about diversity in the space
00:19:14.780 --> 00:19:18.679
and we hope that today's
En Banc hearing will highlight
00:19:18.679 --> 00:19:22.550
some of those deficiencies that exist
00:19:22.550 --> 00:19:25.973
and the space of ESPs and CCAs,
00:19:25.973 --> 00:19:29.100
will also light a fire to let them know
00:19:29.100 --> 00:19:31.940
that there's much work
to be done in improving
00:19:31.940 --> 00:19:35.150
and making sure that
everyone has a seat at the table
00:19:35.150 --> 00:19:39.010
and that we truly
level the playing field
00:19:40.050 --> 00:19:43.900
and create fair and equitable
opportunities for everybody
00:19:43.900 --> 00:19:45.530
in this area.
00:19:45.530 --> 00:19:46.660
But it's equally important
00:19:46.660 --> 00:19:47.887
that everyone who
is participating today,
00:19:47.887 --> 00:19:51.510
understand why we're
having this discussion
00:19:51.510 --> 00:19:54.690
'cause I stated, many
of us today are present
00:19:54.690 --> 00:19:57.430
because of others who
have fought the hard fight
00:19:57.430 --> 00:19:59.760
to make sure that we
have a seat at the table.
00:19:59.760 --> 00:20:02.933
And I just wanna
continue to challenge us all,
00:20:03.990 --> 00:20:06.520
to be the person that brings
new players to the table.
00:20:06.520 --> 00:20:09.780
It's not just enough to be
happy that we have a seat,
00:20:09.780 --> 00:20:12.410
but make sure that
other folks have a seat.
00:20:12.410 --> 00:20:15.070
And in closing, I just wanna
recognize the great work
00:20:15.070 --> 00:20:15.903
of President Batjer
00:20:15.903 --> 00:20:18.220
and thank you for the opportunity
00:20:19.400 --> 00:20:20.650
for the work that you've done
00:20:20.650 --> 00:20:22.357
and part of diversity space
00:20:22.357 --> 00:20:25.430
and many other issues
that you have championed
00:20:25.430 --> 00:20:26.833
since being part of the PUC
00:20:26.833 --> 00:20:29.307
and being the president.
00:20:29.307 --> 00:20:32.290
President of Batjer I appreciate
all that you have brought
00:20:32.290 --> 00:20:36.500
to this job, including
implementing many laws
00:20:36.500 --> 00:20:40.999
and my legislation as
well, and my colleagues.
00:20:40.999 --> 00:20:45.510
And again, we just wanna
say thank you for all that you do,
00:20:45.510 --> 00:20:46.600
and will continue to do,
00:20:46.600 --> 00:20:48.967
and thank you for your service
to the people of California.
00:20:48.967 --> 00:20:50.700
And again, thank
you for this opportunity
00:20:50.700 --> 00:20:51.727
to participate here today
00:20:51.727 --> 00:20:54.210
and I look forward to the discussion.
00:20:54.210 --> 00:20:56.290
Thank you so much,
Senator Bradford.
00:20:56.290 --> 00:20:59.800
Thank you, on a personal note from me.
00:20:59.800 --> 00:21:02.780
Thank you also for your wonderful words
00:21:02.780 --> 00:21:05.550
about the incredible Gwen Moore
00:21:05.550 --> 00:21:07.504
and indeed we miss her terribly.
00:21:07.504 --> 00:21:11.190
She was on the dais
with us just two years ago,
00:21:11.190 --> 00:21:15.340
and it was my first En Banc at the time
00:21:15.340 --> 00:21:19.101
and it was just thrilling to
have her there with us as,
00:21:19.101 --> 00:21:24.101
as the mother of all of GO 156
00:21:24.190 --> 00:21:25.697
and what it means
and what it stands for.
00:21:25.697 --> 00:21:28.730
And thank you Senator
for your passionate
00:21:28.730 --> 00:21:32.430
forward looking clarity of message.
00:21:32.430 --> 00:21:36.940
We take it to heart and we
all need to work on it daily
00:21:36.940 --> 00:21:38.940
and I appreciate it very, very much.
00:21:38.940 --> 00:21:41.440
And I'm so thrilled that
you and Chair Holden
00:21:41.440 --> 00:21:43.580
have been able to join us today.
00:21:43.580 --> 00:21:48.580
So we will move on
now to our first panel,
00:21:50.380 --> 00:21:54.950
each year on September 1st,
we are required by the public.
00:21:57.184 --> 00:21:58.700
Oh, wait a minute.
00:21:58.700 --> 00:22:00.920
I may be taking Stephanie's remarks.
00:22:00.920 --> 00:22:03.770
Stephanie was, are you going
to be doing the introduction
00:22:03.770 --> 00:22:04.690
of this next panel?
00:22:04.690 --> 00:22:08.603
Excuse me, if that was an
incorrect step on my part.
00:22:10.240 --> 00:22:11.103
Stephanie Green.
00:22:12.340 --> 00:22:13.173
I was on mute.
00:22:13.173 --> 00:22:15.830
Yes, I'm gonna go ahead
and do my quick report.
00:22:15.830 --> 00:22:17.230
Okay, good. I'm sorry.
00:22:17.230 --> 00:22:22.230
I jumped in to your great reporting.
00:22:22.710 --> 00:22:24.723
So go ahead please, Stephanie Green.
00:22:25.630 --> 00:22:28.947
Thank you, hello,
I'm Stephanie Green.
00:22:28.947 --> 00:22:31.940
And I oversee the
Supplier Diversity Program
00:22:31.940 --> 00:22:33.050
here at the Commission.
00:22:33.050 --> 00:22:34.770
And today I'm going
to give you an overview
00:22:34.770 --> 00:22:38.173
of the 2020 program results.
00:22:39.746 --> 00:22:41.279
Some of you may or may not be familiar
00:22:41.279 --> 00:22:43.390
so I'm gonna give you a quick overview
00:22:43.390 --> 00:22:44.948
of our supplier diversity program.
00:22:44.948 --> 00:22:49.948
The program is codified in
public utilities code 366, 910
00:22:50.383 --> 00:22:51.216
and 8283.
00:22:52.740 --> 00:22:53.917
And it requires the utilities
00:22:53.917 --> 00:22:57.160
and electric service providers
to submit annual plans
00:22:57.160 --> 00:22:59.132
for how they're going
to increase procurement
00:22:59.132 --> 00:23:01.557
from when the minority, disabled veteran
00:23:01.557 --> 00:23:03.140
and LGBT businesses.
00:23:03.140 --> 00:23:07.220
That's a long acronym. WMDVLGBTBE.
00:23:07.220 --> 00:23:08.993
So I'm just gonna say diverse firms
00:23:08.993 --> 00:23:11.990
just a little bit easier
than that acronym.
00:23:11.990 --> 00:23:13.800
And then they also have to submit
00:23:13.800 --> 00:23:16.210
their annual implementation reports.
00:23:16.210 --> 00:23:19.300
It also requires the
community choice aggregators
00:23:19.300 --> 00:23:20.580
to submit their plans
00:23:20.580 --> 00:23:22.740
for how they're going
to increase procurement
00:23:22.740 --> 00:23:25.197
from small local and diverse businesses,
00:23:25.197 --> 00:23:28.230
and also their diverse
procurement reports.
00:23:28.230 --> 00:23:30.820
And it encourages the cable television,
00:23:30.820 --> 00:23:32.930
direct broadcast, satellite providers,
00:23:32.930 --> 00:23:34.490
wholesale power generators,
00:23:34.490 --> 00:23:37.060
distributed energy resource contractors,
00:23:37.060 --> 00:23:39.070
energy storage system companies
00:23:39.070 --> 00:23:41.710
to adopt plans for how they're
going to increase procurement
00:23:41.710 --> 00:23:43.141
from diverse firms.
00:23:43.141 --> 00:23:47.780
And it requires the CPUC
annually report to the legislature
00:23:47.780 --> 00:23:51.030
on the utilities, diverse
procurement every year
00:23:51.030 --> 00:23:53.740
and we report every
year on September 1st.
00:23:53.740 --> 00:23:56.499
And of course we have
our General Order 156,
00:23:56.499 --> 00:23:59.130
which provides the
framework for the CPUC
00:23:59.130 --> 00:24:00.810
supply diversity program.
00:24:00.810 --> 00:24:03.490
And it sets the overall
voluntary goals for the program
00:24:03.490 --> 00:24:05.520
at 21 and a half percent.
00:24:05.520 --> 00:24:08.350
That's 15% for minority, 5% women,
00:24:08.350 --> 00:24:11.640
and one and a half
percent for disabled vets.
00:24:11.640 --> 00:24:13.340
I will note in 2020,
00:24:13.340 --> 00:24:17.670
we have an ongoing
rulemaking that's 2103-010
00:24:17.670 --> 00:24:20.600
that will update GO 156,
00:24:20.600 --> 00:24:22.540
Commissioner
Rechtschaffen mentioned that,
00:24:22.540 --> 00:24:26.010
however that will not be a
topic for discussion today,
00:24:26.010 --> 00:24:28.254
but just wanted to note that.
00:24:28.254 --> 00:24:31.200
Now I, my next slide, it,
you might be wondering,
00:24:31.200 --> 00:24:34.240
well, what did we report
this year to the legislature?
00:24:34.240 --> 00:24:36.355
Well, we reported on
the utilities progress
00:24:36.355 --> 00:24:39.350
and how they procured
from diverse businesses
00:24:39.350 --> 00:24:42.359
and how they did
toward our GO 156 goals.
00:24:42.359 --> 00:24:45.900
We included a description
of the CCAs performance
00:24:45.900 --> 00:24:48.850
for their first year
implementing supplier diversity.
00:24:48.850 --> 00:24:52.038
And what were their
diverse procurement results?
00:24:52.038 --> 00:24:55.480
30 utilities submitted
their reports this year
00:24:55.480 --> 00:24:58.773
and 14 CCAs submitted
their reports this year.
00:24:59.833 --> 00:25:03.391
Now on the next slide, I'd
like to talk about how they did.
00:25:03.391 --> 00:25:06.420
What's their performance.
00:25:06.420 --> 00:25:11.375
Well, last year in 2020, which
was the year that pandemic,
00:25:11.375 --> 00:25:16.375
they did $11.7 billion or 30.1%.
00:25:16.670 --> 00:25:21.670
Which equated to 1.8%
with DVBEs or 684 million,
00:25:23.420 --> 00:25:27.900
10.5% with women
owned firms or 4.1 billion
00:25:27.900 --> 00:25:32.900
and 17.7% or 6.9 billion
with minority owned firms
00:25:33.574 --> 00:25:38.363
and LGBT it with 11% or $43.1 million.
00:25:39.256 --> 00:25:40.843
And I would like to note, I don't know,
00:25:40.843 --> 00:25:43.900
some of you may
remember the last few years.
00:25:43.900 --> 00:25:44.733
We had talked about the fact
00:25:44.733 --> 00:25:47.347
that we wanted our
small utilities to step up
00:25:47.347 --> 00:25:48.910
and increase their performance.
00:25:48.910 --> 00:25:51.700
And the smaller
utilities are those utilities
00:25:51.700 --> 00:25:54.200
that are 150 million or lower.
00:25:54.200 --> 00:25:56.110
And I'm excited to say that this year,
00:25:56.110 --> 00:26:00.760
for the first time, the small
utilities achieved over 30%,
00:26:00.760 --> 00:26:03.400
they actually achieved 33%.
00:26:03.400 --> 00:26:05.650
So I just wanted to give that shout out
00:26:05.650 --> 00:26:09.300
because they really
did step up their game
00:26:09.300 --> 00:26:11.703
and make improvements to their programs.
00:26:13.740 --> 00:26:18.740
Next slide, this slide, we have
an up a comparison of 2019
00:26:18.860 --> 00:26:21.480
to 2020 procurement.
00:26:21.480 --> 00:26:22.533
And what's happening is that.
00:26:22.533 --> 00:26:24.715
Excuse me.
Yes. Ma'am.
00:26:24.715 --> 00:26:28.480
We're not seeing the
slides that you're referring to.
00:26:28.480 --> 00:26:30.750
I was just going to
say the same thing
00:26:30.750 --> 00:26:31.583
Commissioner Shiroma
00:26:31.583 --> 00:26:35.510
and Stephanie, the other
issue is your camera is very dark
00:26:35.510 --> 00:26:38.846
we can't see your beautiful face either,
00:26:38.846 --> 00:26:40.253
you're in the dark.
00:26:42.120 --> 00:26:45.850
Oh my goodness, thank
you for pointing that out.
00:26:45.850 --> 00:26:47.363
Let me go back.
00:26:48.280 --> 00:26:49.820
Thank you Stephanie.
00:26:53.002 --> 00:26:55.017
Your camera may not be.
00:26:55.017 --> 00:26:55.903
Oh, hold on.
00:26:58.880 --> 00:27:02.143
Okay, let's, can you see it now?
00:27:03.910 --> 00:27:04.870
No, we're not.
00:27:04.870 --> 00:27:06.172
We're not seeing the slides
00:27:06.172 --> 00:27:09.210
and you are still with your lights off
00:27:09.210 --> 00:27:11.350
or your cameras off.
00:27:11.350 --> 00:27:12.920
There you're much better now.
00:27:12.920 --> 00:27:14.223
Now we can see you.
00:27:20.678 --> 00:27:22.903
I'm not sure why
it's not sharing.
00:27:24.520 --> 00:27:25.784
I'm clicking on the share.
00:27:25.784 --> 00:27:28.201
(indistinct)
00:27:32.870 --> 00:27:34.910
Thank you, Robert.
Welcome.
00:27:41.170 --> 00:27:44.297
I gather you don't want me
to start from the beginning.
00:27:44.297 --> 00:27:47.220
We were attaching your numbers.
00:27:47.220 --> 00:27:48.940
I think you can carry on
00:27:48.940 --> 00:27:50.570
'cause I know that chairholder
00:27:50.570 --> 00:27:53.310
has a timeframe he's working under.
00:27:53.310 --> 00:27:55.136
Okay, I will, so on this.
00:27:55.136 --> 00:28:00.136
So you can see that this
year, if you look at a 2019
00:28:00.220 --> 00:28:02.350
to 2020 comparison,
00:28:02.350 --> 00:28:06.946
the total diverse spend with
from 33.2% down to 30%,
00:28:06.946 --> 00:28:10.290
or from 12.7 billion
down to 11.7 billion,
00:28:10.290 --> 00:28:13.140
which was a 7.5% decrease.
00:28:13.140 --> 00:28:14.360
Now, given the pandemic,
00:28:14.360 --> 00:28:19.020
that's really actually not that
it was a very unusual year.
00:28:19.020 --> 00:28:21.560
I was Subcontracting
at 8A stayed the same.
00:28:21.560 --> 00:28:25.880
Our LGBT went from
point 17 down to point 11,
00:28:25.880 --> 00:28:30.710
which was from 63.6
million down to 43 million.
00:28:30.710 --> 00:28:34.100
That was a 32% decrease.
00:28:34.100 --> 00:28:36.333
DVBE went from 1.6 to 1.8,
00:28:37.310 --> 00:28:40.040
which was an 11% increase
00:28:40.040 --> 00:28:44.520
or from 612 million up to 684 million.
00:28:44.520 --> 00:28:49.520
And WBE went from 9.1
up to 10.5%, 17% increase,
00:28:50.240 --> 00:28:55.240
and MBE went from 22.3% down to 17.7%.
00:28:56.970 --> 00:29:01.970
So it was from 8.5
billion down to 6.9 billion
00:29:02.090 --> 00:29:05.200
and that was a 19% decrease.
00:29:05.200 --> 00:29:06.087
But given the pandemic
00:29:06.087 --> 00:29:07.573
and the fact that it was a unique year,
00:29:07.573 --> 00:29:11.760
it's a little unfair to do the
2019/2020 comparison.
00:29:11.760 --> 00:29:14.900
So I would like to note
that if you looked at the 2016
00:29:14.900 --> 00:29:17.640
to 2020, that five-year comparison,
00:29:17.640 --> 00:29:20.760
you would see that actually
the program grew 25%.
00:29:20.760 --> 00:29:25.030
It went from 9.4 to $11.7 billion
00:29:25.030 --> 00:29:28.223
and it actually grew at an
annual rate of about 5%.
00:29:30.430 --> 00:29:32.470
Now this is one of my
favorite slides I liked,
00:29:32.470 --> 00:29:33.730
I called us my all stars.
00:29:33.730 --> 00:29:35.922
I like to highlight the companies
00:29:35.922 --> 00:29:38.070
that really stood out this year,
00:29:38.070 --> 00:29:41.240
and that is Southwest Gas,
PacificCorp, Suburban Water,
00:29:41.240 --> 00:29:43.481
Frontier, San Diego Gas and Electric,
00:29:43.481 --> 00:29:48.481
SoCalGas, Cal-Am Water,
PG&E, San Gabriel, and SCE.
00:29:49.732 --> 00:29:52.370
And I'll point out the
three water companies,
00:29:52.370 --> 00:29:55.630
Suburban, Cal-Am,
San Gabriel made the list
00:29:55.630 --> 00:29:57.270
only one communication company
00:29:57.270 --> 00:29:59.920
and that was Frontiers made the list.
00:29:59.920 --> 00:30:02.010
And I'd like to share that Pacific Corp
00:30:02.010 --> 00:30:04.309
who is one of our small energy companies
00:30:04.309 --> 00:30:07.763
doesn't even have a big
California footprint made our list.
00:30:08.930 --> 00:30:11.000
So congratulations to these companies
00:30:11.000 --> 00:30:12.743
and please keep up the good work.
00:30:13.966 --> 00:30:15.550
All right, now on the flip side,
00:30:15.550 --> 00:30:17.433
these companies
struggled a little bit, this year.
00:30:17.433 --> 00:30:21.800
These firms did not make
the 21 and a half percent goal,
00:30:21.800 --> 00:30:24.800
and that is AT&T Corp, AT&T Mobility.
00:30:24.800 --> 00:30:29.700
T-Mobile, Cal Water,
Charter, Comcast, CenturyLink,
00:30:29.700 --> 00:30:33.300
Wild Goose, TPx and Trans Bay Cable.
00:30:33.300 --> 00:30:34.133
And on this slide,
00:30:34.133 --> 00:30:37.670
I'd just like to point out
that in 2019 T-Mobile
00:30:37.670 --> 00:30:41.150
and Sprint were both still
submitted separate reports.
00:30:41.150 --> 00:30:45.298
This is the first year that the
new new T-Mobile post-merger
00:30:45.298 --> 00:30:46.793
submitted a report.
00:30:50.480 --> 00:30:52.930
Now on this slide I'd like to highlight
00:30:52.930 --> 00:30:55.890
the company's achieved all three goals.
00:30:55.890 --> 00:30:56.723
Believe it or not,
00:30:56.723 --> 00:30:59.300
it's actually pretty challenging
to make all three goals.
00:30:59.300 --> 00:31:01.100
Many companies will make the minority
00:31:01.100 --> 00:31:02.980
and DVBE or the minority and woman,
00:31:02.980 --> 00:31:04.397
but not the DVBE.
00:31:04.397 --> 00:31:06.940
But to make all three is
quite an accomplishment.
00:31:06.940 --> 00:31:11.750
I like to highlight them.
Cal-Am Water, Frontier, PG&E,
00:31:11.750 --> 00:31:15.140
San Diego Gas and
Electric, San Gabriel Valley,
00:31:15.140 --> 00:31:18.300
San Jose Water. SoCalGas
and Southwest Gas.
00:31:18.300 --> 00:31:19.133
And in particular,
00:31:19.133 --> 00:31:21.720
I'd like to highlight San Jose Water
00:31:21.720 --> 00:31:26.650
because San Jose Water
went from 12.9 in 2019
00:31:26.650 --> 00:31:29.610
up to 30.1% here in 2020.
00:31:29.610 --> 00:31:31.159
So they've really had a great year.
00:31:31.159 --> 00:31:34.916
Also again, only one
communication company Frontier,
00:31:34.916 --> 00:31:37.060
achieved all three
00:31:37.060 --> 00:31:40.061
and highlight three of
the water companies
00:31:40.061 --> 00:31:41.693
made all three goals.
00:31:45.240 --> 00:31:49.020
Now that we've talked
about the utilities,
00:31:49.020 --> 00:31:50.840
let's talk about the CCAs.
00:31:50.840 --> 00:31:55.350
So the CCA is, this was
the first time they've reported
00:31:55.350 --> 00:31:57.873
and so they're really
building their programs
00:31:57.873 --> 00:32:01.520
they are establishing the
foundation of their programs
00:32:01.520 --> 00:32:03.760
and it's, supplier
diversity is a journey.
00:32:03.760 --> 00:32:06.830
It's more of a marathon than a sprint.
00:32:06.830 --> 00:32:08.470
But with that said this first year,
00:32:08.470 --> 00:32:11.913
they did 0.06% spend or $2 million.
00:32:12.830 --> 00:32:17.150
But I do have to note
through reporting air
00:32:17.150 --> 00:32:20.330
the CCAs has included
energy in their base
00:32:20.330 --> 00:32:22.700
and had they only looked
at goods and services
00:32:22.700 --> 00:32:24.000
like the utilities,
00:32:24.000 --> 00:32:26.939
their percentage would
have been more like 2%.
00:32:26.939 --> 00:32:28.980
We're gonna collect that air next year.
00:32:28.980 --> 00:32:30.540
But I did want to make that note
00:32:30.540 --> 00:32:33.800
because, to make a true
apples to apples comparison,
00:32:33.800 --> 00:32:35.540
they should have taken out the energy
00:32:35.540 --> 00:32:38.180
and the percentage would
have looked more like 2%.
00:32:38.180 --> 00:32:40.650
And I will note if you
look back 33 years ago
00:32:40.650 --> 00:32:43.840
when the utility started, they
were doing about two to 4%.
00:32:43.840 --> 00:32:45.200
So they've got a long way to go.
00:32:45.200 --> 00:32:47.060
We look forward to working with them
00:32:47.060 --> 00:32:50.230
as they continue to grow
and build their programs
00:32:50.230 --> 00:32:52.742
that this again was
their first year of reporting
00:32:52.742 --> 00:32:54.873
as they build their programs.
00:32:57.600 --> 00:33:00.530
Now I'd like to tip
it and talk about our
00:33:00.530 --> 00:33:02.690
environmental justice plan.
00:33:02.690 --> 00:33:06.890
In 2018, the Commission
established their ESJ plan
00:33:06.890 --> 00:33:09.510
and it was really developed
to ensure that our programs
00:33:09.510 --> 00:33:11.920
of policy-making better
serve disadvantage
00:33:11.920 --> 00:33:14.010
and low income communities.
00:33:14.010 --> 00:33:15.290
And as a part of that plan,
00:33:15.290 --> 00:33:19.340
we conducted a study to see
how the supply diversity program
00:33:19.340 --> 00:33:23.100
is impacting environmental
justice communities.
00:33:23.100 --> 00:33:25.579
To determine if we're really
bringing back an economic
00:33:25.579 --> 00:33:27.360
benefit to low-income
00:33:27.360 --> 00:33:28.997
and disadvantaged communities.
00:33:28.997 --> 00:33:32.130
And I'm happy to say that almost 40%,
00:33:32.130 --> 00:33:36.706
47% of the diverse suppliers
are located in ESJ communities
00:33:36.706 --> 00:33:40.240
and 47 and a half percent
of our diverse spend
00:33:40.240 --> 00:33:42.355
took place in ESJ communities.
00:33:42.355 --> 00:33:43.680
Through this study,
00:33:43.680 --> 00:33:46.070
we really weren't able to verify
00:33:46.070 --> 00:33:48.180
that our program is
really making a difference
00:33:48.180 --> 00:33:49.830
in these California communities
00:33:51.160 --> 00:33:52.513
and communities of color.
00:33:54.210 --> 00:33:55.150
On this slide,
00:33:55.150 --> 00:33:57.420
it was looking at the
diverse then by industry,
00:33:57.420 --> 00:33:59.150
you can look at the energy utilities
00:33:59.150 --> 00:34:01.680
at 49% in diverse communities.
00:34:01.680 --> 00:34:04.030
I mean, an ESJ communities,
00:34:04.030 --> 00:34:08.180
communications did about
41.7% in ESJ communities
00:34:08.180 --> 00:34:10.880
and water 51.7%.
00:34:10.880 --> 00:34:13.510
And again, that overall
percentage was 47.5%.
00:34:18.600 --> 00:34:21.080
And now I wanna talk about
the supplier Clearinghouse.
00:34:21.080 --> 00:34:23.070
The clearinghouse plays a pivotal role
00:34:23.070 --> 00:34:25.040
in our supply diversity program
00:34:25.040 --> 00:34:28.070
because it is that the
database of verified,
00:34:28.070 --> 00:34:30.400
certified, diverse vendors.
00:34:30.400 --> 00:34:32.200
And it's what the utilities use
00:34:32.200 --> 00:34:34.650
and all the other
participants in our program
00:34:34.650 --> 00:34:38.940
to find vendors and it's also
00:34:38.940 --> 00:34:40.877
the fact that the utilities
00:34:40.877 --> 00:34:44.220
and other participants can only utilize
00:34:44.220 --> 00:34:47.600
the burst of vendors in their reporting.
00:34:47.600 --> 00:34:50.500
And I wanna know that we have almost,
00:34:50.500 --> 00:34:53.680
we have 37,000 women on farm,
00:34:53.680 --> 00:34:58.223
almost 4,000 minority
firms over 2,000 DVBE,
00:34:59.510 --> 00:35:03.840
351 LGBT and 37 8A.
00:35:03.840 --> 00:35:07.863
So we have 10,129 firms in the database.
00:35:10.420 --> 00:35:13.070
And again, 1000 utilities find senders
00:35:13.070 --> 00:35:17.183
and actually make sure that
their five firms verify expense.
00:35:18.291 --> 00:35:20.360
If you look at the clearinghouse by now,
00:35:20.360 --> 00:35:24.010
it's 59% female and 41% male.
00:35:24.010 --> 00:35:25.510
And that's obviously because
00:35:25.510 --> 00:35:27.520
of our woman owned certification,
00:35:27.520 --> 00:35:29.980
ethnicity white is 40% again
00:35:29.980 --> 00:35:32.070
because that woman owned certification.
00:35:32.070 --> 00:35:37.070
23% Hispanic, 20% are
Asian, 13% African-American
00:35:38.460 --> 00:35:41.390
and 3% native American.
00:35:41.390 --> 00:35:44.140
In terms of, we also
have reciprocality
00:35:44.140 --> 00:35:46.850
with the major certifying entities.
00:35:46.850 --> 00:35:50.177
So, in terms of our
reciprocal applications,
00:35:51.930 --> 00:35:55.363
24% comes from the NGLCC, the LGBT.
00:35:56.430 --> 00:35:59.870
32% comes from WBENC
the women own certification
00:35:59.870 --> 00:36:02.603
and 41% company NMSDC.
00:36:03.750 --> 00:36:05.120
When you look at the business side
00:36:05.120 --> 00:36:07.080
and the mix of size in our database,
00:36:07.080 --> 00:36:12.080
53% are small firms, a million or less,
00:36:12.180 --> 00:36:16.180
only 15% of those
large 10 million or more
00:36:16.180 --> 00:36:18.720
and then the remainder
are right in the middle.
00:36:18.720 --> 00:36:22.113
So we have a nice mix
and balance affirmed by size.
00:36:23.720 --> 00:36:26.810
And this slide was just
highlighting the fact that
00:36:26.810 --> 00:36:30.120
about all of our firms are in
a new multitude of categories.
00:36:30.120 --> 00:36:32.440
You got to, have a wide array of firms.
00:36:32.440 --> 00:36:37.370
We have a breadth and
depth about in 20 categories
00:36:37.370 --> 00:36:40.890
most of our firms fall into,
00:36:40.890 --> 00:36:45.400
and I will also add that 96%
of the firms in our database
00:36:45.400 --> 00:36:48.750
are in categories that
are utilized by the utilities
00:36:48.750 --> 00:36:51.910
and the other
participants in the program.
00:36:51.910 --> 00:36:53.270
So we have the wide array of firms
00:36:53.270 --> 00:36:55.933
and then we have the
right firms in the database.
00:36:57.930 --> 00:36:59.710
And I'd like to call it
like telling you about
00:36:59.710 --> 00:37:01.030
some of the action items
00:37:01.030 --> 00:37:03.890
the staff had been working on this year.
00:37:03.890 --> 00:37:05.890
We've been starting to provide guidance
00:37:05.890 --> 00:37:08.769
and advocate for the
inclusion of diverse firms
00:37:08.769 --> 00:37:10.830
in the procurement activities,
00:37:10.830 --> 00:37:14.130
as the CCAs and energy service providers
00:37:14.130 --> 00:37:15.837
and the other entities under the preview
00:37:15.837 --> 00:37:18.120
of Senate bill 255.
00:37:18.120 --> 00:37:19.847
We have worked with the CCAs to develop
00:37:19.847 --> 00:37:21.990
the supplier diversity best practices
00:37:21.990 --> 00:37:25.805
and mitigate Prop 209
limitations and challenges.
00:37:25.805 --> 00:37:27.815
We are working to implement SB 255
00:37:27.815 --> 00:37:32.400
and engage the entities
that fall under SB 255
00:37:32.400 --> 00:37:33.440
to provide guidance
00:37:33.440 --> 00:37:36.820
on supplier diversity program
development and reporting.
00:37:36.820 --> 00:37:39.870
And we support the CPUCs ESJ action plan
00:37:39.870 --> 00:37:41.857
by encouraging the utilities, ESJ
00:37:42.760 --> 00:37:47.540
and other SB 255 entities to
develop intentional strategies
00:37:47.540 --> 00:37:50.560
that increase economic
opportunities for ESJ communities
00:37:50.560 --> 00:37:51.627
in California.
00:37:51.627 --> 00:37:53.810
And we want to increase
the pool of qualified,
00:37:53.810 --> 00:37:57.293
diverse vendors and the
supplier clearinghouse database.
00:37:58.446 --> 00:38:00.040
And with that,
00:38:00.040 --> 00:38:04.843
I will open it up for questions
from anybody on the dais.
00:38:08.020 --> 00:38:09.520
Thank you so much, Stephanie
00:38:10.420 --> 00:38:12.950
Before going first to the Commissioners.
00:38:12.950 --> 00:38:16.330
I would like to first
go to Senator Bradford
00:38:16.330 --> 00:38:18.390
and Chair Holden.
00:38:18.390 --> 00:38:20.640
Senator Bradford do
you have any questions
00:38:20.640 --> 00:38:25.620
or comments to make
regarding the reporting
00:38:26.490 --> 00:38:30.173
for the CPUC code section 82/83?
00:38:35.020 --> 00:38:36.840
And also Chair Holden?
00:38:36.840 --> 00:38:38.730
I know you have some time commitments
00:38:38.730 --> 00:38:39.830
that you have to meet.
00:38:40.850 --> 00:38:42.610
I, thank you for that.
00:38:42.610 --> 00:38:46.640
I will only say that you are locked in,
00:38:46.640 --> 00:38:49.010
and I think it's important
00:38:49.010 --> 00:38:52.710
that this hearing provides clarity
00:38:52.710 --> 00:38:56.664
and just how the Commission
is looking to implement
00:38:56.664 --> 00:39:01.000
the senator's bill, but
also just the larger program
00:39:01.000 --> 00:39:03.030
and being able to understand clearly
00:39:03.030 --> 00:39:05.503
where additional work needs to happen.
00:39:07.430 --> 00:39:12.430
All the props in the world to
our good friend, Gwen Moore
00:39:12.640 --> 00:39:13.733
and her legacy.
00:39:15.460 --> 00:39:17.670
But I think that this
is also an opportunity
00:39:17.670 --> 00:39:20.090
to see how we can also
take it to the next level.
00:39:20.090 --> 00:39:24.860
and I'm impressed with the
direction that you're moving
00:39:24.860 --> 00:39:28.230
and we certainly stand ready
to be of additional assistance
00:39:28.230 --> 00:39:29.640
where we can.
00:39:29.640 --> 00:39:31.890
I will have to sign off,
but thank you again,
00:39:31.890 --> 00:39:33.260
president Batjeer for the opportunity
00:39:33.260 --> 00:39:36.154
to participate in this year,
and to share some comments.
00:39:36.154 --> 00:39:38.530
So glad that you were
able to join us Chair Holden.
00:39:38.530 --> 00:39:40.060
Thank you.
00:39:40.060 --> 00:39:43.683
I'm not seeing any questions
from Senator Bradford.
00:39:45.023 --> 00:39:46.920
I'm going to turn out to the dais.
00:39:47.870 --> 00:39:50.883
The Commissioners have any questions?
00:39:52.180 --> 00:39:54.350
Let Stephanie, yes.
00:39:54.350 --> 00:39:55.700
Commissioner Guzman Aceves.
00:39:56.890 --> 00:39:57.723
Thank you.
00:39:57.723 --> 00:39:59.530
And thank you, Stephanie,
for the great summary
00:39:59.530 --> 00:40:02.270
and I do also appreciate
kind of the highlights
00:40:02.270 --> 00:40:04.540
of who's doing the best
and who's made progress.
00:40:04.540 --> 00:40:07.893
So really good to
acknowledge those companies
00:40:07.893 --> 00:40:11.970
that have come a long way,
Pacific Corp, San Jose Water.
00:40:11.970 --> 00:40:13.330
It's good to know.
00:40:13.330 --> 00:40:16.810
I had a little bit of a
follow-up to your comment
00:40:16.810 --> 00:40:21.430
about the CCAs denominator
00:40:21.430 --> 00:40:23.793
and including energy procurement.
00:40:25.530 --> 00:40:27.830
I wanted to just make
sure I understood that
00:40:27.830 --> 00:40:31.710
because certainly fuel procurement
00:40:31.710 --> 00:40:33.640
has been an area
for some of the utilities
00:40:33.640 --> 00:40:37.493
to really succeed in their spends.
00:40:37.493 --> 00:40:40.270
And I was looking just at the report
00:40:40.270 --> 00:40:43.820
and even power
procurement is also an area
00:40:43.820 --> 00:40:47.779
that some of the
utilities have increased,
00:40:47.779 --> 00:40:53.093
not a lot, but it is an
area that I wonder really
00:40:54.376 --> 00:40:57.680
is the solution really to
take it out of the equation
00:40:57.680 --> 00:41:01.027
or just maybe perhaps have
some level that makes sense.
00:41:01.027 --> 00:41:03.760
Let me cross that, it's not
taking it out of the question,
00:41:03.760 --> 00:41:05.083
it's reported separately.
00:41:07.250 --> 00:41:08.930
They have their own separate tables
00:41:08.930 --> 00:41:11.220
and it's reported separately.
00:41:11.220 --> 00:41:13.240
And so it should have only been reported
00:41:13.240 --> 00:41:14.513
in those separate tables.
00:41:15.886 --> 00:41:17.318
So it's not that they don't report it.
00:41:17.318 --> 00:41:20.930
It's just that it's reported
separately from the goods
00:41:20.930 --> 00:41:22.550
and services.
00:41:22.550 --> 00:41:25.660
And is that the case
for the IOUs as well, then?
00:41:25.660 --> 00:41:28.103
It is the case
for the utilities.
00:41:29.140 --> 00:41:31.200
I see.
So for example.
00:41:31.200 --> 00:41:34.130
Yeah, go ahead, no, go ahead.
00:41:34.130 --> 00:41:35.440
Oh, I was gonna
say so for example,
00:41:35.440 --> 00:41:39.160
if TGNA per se says they did 3 billion
00:41:39.160 --> 00:41:43.530
and diverse spend out
of the goods and services,
00:41:43.530 --> 00:41:45.900
they're not including
energy in that base.
00:41:45.900 --> 00:41:50.900
So the goodness, the energy
is on those separate tables,
00:41:51.010 --> 00:41:53.670
but we really have an apples
to apples comparison to CCA
00:41:53.670 --> 00:41:55.440
should've done this thing.
00:41:55.440 --> 00:41:56.303
So, yeah.
00:41:57.650 --> 00:41:59.637
Okay, thank you
for clarifying that
00:41:59.637 --> 00:42:02.903
and just want to acknowledge
that it's a really a large area
00:42:02.903 --> 00:42:06.870
of wealth creation that
perhaps we need to think about
00:42:06.870 --> 00:42:09.890
strategies and it's a good thing to see
00:42:09.890 --> 00:42:11.453
that we've seen some of this,
00:42:12.470 --> 00:42:15.670
some diversity now
with most recently with
00:42:15.670 --> 00:42:17.580
Morongo's transmission lines
00:42:17.580 --> 00:42:18.470
and the shared ownership there.
00:42:18.470 --> 00:42:20.970
So there is certainly potential
00:42:21.910 --> 00:42:25.690
to see more of that
procurement in the energy,
00:42:25.690 --> 00:42:29.770
direct energy and including
transmission and fuel.
00:42:29.770 --> 00:42:33.420
So I'm glad to hear that
it's not part of the goals,
00:42:33.420 --> 00:42:36.163
it's just a separate
goal in and of itself.
00:42:38.570 --> 00:42:39.650
And I think it's very helpful
00:42:39.650 --> 00:42:42.750
to have it reported separately.
00:42:42.750 --> 00:42:45.040
So you have some distinction there,
00:42:45.040 --> 00:42:49.163
so thank you for that
question Commissioner.
00:42:50.035 --> 00:42:51.285
I was wondering the same.
00:42:53.169 --> 00:42:54.970
Can you hear me?
00:42:54.970 --> 00:42:56.410
Yes, I now can.
00:42:56.410 --> 00:42:58.570
Thank you. Yes, we can.
00:42:58.570 --> 00:43:00.300
Well, this is Carl Davis Jr.
00:43:00.300 --> 00:43:02.790
And I had some technical difficulties
00:43:02.790 --> 00:43:06.130
and I'm sorry I'm maybe not
able to be seen on the screen,
00:43:06.130 --> 00:43:08.470
but I'm in Washington DC.
00:43:08.470 --> 00:43:10.450
And I wanted to make
a comment real quick
00:43:10.450 --> 00:43:12.023
because I'm gonna have to go.
00:43:13.000 --> 00:43:15.210
I don't think it's any coincidence
00:43:15.210 --> 00:43:17.690
that Tim McLaughlin
and the San Jose Water
00:43:17.690 --> 00:43:19.890
has moved their numbers up.
00:43:19.890 --> 00:43:22.680
They've been able to
work very diligently with us
00:43:22.680 --> 00:43:25.160
and all the other
groups that I represent.
00:43:25.160 --> 00:43:27.050
So I'll just share that real quickly
00:43:27.050 --> 00:43:29.230
and I I'll definitely would Stephanie
00:43:29.230 --> 00:43:31.260
and anybody who
wants to connect with me,
00:43:31.260 --> 00:43:32.680
please connect with me.
00:43:32.680 --> 00:43:34.640
Right now I moved from being
00:43:34.640 --> 00:43:37.750
the Silicon Valley Black
Chamber of Commerce President
00:43:37.750 --> 00:43:38.820
to where I chair the
00:43:38.820 --> 00:43:43.360
Northern California Black
Chamber Presidents Association.
00:43:43.360 --> 00:43:47.500
And that's 10 black chambers
all the way from Napa County
00:43:47.500 --> 00:43:49.330
down the Kern County.
00:43:49.330 --> 00:43:52.680
And I wanna thank Timothy Allen Simon,
00:43:52.680 --> 00:43:54.070
I guess he's former Commissioner,
00:43:54.070 --> 00:43:56.980
he's now the state chair for the
00:43:56.980 --> 00:43:59.510
California African-American
Black Chamber.
00:43:59.510 --> 00:44:01.110
Now, the reason I mentioned that
00:44:01.110 --> 00:44:04.310
is because you guys use some
terminology about new players.
00:44:04.310 --> 00:44:06.290
You wanna go to the next level.
00:44:06.290 --> 00:44:09.160
I wanna challenge everyone that says
00:44:09.160 --> 00:44:11.910
the way I believe we could do this
00:44:11.910 --> 00:44:14.660
and be able to grow the numbers
00:44:14.660 --> 00:44:15.847
that you would like to grow
00:44:15.847 --> 00:44:18.750
and to connect with the people
who are actually connected
00:44:18.750 --> 00:44:21.750
to these small companies
and mid-sized companies
00:44:21.750 --> 00:44:24.030
that can actually make a difference.
00:44:24.030 --> 00:44:27.050
So I know certification is a huge issue.
00:44:27.050 --> 00:44:29.160
I'm here in Washington DC
00:44:29.160 --> 00:44:32.400
and ByBlack is a national
certification program
00:44:32.400 --> 00:44:34.480
is being funded by American Express.
00:44:34.480 --> 00:44:38.410
I'll be glad to introduce them
to anyone back in California
00:44:38.410 --> 00:44:40.810
when I come back,
but because I gotta run,
00:44:40.810 --> 00:44:44.020
I wanted to make sure
that I got a comment in.
00:44:44.020 --> 00:44:46.570
And the one comment I wanna say is that
00:44:46.570 --> 00:44:48.343
when the pandemic happened,
00:44:49.190 --> 00:44:52.070
our 10 chambers in Northern
and Central California,
00:44:52.070 --> 00:44:55.650
we surveyed thousands
of black business owners.
00:44:55.650 --> 00:44:59.270
And we found out
that it is very difficult
00:44:59.270 --> 00:45:03.350
for black business
owners to actually compete
00:45:03.350 --> 00:45:05.770
and actually get these contracts.
00:45:05.770 --> 00:45:06.883
So there are a few
people that do get them
00:45:06.883 --> 00:45:09.670
and that's why you have
numbers that you do.
00:45:09.670 --> 00:45:11.360
I would challenge the group to say,
00:45:11.360 --> 00:45:14.630
let's talk because with Prop 209,
00:45:14.630 --> 00:45:17.210
it's very difficult for us to even find
00:45:17.210 --> 00:45:19.200
all the black businesses there are.
00:45:19.200 --> 00:45:20.680
So if you'd like to work for me,
00:45:20.680 --> 00:45:23.240
I think I'm gonna use some technology
00:45:23.240 --> 00:45:26.630
that you would like and
at the end of the day,
00:45:26.630 --> 00:45:29.690
I know you wanna open
up opportunities to everyone.
00:45:29.690 --> 00:45:32.400
So I look forward to
working with you all.
00:45:32.400 --> 00:45:34.213
Thank you, Stephanie,
and thank you president
00:45:34.213 --> 00:45:36.700
and thank everybody on the panel
00:45:36.700 --> 00:45:38.040
and I wish I could stay longer.
00:45:38.040 --> 00:45:39.890
So please reach out to me.
00:45:39.890 --> 00:45:41.940
I'm Carl Davis, Jr.
00:45:41.940 --> 00:45:46.940
My email address is P R E
S pres@blackchamber.com.
00:45:49.460 --> 00:45:51.720
Okay, Mr. Davis, thank you.
00:45:51.720 --> 00:45:56.720
We were just opening remarks
out for the Commissioners
00:45:58.410 --> 00:46:00.330
at this point of time, but thank you.
00:46:00.330 --> 00:46:02.187
I'm gonna turn it back to the dais
00:46:03.040 --> 00:46:06.730
and ask if there are any
questions from the dais.
00:46:06.730 --> 00:46:10.280
Yes, Commissioner Cliff Rechtschaffen.
00:46:10.280 --> 00:46:12.393
Stephanie, I wanna
say, excuse me.
00:46:13.640 --> 00:46:17.470
I wanna commend you
again for preparing the report
00:46:17.470 --> 00:46:20.155
about stand in environmental
00:46:20.155 --> 00:46:23.440
and social justice action communities.
00:46:23.440 --> 00:46:25.400
It's a really interesting report in,
00:46:25.400 --> 00:46:29.320
and as I said in my opening
comments very much in mind
00:46:29.320 --> 00:46:30.579
with one of our key goals
00:46:30.579 --> 00:46:34.330
in our environmental
justice action plan,
00:46:34.330 --> 00:46:37.530
you have a slide noting
that one of the action items
00:46:37.530 --> 00:46:41.860
for 2021 is to encourage
intentional strategies
00:46:41.860 --> 00:46:44.216
that increase economic opportunities.
00:46:44.216 --> 00:46:47.560
Have you seen any from utilities so far
00:46:47.560 --> 00:46:50.373
that you think are models
for others to follow?
00:46:55.083 --> 00:46:55.920
You know what?
00:46:55.920 --> 00:46:57.770
I may have to get
back to you on that one.
00:46:57.770 --> 00:47:00.000
I'm not, I'm blinking.
00:47:00.000 --> 00:47:03.313
I'm not thinking of anything
off the top of my head.
00:47:04.910 --> 00:47:09.010
So I, can I get back to you on that one?
00:47:09.010 --> 00:47:09.882
Of course
00:47:09.882 --> 00:47:13.690
and it more important than
you've already identified
00:47:13.690 --> 00:47:15.820
it as an action item going forward.
00:47:15.820 --> 00:47:19.170
So I know that you guys
will all be working on it,
00:47:19.170 --> 00:47:20.910
but I was just curious
if there's anything
00:47:20.910 --> 00:47:23.310
that stands out to date.
00:47:23.310 --> 00:47:24.143
Thanks.
00:47:40.440 --> 00:47:42.423
President Batjer you're muted.
00:47:43.580 --> 00:47:48.290
Probably, you liked that,
didn't you Cliff? (laughing)
00:47:48.290 --> 00:47:49.930
Okay. Thank you so much,
00:47:49.930 --> 00:47:52.370
any other comments from
any of the other Commissioners
00:47:52.370 --> 00:47:53.280
or questions?
00:47:53.280 --> 00:47:56.570
I don't see any, oh yes.
00:47:56.570 --> 00:47:57.750
Commissioner Shiroma.
00:47:58.960 --> 00:48:03.960
Just a comment,
I do miss, as you,
00:48:04.448 --> 00:48:06.647
a little to you President Batjer,
00:48:07.920 --> 00:48:12.430
see each other in person in
one of our geographical areas,
00:48:12.430 --> 00:48:15.440
we were lost in the Silicon Valley
00:48:15.440 --> 00:48:18.500
and we received it more
granular information, therefore,
00:48:18.500 --> 00:48:21.903
more what was happening
in the Silicon Valley.
00:48:22.773 --> 00:48:25.500
I appreciate the metrics of Stephanie
00:48:25.500 --> 00:48:29.590
for the disadvantaged communities
in the lowest communities.
00:48:29.590 --> 00:48:32.710
I continue to be interested in the,
00:48:32.710 --> 00:48:34.990
not only the diversity
of the contractors,
00:48:34.990 --> 00:48:37.482
but where they are located.
00:48:37.482 --> 00:48:41.030
And I continue to be concerned about the
00:48:43.360 --> 00:48:47.470
low participation of the
communications providers
00:48:47.470 --> 00:48:49.370
except what's been shared.
00:48:49.370 --> 00:48:53.500
And I mentioned that
there are some things
00:48:53.500 --> 00:48:57.593
that we will need to take a
look at as to how do we approve?
00:48:58.640 --> 00:49:00.250
How do we work with these companies
00:49:00.250 --> 00:49:02.713
to improve that contracting?
00:49:03.960 --> 00:49:06.230
So I know that we are
probably running short on time.
00:49:06.230 --> 00:49:08.560
I don't expect you answer today,
00:49:08.560 --> 00:49:11.895
but these are areas of
keen interest. Thank you.
00:49:11.895 --> 00:49:13.730
Oh, Commissioner Shiroma.
00:49:13.730 --> 00:49:15.250
We will have a panel.
00:49:15.250 --> 00:49:18.980
I will be hosting a
panel that will be talking
00:49:18.980 --> 00:49:21.167
to the telecommunications companies
00:49:21.167 --> 00:49:24.938
and I intend to ask a
few of those questions.
00:49:24.938 --> 00:49:26.840
Stephie, I know we are short of time,
00:49:26.840 --> 00:49:29.670
but I do want to say
what a remarkable job you
00:49:29.670 --> 00:49:31.300
and your team has done.
00:49:31.300 --> 00:49:34.290
The September one report was excellent.
00:49:34.290 --> 00:49:36.830
Your reporting of it was excellent.
00:49:36.830 --> 00:49:39.410
It clearly gives us the guideposts
00:49:41.516 --> 00:49:44.430
that we need to make sure we're making
00:49:44.430 --> 00:49:49.270
and exceeding the goals
that we have set for ourselves
00:49:49.270 --> 00:49:51.537
and the legislature has set for us
00:49:51.537 --> 00:49:55.260
and they are critical,
absolutely critical.
00:49:55.260 --> 00:50:00.260
So we will move on
now to our first panel,
00:50:02.290 --> 00:50:06.750
the diverse community panel
COVID impact perspective.
00:50:06.750 --> 00:50:09.710
And this panel is moderated
by Commissioner Shiroma
00:50:09.710 --> 00:50:11.160
and Commissioner Houck.
00:50:11.160 --> 00:50:13.120
This panel of leaders from local
00:50:13.120 --> 00:50:15.880
and Statewide
community-based organizations
00:50:15.880 --> 00:50:19.040
and ethnic chambers have joined us today
00:50:19.040 --> 00:50:20.670
to discuss pressing issues
00:50:20.670 --> 00:50:22.171
within their business communities
00:50:22.171 --> 00:50:25.713
during the COVID 19 pandemic.
00:50:26.660 --> 00:50:30.270
They will also address their
efforts to enhance the pool
00:50:30.270 --> 00:50:33.400
of diverse suppliers and
discuss what programs
00:50:33.400 --> 00:50:35.287
they have in place to
develop their members,
00:50:35.287 --> 00:50:40.287
to meet the needs
of utility supply chain.
00:50:40.330 --> 00:50:44.340
With that I will now pass it
over to Commissioner Shiroma
00:50:44.340 --> 00:50:46.653
and Commissioner Houck, Commissioners.
00:50:47.680 --> 00:50:49.668
Yes, thank you,
President Batjer.
00:50:49.668 --> 00:50:51.300
Good morning again, everybody.
00:50:51.300 --> 00:50:54.737
It is a pleasure to
be attending the 19th
00:50:54.737 --> 00:50:56.890
Supplier Diversity En Banc.
00:50:56.890 --> 00:50:59.840
I would serve as moderator
along with Commissioner Houck.
00:50:59.840 --> 00:51:02.930
We are looking forward to
having a productive dialogue
00:51:02.930 --> 00:51:05.360
with all of you on your experiences
00:51:05.360 --> 00:51:06.973
during this challenging year.
00:51:10.960 --> 00:51:13.077
So, I also wanna thank
you President Batjer
00:51:13.077 --> 00:51:14.760
and Commissioner Shiroma,
00:51:14.760 --> 00:51:17.467
I'm very happy to join
Commissioner Shiroma
00:51:17.467 --> 00:51:19.730
in moderating this panel,
00:51:19.730 --> 00:51:22.560
again, this is my first
Supplier Diversity En Bonc
00:51:22.560 --> 00:51:23.410
as a Commissioner,
00:51:23.410 --> 00:51:27.004
and I'm very much looking
forward to the discussion today,
00:51:27.004 --> 00:51:29.903
particularly from this panel with,
00:51:31.490 --> 00:51:34.840
we're looking to increase procurement
00:51:34.840 --> 00:51:39.600
from diverse enterprises
by the participating utilities
00:51:39.600 --> 00:51:42.930
and these diverse enterprises,
00:51:42.930 --> 00:51:46.980
such as those represented
by today's panel
00:51:46.980 --> 00:51:48.380
is going to help ensure the safety
00:51:48.380 --> 00:51:51.169
and reliability of California's
energy communications
00:51:51.169 --> 00:51:54.350
and water infrastructure industries.
00:51:54.350 --> 00:51:55.940
And I'm now gonna turn it back
00:51:55.940 --> 00:51:59.610
over to Commissioner
Shiroma to introduce the panel.
00:52:01.480 --> 00:52:02.750
Thank you, Commissioner Houck,
00:52:02.750 --> 00:52:07.640
the panel we've assembled
for you today are leaders
00:52:07.640 --> 00:52:11.300
of our diverse communities
who work with the utilities
00:52:11.300 --> 00:52:14.910
to encourage economic
growth, innovative solutions,
00:52:14.910 --> 00:52:17.630
and create opportunities
for diverse suppliers
00:52:17.630 --> 00:52:20.507
to create the opportunity
00:52:20.507 --> 00:52:23.473
and to garner the
opportunity for contracts.
00:52:24.700 --> 00:52:27.440
We will now ask each of the panelists
00:52:27.440 --> 00:52:31.520
to provide a brief opening each will
00:52:31.520 --> 00:52:33.500
keep to two to three minutes each.
00:52:33.500 --> 00:52:36.960
We'll have questions after
we have the introduction.
00:52:36.960 --> 00:52:38.340
We'll follow up with specific question,
00:52:38.340 --> 00:52:41.610
can Commission Houck and myself.
00:52:41.610 --> 00:52:45.120
And so I will start the introductions.
00:52:45.120 --> 00:52:48.140
We have Tracy Stanhoff,
00:52:48.140 --> 00:52:50.040
who is the president of the
00:52:50.040 --> 00:52:53.210
American Indian Chamber of Commerce.
00:52:53.210 --> 00:52:56.570
She is a recipient of the
small business administration,
00:52:56.570 --> 00:53:00.770
of Orange County and Inland
Empire District director's award
00:53:00.770 --> 00:53:02.690
for 2020.
00:53:02.690 --> 00:53:05.530
Tracy actively participates
on several boards
00:53:05.530 --> 00:53:09.090
and serves as an officer
for multiple organizations,
00:53:09.090 --> 00:53:13.030
such as the Southern
California Indian Center.
00:53:13.030 --> 00:53:15.940
The microphone is yours, Tracy, welcome.
00:53:15.940 --> 00:53:17.540
Thank you, Commissioner.
00:53:17.540 --> 00:53:19.008
Great to see you folks.
00:53:19.008 --> 00:53:21.740
My name is, as you
heard is Tracy Stanhoff.
00:53:21.740 --> 00:53:23.340
I'm also a former tribal chairwoman
00:53:23.340 --> 00:53:25.460
for the Prairie Band Pottawatomie Nation
00:53:25.460 --> 00:53:27.140
out of the great state of Kansas.
00:53:27.140 --> 00:53:28.920
We have a very progressive nation.
00:53:28.920 --> 00:53:30.283
So yes, I came from Los Angeles
00:53:30.283 --> 00:53:34.310
all the way to Southern
Kansas and back a little bit ago.
00:53:34.310 --> 00:53:35.950
I also own a business called AD PRO.
00:53:35.950 --> 00:53:38.030
We've been in business 31 years.
00:53:38.030 --> 00:53:40.000
So our board brings a
very unique perspective
00:53:40.000 --> 00:53:44.170
as other boards do, being
that firm we're native Americans,
00:53:44.170 --> 00:53:46.620
and we have unique
perspectives on reservations
00:53:46.620 --> 00:53:48.490
and other tribal lands.
00:53:48.490 --> 00:53:49.810
Plus we're all business owners
00:53:49.810 --> 00:53:51.020
that serve on our board of directors.
00:53:51.020 --> 00:53:53.310
So we're very pragmatic in our approach.
00:53:53.310 --> 00:53:55.500
We're a very small
minority, as you know,
00:53:55.500 --> 00:53:56.920
and we're very
appreciative of this program.
00:53:56.920 --> 00:53:58.903
It's the California
public utilities program
00:53:58.903 --> 00:54:01.057
it's probably the best
program in the country
00:54:01.057 --> 00:54:02.830
for diverse businesses.
00:54:02.830 --> 00:54:06.300
So I always thank all of
you folks in the Commission
00:54:06.300 --> 00:54:08.510
and Stephanie and Drisha
for doing what you do
00:54:08.510 --> 00:54:10.855
to help us because it's
changed Indian country
00:54:10.855 --> 00:54:12.327
for the better.
00:54:12.327 --> 00:54:15.030
It seems like in the last 2020 report,
00:54:15.030 --> 00:54:18.450
we did over $400 million in
contracting with the utilities
00:54:18.450 --> 00:54:23.450
from our community that really
does change Indian country
00:54:23.860 --> 00:54:24.850
for the better.
00:54:24.850 --> 00:54:27.467
And we're very appreciative of that.
00:54:27.467 --> 00:54:29.380
Even though we'd done 400 million,
00:54:29.380 --> 00:54:31.830
we always want more
over here out for contracts
00:54:31.830 --> 00:54:33.500
we're here to get paid on time
00:54:33.500 --> 00:54:36.100
and we're qualified and capable people
00:54:36.100 --> 00:54:38.510
with a lot of native firms
00:54:38.510 --> 00:54:40.920
that can do business
in the utility industries.
00:54:40.920 --> 00:54:44.430
And again, we're just
very thankful to this year
00:54:44.430 --> 00:54:47.870
to Commissioner Guzman
Aceves for spending her time
00:54:47.870 --> 00:54:50.322
on the call with us at
our tribal leader summit
00:54:50.322 --> 00:54:51.500
earlier this year.
00:54:51.500 --> 00:54:53.270
And I know Commissioner Rechtschaffen,
00:54:53.270 --> 00:54:54.410
you've been out there with us
00:54:54.410 --> 00:54:56.890
and I've run into you
Commissioner Shiroma
00:54:56.890 --> 00:54:59.230
in the airports at times
00:54:59.230 --> 00:55:03.170
and we've had great conversations
and the other two ladies,
00:55:03.170 --> 00:55:05.580
we're gonna come after
and meet you too in person,
00:55:05.580 --> 00:55:07.590
and have some time to
rub elbows in some way.
00:55:07.590 --> 00:55:08.423
We, yeah.
00:55:08.423 --> 00:55:09.510
All right, thank you.
00:55:09.510 --> 00:55:10.460
We're really looking forward to that.
00:55:10.460 --> 00:55:12.810
We need your help and
we need your continued help
00:55:12.810 --> 00:55:13.810
and support.
00:55:13.810 --> 00:55:16.620
This is a great program
for California as a whole,
00:55:16.620 --> 00:55:18.510
and I'm just thankful to be part of it
00:55:18.510 --> 00:55:22.823
and I'll turn it over to the
next panelists themselves.
00:55:25.150 --> 00:55:26.353
Thank you, Tracy.
00:55:27.290 --> 00:55:29.740
Our, this panelist is Edwin Lombard III
00:55:29.740 --> 00:55:34.740
he is the president and CEO
of Black Chamber of Commerce.
00:55:35.500 --> 00:55:38.130
He started his own public relations firm
00:55:38.130 --> 00:55:41.550
to help small black businesses
and communities of color
00:55:41.550 --> 00:55:45.160
to have a voice on
legislative regulatory
00:55:45.160 --> 00:55:46.900
and local government issues.
00:55:46.900 --> 00:55:48.712
And then it's also, and now.
00:55:48.712 --> 00:55:53.712
Commissioner,
that was Carl Davis
00:55:53.720 --> 00:55:56.620
and Carl Davis was
the one who just spoke,
00:55:56.620 --> 00:55:59.630
Edwin Lombard is not the
representative on the panel today.
00:55:59.630 --> 00:56:00.463
My apologies.
00:56:01.679 --> 00:56:04.033
I was following my notes.
00:56:05.020 --> 00:56:08.810
Okay, well, we heard
from Carl Davis earlier,
00:56:08.810 --> 00:56:12.580
as President Batjer was
fielding questions from the panel
00:56:12.580 --> 00:56:17.580
and he really emphasized the activities,
00:56:19.030 --> 00:56:24.030
the importance of our attention
as the challenges faced by,
00:56:29.850 --> 00:56:32.015
this is a color
00:56:32.015 --> 00:56:37.015
and I do thank him, I don't
know if he is still on the line.
00:56:39.640 --> 00:56:40.473
He did indicate.
00:56:40.473 --> 00:56:42.940
I don't think he is
Commissioner Shiroma.
00:56:42.940 --> 00:56:44.810
He said he had, he
was in Washington
00:56:44.810 --> 00:56:47.640
and he had to leave
that's why he jumped.
00:56:47.640 --> 00:56:50.023
I think that's why he jumped in with us.
00:56:50.880 --> 00:56:53.990
Well, then we will
go on now to my friend,
00:56:53.990 --> 00:56:55.680
Pat Fong Kusghinda.
00:56:55.680 --> 00:56:59.000
Hello Pat, nice to see
you follow Sacramenton.
00:56:59.000 --> 00:57:01.550
Pat is the president and CEO of
00:57:01.550 --> 00:57:04.600
CalAsian Chamber of Commerce,
00:57:04.600 --> 00:57:08.300
the California Asian Pacific
Chamber of Commerce,
00:57:08.300 --> 00:57:13.300
which represents over
600,000 Asian American
00:57:13.550 --> 00:57:17.300
and Pacific Islander owned
businesses in California
00:57:17.300 --> 00:57:21.120
and is the largest ethnic
chamber in the state.
00:57:21.120 --> 00:57:22.520
Most recently, she formed the
00:57:22.520 --> 00:57:26.050
Sacramento Inclusive Economic
Development Collaborative,
00:57:26.050 --> 00:57:29.070
which advocates for economic justice
00:57:29.070 --> 00:57:32.040
and provides resources
for small businesses
00:57:32.040 --> 00:57:34.430
in the Sacramento region.
00:57:34.430 --> 00:57:38.500
I long ago, and far away
I shared with this panel
00:57:38.500 --> 00:57:42.774
that I was a board member on the
00:57:42.774 --> 00:57:47.764
Sacramento Asian Pacific
Chamber of Commerce.
00:57:47.764 --> 00:57:52.764
And that chamber at that
time hired Pat as it's CEO
00:57:54.980 --> 00:57:59.780
and she transformed the
chamber into quite a force
00:57:59.780 --> 00:58:01.110
in the Sacramento area.
00:58:01.110 --> 00:58:04.710
And now is CEO of the Statewide chamber.
00:58:04.710 --> 00:58:05.653
So welcome Pat.
00:58:06.830 --> 00:58:08.600
Thank you. Can
you all hear me okay
00:58:08.600 --> 00:58:11.030
because I was having
technical difficulties.
00:58:11.030 --> 00:58:12.220
Am I good?
00:58:12.220 --> 00:58:14.111
Yes you're good,
we can hear you fine.
00:58:14.111 --> 00:58:15.410
Thank you.
00:58:15.410 --> 00:58:16.420
President Batjer
00:58:16.420 --> 00:58:17.440
and fellow Commissioners
00:58:17.440 --> 00:58:20.450
and Commissioner Shiroma
it's nice to see you again.
00:58:20.450 --> 00:58:21.930
It's true, I am literally
00:58:21.930 --> 00:58:25.590
the oldest living
chamber executive ever.
00:58:25.590 --> 00:58:29.103
I said, so I work for
a very, very long time.
00:58:30.112 --> 00:58:31.670
Commissioner Shiroma was actually
00:58:31.670 --> 00:58:34.310
one of the founding
members of our local chamber
00:58:34.310 --> 00:58:36.350
very early on in the '90s.
00:58:36.350 --> 00:58:39.610
So, as Commissioner Shiroma indicated,
00:58:39.610 --> 00:58:43.680
we are one of the
largest ethnic chambers
00:58:43.680 --> 00:58:44.640
here in California.
00:58:44.640 --> 00:58:47.059
We do represent the
interest of over 600,000
00:58:47.059 --> 00:58:48.690
AAPI owned businesses.
00:58:48.690 --> 00:58:50.680
I wanna talk very briefly.
00:58:50.680 --> 00:58:52.600
California's population as you know,
00:58:52.600 --> 00:58:54.027
is increasingly diverse
00:58:54.027 --> 00:58:57.010
and we are now a
majority-minority state.
00:58:57.010 --> 00:59:01.360
In 1970, 76% of the
population identified as white,
00:59:01.360 --> 00:59:03.110
today 36% do.
00:59:03.110 --> 00:59:08.110
In 1970 3% identified
as AAPI today 15% do.
00:59:08.940 --> 00:59:12.008
And by 2055 Asian
Americans are projected
00:59:12.008 --> 00:59:14.550
to be the nation's
largest immigrant groups
00:59:14.550 --> 00:59:15.923
surpassing Hispanics.
00:59:17.220 --> 00:59:19.020
Now, according to Green Line 2020
00:59:19.020 --> 00:59:20.950
suppliers diverse report cards,
00:59:20.950 --> 00:59:23.930
the Asia's spent has had an even result.
00:59:23.930 --> 00:59:26.490
The company spending
on Asian-American suppliers
00:59:26.490 --> 00:59:27.810
remained steady,
00:59:27.810 --> 00:59:31.420
but inconsistent in 2019
with 50% of the companies
00:59:31.420 --> 00:59:34.006
reporting a decrease in their spending.
00:59:34.006 --> 00:59:37.393
And as you reported the 7.6% ban.
00:59:38.410 --> 00:59:43.410
Phone and cable reported
3.7% and wireless reported 11.9,
00:59:44.130 --> 00:59:46.900
water reported 2.96.
00:59:46.900 --> 00:59:50.170
We are a technical assistance
minority serving chamber,
00:59:50.170 --> 00:59:52.970
running three federal
centers, any state program,
00:59:52.970 --> 00:59:55.400
all focused on providing
businesses assistance
00:59:55.400 --> 00:59:57.080
to minority firms.
00:59:57.080 --> 01:00:00.210
And just recently the three
Statewide ethnic chambers
01:00:00.210 --> 01:00:03.480
co-sponsored AB-915 authored
01:00:03.480 --> 01:00:05.440
by assembly member Chiu and Holden,
01:00:05.440 --> 01:00:06.273
which would have codified the state 25%
01:00:06.273 --> 01:00:10.500
small business procurement goal.
01:00:10.500 --> 01:00:11.650
Because of the pandemic,
01:00:11.650 --> 01:00:14.530
the challenges that face
minority owned small businesses
01:00:14.530 --> 01:00:16.290
have never been more acute.
01:00:16.290 --> 01:00:18.260
And according to the New York Fed
01:00:18.260 --> 01:00:21.450
active business
ownership is down only 20%
01:00:21.450 --> 01:00:22.910
for AAPI businesses.
01:00:22.910 --> 01:00:26.270
And 90% of Asian
owners surveyed reported
01:00:26.270 --> 01:00:28.850
a decline in revenue in 2020
01:00:28.850 --> 01:00:33.423
with 77% characterizing their
financial condition as poor.
01:00:34.390 --> 01:00:37.510
30% of those surveys say
they do not believe conditions
01:00:37.510 --> 01:00:41.500
will return to normal
until 2022 or later.
01:00:41.500 --> 01:00:43.700
This illustrates the profound disruption
01:00:43.700 --> 01:00:47.460
of the pandemic cause
to AAPI businesses.
01:00:47.460 --> 01:00:48.820
And since the onset of COVID-19,
01:00:48.820 --> 01:00:52.330
the CalAsian Chambers to
have more than 6,000 businesses
01:00:52.330 --> 01:00:53.670
through our centers.
01:00:53.670 --> 01:00:55.920
It has been especially distressing
01:00:55.920 --> 01:00:58.080
To see the system systematic barriers,
01:00:58.080 --> 01:01:00.830
which inhibit small businesses laid bare
01:01:00.830 --> 01:01:03.906
on a daily basis over
the last year and a half.
01:01:03.906 --> 01:01:07.350
That's why the proactive
and thoughtful leadership
01:01:07.350 --> 01:01:09.700
of the CPUC is critical at this time
01:01:09.700 --> 01:01:11.370
to address these barriers
01:01:11.370 --> 01:01:13.306
and continue to inhibit fair
01:01:13.306 --> 01:01:17.850
and equitable access to public
utility procurement programs.
01:01:17.850 --> 01:01:18.683
Thank you so much
01:01:18.683 --> 01:01:20.893
and I look forward to the conversation.
01:01:23.320 --> 01:01:24.490
Thank you, Pat.
01:01:24.490 --> 01:01:27.300
And next we have Frank Montes.
01:01:27.300 --> 01:01:29.960
Frank is the former
chairman of the board of the
01:01:29.960 --> 01:01:32.580
Greater Riverside Hispanic
Chamber of Commerce,
01:01:32.580 --> 01:01:35.100
and was also the vice
chairman of the board of the
01:01:35.100 --> 01:01:38.470
California Hispanic
Chambers of Commerce.
01:01:38.470 --> 01:01:39.303
As the chair of the
01:01:39.303 --> 01:01:41.640
Greater Riverside Hispanic
Chamber of Commerce.
01:01:41.640 --> 01:01:44.322
Frank led the creation
of the joint organizations
01:01:44.322 --> 01:01:46.690
for business success initiative.
01:01:46.690 --> 01:01:49.240
Where over 40 chambers
of commerce signed a memo
01:01:49.240 --> 01:01:51.250
of understanding to support one another
01:01:51.250 --> 01:01:54.773
through collaboration and
sharing of resources, Frank.
01:01:55.730 --> 01:01:58.330
Yes, thank you, Commissioners
01:01:58.330 --> 01:02:01.096
and everyone out there at Zoom land.
01:02:01.096 --> 01:02:02.590
Again my name is Frank Montes
01:02:02.590 --> 01:02:05.340
and I'm a small business
owner here in the Inland Empire,
01:02:05.340 --> 01:02:07.310
in the beautiful city of Fontana.
01:02:07.310 --> 01:02:11.222
I'm gonna give you a
perspective, fun, the.
01:02:11.222 --> 01:02:13.330
Frank, excuse me, Frank,
01:02:13.330 --> 01:02:16.160
we're having a little bit
of trouble hearing you.
01:02:16.160 --> 01:02:18.950
If you could speak a little
more directly into your mic,
01:02:18.950 --> 01:02:20.069
that would be super.
01:02:20.069 --> 01:02:22.710
Sure, is this better?
01:02:22.710 --> 01:02:24.630
It's a little better,
but we could still,
01:02:24.630 --> 01:02:26.510
you have it a bit stronger
01:03:00.580 --> 01:03:02.803
We can't hear you at all now, Frank.
01:03:06.970 --> 01:03:08.401
This is Robert Stanford.
01:03:08.401 --> 01:03:09.871
Mr. Montes got disconnected.
01:03:09.871 --> 01:03:11.243
He's dialing back in.
01:03:12.170 --> 01:03:15.486
Okay, why don't we move to the
01:03:15.486 --> 01:03:18.110
next panelist Commissioners
01:03:20.480 --> 01:03:22.670
and then we'll come back to Frank.
01:03:22.670 --> 01:03:23.960
Okay, we'll come back to Frank.
01:03:23.960 --> 01:03:27.170
The next panelist is Marquita Thomas
01:03:27.170 --> 01:03:29.119
and Marquita is the executive director
01:03:29.119 --> 01:03:31.130
and previous president of the
01:03:31.130 --> 01:03:33.900
Los Angeles Gay and
lesbian Chamber of Commerce,
01:03:33.900 --> 01:03:38.210
where she has advocated
for increased LGBT inclusion
01:03:38.210 --> 01:03:41.410
and corporate government
and municipal supply chains.
01:03:41.410 --> 01:03:42.243
Prior to that,
01:03:42.243 --> 01:03:44.370
Marquita was the co-chair of the lesbian
01:03:44.370 --> 01:03:47.400
and gay advisory board of
the city of West Hollywood
01:03:47.400 --> 01:03:50.673
and founded a successful
marketing and branding business.
01:03:54.100 --> 01:03:54.933
Thank you, Commissioner.
01:03:54.933 --> 01:03:56.983
I just wanna make sure
everyone can hear me.
01:03:58.230 --> 01:03:59.097
Yes we can.
01:04:00.300 --> 01:04:02.590
Great, again my name
is Marquita Thomas
01:04:02.590 --> 01:04:04.020
and I am the executive director,
01:04:04.020 --> 01:04:05.980
but just as a point of clarity
01:04:05.980 --> 01:04:09.002
is the Los Angeles LGBTQ
Chamber of Commerce.
01:04:09.002 --> 01:04:11.180
My pronouns are she, her and hers.
01:04:11.180 --> 01:04:13.520
I know that we're
running quite a bit behind,
01:04:13.520 --> 01:04:15.034
so I'll just make this super brief.
01:04:15.034 --> 01:04:17.930
I've been with the
organization for over 12 years.
01:04:17.930 --> 01:04:20.380
We're an affiliate chamber of the NGLCC,
01:04:20.380 --> 01:04:24.510
which is the national third
party, LGBTBE certifying body
01:04:24.510 --> 01:04:27.540
and we are very happy to be here
01:04:27.540 --> 01:04:29.900
and to be a voice in how
the utilities can continue
01:04:29.900 --> 01:04:31.830
to provide increase equity in
01:04:31.830 --> 01:04:33.913
historically underutilized communities.
01:04:34.967 --> 01:04:37.290
I'll leave it there and
I'm looking forward
01:04:37.290 --> 01:04:38.533
to today's discussion.
01:04:40.250 --> 01:04:42.462
Thank you, and
then we'll go back,
01:04:42.462 --> 01:04:45.070
Frank, are you connected?
01:04:45.070 --> 01:04:45.903
Can we?
01:04:53.436 --> 01:04:55.080
We can't hear you.
01:04:55.080 --> 01:04:58.130
We'll give you just another
minute to get reconnected
01:04:58.130 --> 01:05:01.250
and we'll go to Cole
and come back to you,
01:05:01.250 --> 01:05:02.623
Frank in just a second.
01:05:04.180 --> 01:05:07.640
The next panelist is Cole Woodman.
01:05:07.640 --> 01:05:09.230
Cole currently served as
01:05:09.230 --> 01:05:12.780
the California Veterans
Affairs Disabled Veteran
01:05:12.780 --> 01:05:15.640
business enterprises advisory council.
01:05:15.640 --> 01:05:18.780
He's also the chairman
co-founder of the nonprofit
01:05:18.780 --> 01:05:21.730
organization, Veterans
in Business Network.
01:05:21.730 --> 01:05:24.450
In 2019 the Veterans in Business Network
01:05:24.450 --> 01:05:26.070
won the best in class.
01:05:26.070 --> 01:05:29.346
Trailblazer Award from San
Diego Gas and Electric Company
01:05:29.346 --> 01:05:31.200
for its innovative approach
01:05:31.200 --> 01:05:33.789
and connecting veteran
businesses to opportunities
01:05:33.789 --> 01:05:35.163
and education.
01:05:37.560 --> 01:05:38.393
Great, thank you.
01:05:38.393 --> 01:05:40.200
Good morning, Commissioners panelists
01:05:40.200 --> 01:05:42.022
and En Banc attendees.
01:05:42.022 --> 01:05:44.515
It's my honor to speak on behalf
of veteran owned businesses
01:05:44.515 --> 01:05:45.512
this morning.
01:05:45.512 --> 01:05:48.791
As a veteran, I can't
help but draw a parallel
01:05:48.791 --> 01:05:50.658
between the way we approach
01:05:50.658 --> 01:05:53.148
and mobilized for war time
01:05:53.148 --> 01:05:57.219
and the way we must approach
and mobilize for the pandemic.
01:05:57.219 --> 01:05:58.346
For example,
01:05:58.346 --> 01:06:01.090
we recently concluded
the war in Afghanistan
01:06:01.090 --> 01:06:02.616
and when it began, nobody expected
01:06:02.616 --> 01:06:06.440
that we would be there
for 20 years, but we were.
01:06:06.440 --> 01:06:08.780
And so while everyone
is currently in a rush
01:06:08.780 --> 01:06:11.580
to get back to normal post COVID,
01:06:11.580 --> 01:06:14.570
I believe the economic
impact of this pandemic
01:06:14.570 --> 01:06:17.560
will go on much longer
than we anticipate
01:06:17.560 --> 01:06:19.530
and so we must be prepared to weather
01:06:19.530 --> 01:06:21.270
the long-term effects together
01:06:21.270 --> 01:06:24.910
I think GO 156, the En
Banc the Commission
01:06:24.910 --> 01:06:28.313
and the regulated utilities
all must come together
01:06:28.313 --> 01:06:32.016
to weather the storm for our
small and diverse communities.
01:06:32.016 --> 01:06:35.500
In uncertain times like this,
01:06:35.500 --> 01:06:37.530
the government and large businesses
01:06:37.530 --> 01:06:40.170
such as the regulated
utilities that are here today
01:06:40.170 --> 01:06:43.040
become much larger
actors in the economy.
01:06:43.040 --> 01:06:44.701
And so I would encourage all utilities
01:06:44.701 --> 01:06:49.200
to embrace this responsibility
as major spenders
01:06:49.200 --> 01:06:51.599
and buyers and do everything you can
01:06:51.599 --> 01:06:52.923
to push those opportunities
01:06:52.923 --> 01:06:55.251
down to the communities you serve.
01:06:55.251 --> 01:06:58.993
Stephanie mentioned,
one of the strategies
01:06:58.993 --> 01:07:02.203
for 2021 is the intentional strategies
01:07:02.203 --> 01:07:05.662
to help the communities
and the diverse businesses
01:07:05.662 --> 01:07:08.070
I'd like to highlight
one example I've seen
01:07:08.070 --> 01:07:09.270
over the past year.
01:07:09.270 --> 01:07:12.140
For years at this very meeting,
01:07:12.140 --> 01:07:15.910
I have been talking about
the importance of cashflow
01:07:15.910 --> 01:07:18.351
and prompt payment to small businesses.
01:07:18.351 --> 01:07:22.262
I'd like to acknowledge
T-Mobile they've heard my cries
01:07:22.262 --> 01:07:25.730
and they have implemented
a 30 day pay program,
01:07:25.730 --> 01:07:29.940
which allows expedited
payments to over 400
01:07:29.940 --> 01:07:32.520
of their small and diverse suppliers.
01:07:32.520 --> 01:07:36.260
So programs like that during
normal good economic times
01:07:36.260 --> 01:07:37.093
are important
01:07:37.093 --> 01:07:40.170
but during times like this
where labor and supplies
01:07:40.170 --> 01:07:42.280
are getting more expensive,
01:07:42.280 --> 01:07:44.310
those types of programs are vital
01:07:44.310 --> 01:07:46.570
to keeping small businesses alive.
01:07:46.570 --> 01:07:48.240
So for any of the utilities out there
01:07:48.240 --> 01:07:49.690
that are listening right now,
01:07:49.690 --> 01:07:52.900
if you have Net 60 or
Net 90 payment terms,
01:07:52.900 --> 01:07:54.810
now is the time to adjust that.
01:07:54.810 --> 01:07:56.640
I think during this pandemic,
01:07:56.640 --> 01:07:59.360
those types of changes
could, can be made.
01:07:59.360 --> 01:08:01.060
I know our time is short in closing.
01:08:01.060 --> 01:08:02.920
I'd just like to touch on the theme
01:08:02.920 --> 01:08:04.347
of the En Banc this year,
01:08:04.347 --> 01:08:07.220
"Thriving and surviving
during a pandemic,"
01:08:07.220 --> 01:08:09.920
I would argue that
the war is still raging on
01:08:09.920 --> 01:08:14.390
and the winners and losers
are yet to be determined.
01:08:14.390 --> 01:08:16.190
So I don't wanna sound negative
01:08:16.190 --> 01:08:18.170
or that the sky is falling,
01:08:18.170 --> 01:08:20.610
but between my time in the Navy
01:08:20.610 --> 01:08:22.570
and my time as a small business owner,
01:08:22.570 --> 01:08:26.182
I've never before felt
such a sense of urgency
01:08:26.182 --> 01:08:28.840
and uncertainty about the road ahead,
01:08:28.840 --> 01:08:30.340
especially for the health
01:08:30.340 --> 01:08:32.300
and strength of our economy
01:08:32.300 --> 01:08:34.660
and the small businesses
that keep it afloat.
01:08:34.660 --> 01:08:37.750
So I appreciate the opportunity
to be here this morning
01:08:37.750 --> 01:08:39.812
and I look forward to
answering your questions
01:08:39.812 --> 01:08:43.127
about how we move forward
successfully, thank you.
01:08:45.110 --> 01:08:49.902
Thank you. And now
I believe Mr. Montes
01:08:49.902 --> 01:08:52.520
is connected with the audio.
01:08:52.520 --> 01:08:56.892
So I wanna go back and
provide your opening statement.
01:08:56.892 --> 01:08:59.330
Can everyone hear me now?
01:08:59.330 --> 01:09:01.270
Yes, we can hear you.
01:09:01.270 --> 01:09:04.430
You usually don't have
a problem hearing me.
01:09:04.430 --> 01:09:07.660
So anyway, my name is Frank Montes.
01:09:07.660 --> 01:09:09.390
I am a past chairman of the
01:09:09.390 --> 01:09:11.280
California Hispanic Chamber of Commerce.
01:09:11.280 --> 01:09:12.130
Past chairman of the
01:09:12.130 --> 01:09:13.907
Greater Riverside Hispanic
Chamber of Commerce.
01:09:13.907 --> 01:09:14.980
But more importantly,
01:09:14.980 --> 01:09:17.853
I'm a small business
here in the city of Fontana.
01:09:19.220 --> 01:09:21.440
I'm gonna give you a perspective
01:09:21.440 --> 01:09:25.690
from a small business
perspective of pre COVID
01:09:25.690 --> 01:09:29.540
on businesses always
have had a challenge thriving.
01:09:29.540 --> 01:09:33.203
Now during COVID or
charges are surviving.
01:09:34.930 --> 01:09:37.320
Just to name a few,
01:09:37.320 --> 01:09:41.940
the distribution chain has been impacted
01:09:41.940 --> 01:09:44.280
where restaurants even my industry,
01:09:44.280 --> 01:09:46.390
I own a collision center
are having problems
01:09:46.390 --> 01:09:48.370
getting supplies and materials.
01:09:48.370 --> 01:09:50.217
Our restaurants are having problems,
01:09:50.217 --> 01:09:54.150
stocking all the ingredients
01:09:54.150 --> 01:09:56.380
and foods that they need
to serve their customers.
01:09:56.380 --> 01:09:58.060
So there's an issue there
01:09:59.531 --> 01:10:01.823
that's has been in effect from COVID.
01:10:03.660 --> 01:10:05.140
During the pandemic our businesses
01:10:05.140 --> 01:10:08.770
have had challenges keeping open.
01:10:08.770 --> 01:10:09.810
They closed down,
01:10:09.810 --> 01:10:12.590
they open again, they close, they open,
01:10:12.590 --> 01:10:13.700
they can dine outside.
01:10:13.700 --> 01:10:15.490
They can't dine outside
01:10:15.490 --> 01:10:19.100
now our businesses are our enforcement
01:10:19.100 --> 01:10:20.220
almost enforcement agency,
01:10:20.220 --> 01:10:23.080
where they have to
check who's vaccinated,
01:10:23.080 --> 01:10:23.913
who's not.
01:10:23.913 --> 01:10:28.880
So all these things impact
running a small businesses.
01:10:28.880 --> 01:10:31.250
Small businesses have
challenges enough paying the bills,
01:10:31.250 --> 01:10:32.458
paying their employees
01:10:32.458 --> 01:10:36.470
that now we're asked to
be police agencies also
01:10:36.470 --> 01:10:38.520
to make sure that
everybody's vaccinated.
01:10:41.000 --> 01:10:45.350
We all waiting to get back to normal.
01:10:45.350 --> 01:10:46.680
What is the new normal?
01:10:46.680 --> 01:10:48.623
That's the billion dollar question.
01:10:49.960 --> 01:10:52.800
We are waiting for the
dust to settle everyone,
01:10:52.800 --> 01:10:55.485
to see exactly what our local chambers
01:10:55.485 --> 01:10:59.000
can do to assist our small businesses
01:10:59.000 --> 01:11:01.430
and what programs we put in place.
01:11:01.430 --> 01:11:04.337
No one knows what those
programs are gonna look like.
01:11:04.337 --> 01:11:08.624
We can't go to business,
can't be business as usual.
01:11:08.624 --> 01:11:10.698
No amount of certification programs,
01:11:10.698 --> 01:11:13.210
no amount of procurement programs.
01:11:13.210 --> 01:11:15.650
No amount of financial literacy
01:11:15.650 --> 01:11:18.183
can help those struggles
that our small businesses
01:11:18.183 --> 01:11:19.733
are facing now.
01:11:21.010 --> 01:11:25.400
Even with all this that I said,
01:11:25.400 --> 01:11:29.034
keep in mind that our
small business owners,
01:11:29.034 --> 01:11:34.034
our families, our employees
are our families, we,
01:11:34.370 --> 01:11:37.220
the small businesses
hire from our community.
01:11:37.220 --> 01:11:38.740
And when our community is impacted,
01:11:38.740 --> 01:11:40.470
or communities suffer.
01:11:40.470 --> 01:11:42.830
So do our small businesses.
01:11:42.830 --> 01:11:47.830
We've had tremendous loss
these past years, human loss,
01:11:49.490 --> 01:11:53.650
our employees come to me every so often
01:11:53.650 --> 01:11:57.233
and say, Frank, another family
member has passed away.
01:11:59.238 --> 01:12:03.700
My aunt, my grandmother,
my brother, my sister
01:12:03.700 --> 01:12:05.340
they're in the hospital.
01:12:05.340 --> 01:12:07.890
We can't sit there and hold their hand.
01:12:07.890 --> 01:12:10.010
They're passing away alone.
01:12:10.010 --> 01:12:12.840
That pain that our small businesses,
01:12:12.840 --> 01:12:15.973
our community are gonna
carry for years to come.
01:12:17.295 --> 01:12:21.550
I need the Commission and
the utilities keep that in mind.
01:12:21.550 --> 01:12:23.410
I know that I'm
preaching to the choir here
01:12:23.410 --> 01:12:26.443
because all of us are
feeling the same impact.
01:12:31.878 --> 01:12:34.720
As a small business owner,
01:12:34.720 --> 01:12:39.090
I implore the utilities
to keep that in mind,
01:12:39.090 --> 01:12:41.720
when they move their certifications
01:12:41.720 --> 01:12:44.970
or the procurement programs forward.
01:12:44.970 --> 01:12:46.970
It's not gonna be the same folks,
01:12:46.970 --> 01:12:48.590
it's not gonna be the same.
01:12:48.590 --> 01:12:49.820
I'm a small business,
01:12:49.820 --> 01:12:50.959
third generation small businesses
01:12:50.959 --> 01:12:53.890
my two sons are taken over for now.
01:12:53.890 --> 01:12:56.260
And the challenges that they face
01:12:56.260 --> 01:12:58.860
there's no handbook,
there's no guidebook
01:12:58.860 --> 01:13:01.623
to assist us in those challenges.
01:13:02.540 --> 01:13:06.349
So again, the dust
has not settled yet folks
01:13:06.349 --> 01:13:10.828
and we have yet to see
where we're gonna stand.
01:13:10.828 --> 01:13:13.210
With the challenges we're gonna have.
01:13:13.210 --> 01:13:15.370
I think the challenges
are gonna continue
01:13:15.370 --> 01:13:17.960
for five to 10 years.
01:13:17.960 --> 01:13:20.680
We have not seen the
end of this pandemic
01:13:20.680 --> 01:13:24.470
and the fall off that
this is gonna have.
01:13:24.470 --> 01:13:27.890
But one thing I did want to
touch on is the prompt payment.
01:13:27.890 --> 01:13:30.270
I've heard my colleague, Tracy,
01:13:30.270 --> 01:13:32.890
constantly speaking
about prompt payment.
01:13:32.890 --> 01:13:33.890
Let's be done with that.
01:13:33.890 --> 01:13:34.723
Let's get it handled
01:13:34.723 --> 01:13:37.600
and let's get our small
businesses paid on time,
01:13:37.600 --> 01:13:41.590
especially now folks, especially now.
01:13:41.590 --> 01:13:42.840
And I do wanna say one thing,
01:13:42.840 --> 01:13:44.471
I do wanna thank
Southern California Edison
01:13:44.471 --> 01:13:47.080
for the mitigation
program on the wildfires
01:13:47.080 --> 01:13:50.260
for the burn survivor, thank you.
01:13:50.260 --> 01:13:51.093
Thank you for doing that.
01:13:51.093 --> 01:13:52.733
I think that is so important
01:13:52.733 --> 01:13:55.380
that we continue pushing that forward.
01:13:55.380 --> 01:13:57.770
And I believe my time is up
01:13:57.770 --> 01:14:00.620
for me to give you all the
perspectives on small business,
01:14:00.620 --> 01:14:01.970
I think we need a full day.
01:14:04.890 --> 01:14:06.803
Thank you Frank for that.
01:14:09.980 --> 01:14:12.410
Spoken to in real
experience from the heart,
01:14:12.410 --> 01:14:17.410
this whole aspect of making
a payroll of not only us,
01:14:17.500 --> 01:14:19.230
but of course, the utilities,
01:14:19.230 --> 01:14:22.140
the folks who are
managing these programs,
01:14:22.140 --> 01:14:27.180
walking in your shoes,
in terms of the challenges
01:14:27.180 --> 01:14:30.342
and day to day that each of you face
01:14:30.342 --> 01:14:33.833
in garnering contracts,
keeping people employed,
01:14:33.833 --> 01:14:37.340
making payroll, paying the bills.
01:14:37.340 --> 01:14:41.490
So with that, we'll turn
now to some questions,
01:14:41.490 --> 01:14:43.740
I'll ask the first one and
then Commissioner Houck,
01:14:43.740 --> 01:14:45.494
will ask the next one.
01:14:45.494 --> 01:14:49.420
So in the vein of that each
of you have been speaking to,
01:14:49.420 --> 01:14:54.420
and that 2022 will be
presenting challenges,
01:14:55.150 --> 01:14:59.860
maybe even more
challenges share with us further
01:15:00.730 --> 01:15:03.400
anything else you want
to make sure we know
01:15:03.400 --> 01:15:04.890
about those challenges,
01:15:04.890 --> 01:15:08.490
but also have you seen opportunities?
01:15:08.490 --> 01:15:13.490
Have you seen new best
practices towards surviving
01:15:14.130 --> 01:15:16.490
and navigating these times?
01:15:16.490 --> 01:15:19.450
And we'll go back to the order.
01:15:19.450 --> 01:15:20.713
We'll go back to Tracy.
01:15:22.810 --> 01:15:24.400
Any thoughts?
01:15:24.400 --> 01:15:26.050
Okay, yes, of course.
01:15:26.050 --> 01:15:30.231
You know me, come on, we have,
01:15:30.231 --> 01:15:33.093
the American Indian Chamber
where we're really a state,
01:15:33.093 --> 01:15:34.770
it's not national organization.
01:15:34.770 --> 01:15:37.450
Now we immediately
started with in the first week
01:15:37.450 --> 01:15:40.270
of the shutdown with webinars online,
01:15:40.270 --> 01:15:42.047
just even just check
ins with our members,
01:15:42.047 --> 01:15:43.010
how are you doing?
01:15:43.010 --> 01:15:44.620
Are you, as Frank was saying,
01:15:44.620 --> 01:15:45.600
are you, are you healthy?
01:15:45.600 --> 01:15:47.320
What's going on?
01:15:47.320 --> 01:15:49.693
And he mentioned prompt payment, which,
01:15:49.693 --> 01:15:52.670
I'm probably gonna get a lot
of arrows shots sent my way
01:15:52.670 --> 01:15:54.620
from some of the utilities I'm sorry,
01:15:54.620 --> 01:15:57.550
but it should be 30 days
for anybody getting paid.
01:15:57.550 --> 01:15:59.793
You guys get paid every
month with our utility bills.
01:15:59.793 --> 01:16:01.293
It should be a quick
pay, not a quick pay,
01:16:01.293 --> 01:16:05.010
a normal process could pay them 30 days.
01:16:05.010 --> 01:16:05.843
The other thing,
01:16:05.843 --> 01:16:08.280
and I've spoken a little bit about this
01:16:08.280 --> 01:16:09.900
is tier two contracting.
01:16:09.900 --> 01:16:12.152
We've really had problems
with tier two contracting,
01:16:12.152 --> 01:16:16.860
especially during this
pandemic, talk about slow pay.
01:16:16.860 --> 01:16:21.860
You think our small businesses
are affected by this issue
01:16:22.220 --> 01:16:23.730
of getting paid on time.
01:16:23.730 --> 01:16:24.960
And for the most part,
01:16:24.960 --> 01:16:26.500
I will say that utilities
have been doing
01:16:26.500 --> 01:16:28.850
a really great job of fixing it for us.
01:16:28.850 --> 01:16:30.370
If we go to them and say,
01:16:30.370 --> 01:16:32.430
hey, we're having problems getting paid,
01:16:32.430 --> 01:16:34.370
but then you have to take your part
01:16:34.370 --> 01:16:37.327
and say, hey, I can't afford
to hang out here for 60,
01:16:37.327 --> 01:16:38.318
75, 90 days.
01:16:38.318 --> 01:16:40.150
And then you have to call your liaison
01:16:40.150 --> 01:16:40.983
and get it fixed.
01:16:40.983 --> 01:16:43.320
But the tier two has
been even a huger issue
01:16:43.320 --> 01:16:45.094
because a lot of utilities will say,
01:16:45.094 --> 01:16:46.980
well, you're gonna go to tier two
01:16:46.980 --> 01:16:49.300
because you're too
small to do the job yourself
01:16:49.300 --> 01:16:52.070
or your sub because you're
a painter or an electrician
01:16:52.070 --> 01:16:52.980
or whatever.
01:16:52.980 --> 01:16:54.977
And in construction
which we have a lot of
01:16:54.977 --> 01:16:57.153
and the tier-ones I
guess they're not healthy
01:16:57.153 --> 01:17:02.010
or, and they can't pay people
on time as well as they could,
01:17:02.010 --> 01:17:05.820
or because of the fact
that the utility sometimes,
01:17:05.820 --> 01:17:08.630
and guys, I love you we
don't wanna be advisor
01:17:08.630 --> 01:17:09.960
to all utilities,
01:17:09.960 --> 01:17:12.490
but you say, I can't control my prime.
01:17:12.490 --> 01:17:13.667
And it's like, that's baloney.
01:17:13.667 --> 01:17:16.116
I ran a multi-hundred
million dollar tribe
01:17:16.116 --> 01:17:19.490
and if one of my primes was
jerking around excuse me,
01:17:19.490 --> 01:17:21.800
my term with any of our businesses,
01:17:21.800 --> 01:17:22.880
they'd chew me down there,
01:17:22.880 --> 01:17:26.070
chief Tracy yelling at them
going, get your act together.
01:17:26.070 --> 01:17:28.871
We paid you pay the people in line.
01:17:28.871 --> 01:17:32.040
So that's been quite a
challenge during the pandemic
01:17:32.040 --> 01:17:36.670
that and the fact that,
we're really, really pushing
01:17:36.670 --> 01:17:38.850
to have connection with the folks.
01:17:38.850 --> 01:17:40.840
And I'm again, I'm
not blaming the utilities,
01:17:40.840 --> 01:17:42.730
but you gotta get out
there in person again.
01:17:42.730 --> 01:17:45.516
And you've got to really be
able to rub elbows with us.
01:17:45.516 --> 01:17:48.750
It's very difficult for
our people right now,
01:17:48.750 --> 01:17:49.837
and we're coaching them.
01:17:49.837 --> 01:17:52.000
And we're doing all
types of things training
01:17:52.000 --> 01:17:53.968
when we have three
trainings a week sometimes
01:17:53.968 --> 01:17:56.880
to have their capability same
on your presentation deck,
01:17:56.880 --> 01:17:58.160
et cetera, et cetera.
01:17:58.160 --> 01:18:00.740
And, but if you're not
getting to the end users,
01:18:00.740 --> 01:18:03.030
because of everybody being so spread out
01:18:03.030 --> 01:18:04.773
and not having connection there
01:18:04.773 --> 01:18:06.644
to build those relationships,
01:18:06.644 --> 01:18:10.010
then it's almost off or not that,
01:18:10.010 --> 01:18:12.250
although we'll have a
really cool presentation deck
01:18:12.250 --> 01:18:16.040
and capability statement
as a silver lining.
01:18:16.040 --> 01:18:18.670
But again, I wanna get
back to the, all the folks.
01:18:18.670 --> 01:18:21.770
If we ask a utility to help
us they've been doing it,
01:18:21.770 --> 01:18:24.580
and I want to really make sure they know
01:18:24.580 --> 01:18:26.446
that they've come to the
plate and they're doing it,
01:18:26.446 --> 01:18:28.120
and this is the best
program in the world.
01:18:28.120 --> 01:18:30.410
But as we grow, we have growing pains
01:18:30.410 --> 01:18:33.380
and a lot of it is
running around financials
01:18:33.380 --> 01:18:35.715
in our communities access to capital
01:18:35.715 --> 01:18:38.760
and access to capital be a lot easier
01:18:38.760 --> 01:18:40.920
if we got our bills paid within 30 days.
01:18:40.920 --> 01:18:42.503
So thank you for all.
01:18:44.300 --> 01:18:45.276
Hey, thank you.
01:18:45.276 --> 01:18:47.683
Thank you Tracy. Pat.
01:18:50.370 --> 01:18:53.440
Oh, well, there's
actually three areas
01:18:53.440 --> 01:18:55.990
and then I'm offering up a solution.
01:18:55.990 --> 01:18:57.760
The first one is around access.
01:18:57.760 --> 01:19:01.247
It's not easy for us to kind
of find where the procurement
01:19:01.247 --> 01:19:03.425
and supplier opportunities reside.
01:19:03.425 --> 01:19:06.750
Where's that front door
that we can walk through
01:19:06.750 --> 01:19:10.060
to easily access the
type of opportunities.
01:19:10.060 --> 01:19:12.530
The second area is
knowledge and expertise.
01:19:12.530 --> 01:19:14.120
Once they enter the front door,
01:19:14.120 --> 01:19:17.690
what type of knowledge and
expertise is readily available.
01:19:17.690 --> 01:19:22.050
For our businesses to help
them through that process
01:19:22.940 --> 01:19:25.040
and then the third one
is around qualification
01:19:25.040 --> 01:19:26.860
and eligibility.
01:19:26.860 --> 01:19:29.260
Spend change, depending
on business plans
01:19:29.260 --> 01:19:30.173
and priorities.
01:19:31.250 --> 01:19:33.010
What was the priority spend one year
01:19:33.010 --> 01:19:35.100
may not be a priority
spend the next year.
01:19:35.100 --> 01:19:38.890
How do we create a
pipeline of qualified MBEs
01:19:38.890 --> 01:19:41.863
to be ready for the next
big spend opportunity?
01:19:43.230 --> 01:19:45.020
A lot of the people on the panel today
01:19:45.020 --> 01:19:48.262
are also members of the state task force
01:19:48.262 --> 01:19:51.250
under secretary Yolanda Richardson
01:19:51.250 --> 01:19:53.380
and one of the things
that the state is doing
01:19:53.380 --> 01:19:55.140
the administration is doing,
01:19:55.140 --> 01:19:57.849
is trying to figure out better
coordination between agencies
01:19:57.849 --> 01:20:00.140
and the administration.
01:20:00.140 --> 01:20:02.620
So the, we as small businesses,
01:20:02.620 --> 01:20:05.250
we don't necessarily
understand the silos.
01:20:05.250 --> 01:20:08.840
So many of the state
departments including
01:20:08.840 --> 01:20:10.740
the public utility Commission
01:20:12.400 --> 01:20:14.660
how are you better coordinating
01:20:14.660 --> 01:20:16.510
your efforts among departments?
01:20:16.510 --> 01:20:18.031
Among agency?
01:20:18.031 --> 01:20:20.450
Because that's part of the challenge
01:20:20.450 --> 01:20:22.930
and part of the opportunity we think.
01:20:22.930 --> 01:20:25.080
To better coordinate a
lot of these opportunities,
01:20:25.080 --> 01:20:27.930
because we don't understand the silos.
01:20:27.930 --> 01:20:29.389
If we can get a contract
01:20:29.389 --> 01:20:31.440
with the public utility Commissioner,
01:20:31.440 --> 01:20:33.220
we can certainly get
a contract with DGS.
01:20:33.220 --> 01:20:35.835
We can get a contract
with department of energy
01:20:35.835 --> 01:20:38.310
a lot of different areas of opportunity,
01:20:38.310 --> 01:20:41.300
but better coordination
between agencies.
01:20:41.300 --> 01:20:43.710
And I'm not gonna tell
you about this practices
01:20:43.710 --> 01:20:45.850
may look at Commissioner Shiloma
01:20:45.850 --> 01:20:48.060
because not as best in class,
01:20:48.060 --> 01:20:51.510
when it comes to creating
a pipeline for future success,
01:20:51.510 --> 01:20:54.060
they have what you call a seed program.
01:20:54.060 --> 01:20:58.190
And that seed program
and Commissioner Shiroma
01:20:58.190 --> 01:21:00.150
is very familiar with this program.
01:21:00.150 --> 01:21:02.730
It allows the MBEs, the opportunity
01:21:02.730 --> 01:21:05.150
to contract with utility,
01:21:05.150 --> 01:21:08.360
to get their feet wet
with smaller contracts,
01:21:08.360 --> 01:21:11.950
and actually offers
incentives to prime contractors
01:21:11.950 --> 01:21:16.210
to actually utilize those MBEs
01:21:17.150 --> 01:21:18.890
in that competitive bid process.
01:21:18.890 --> 01:21:21.910
So you can look to your own Commissioner
01:21:21.910 --> 01:21:24.800
for best practice around
how to create a pipeline
01:21:24.800 --> 01:21:28.265
and a future program to
start to grow these MBEs
01:21:28.265 --> 01:21:31.213
into second tier contractors,
01:21:32.192 --> 01:21:35.140
And then the final
thing I'll say that is this,
01:21:35.140 --> 01:21:38.378
as an Asian Chamber, we
run multiple federal centers.
01:21:38.378 --> 01:21:40.910
We have an SBDC,
01:21:40.910 --> 01:21:45.210
we have a minority business
development aid agency center.
01:21:45.210 --> 01:21:46.663
We're a tape provider.
01:21:47.670 --> 01:21:48.660
What we did do,
01:21:48.660 --> 01:21:52.670
because we recognize
that it's a difficult thing
01:21:52.670 --> 01:21:54.803
as a small business to try and navigate
01:21:54.803 --> 01:21:56.910
through all of those opportunities
01:21:56.910 --> 01:21:59.667
and so we created a
matchmaking program called
01:21:59.667 --> 01:22:03.220
Diverse Procure that will
launch in November 1st
01:22:03.220 --> 01:22:05.590
this allows companies to connect
01:22:05.590 --> 01:22:07.886
and be matched currently with federal
01:22:07.886 --> 01:22:10.070
and state government contracts
01:22:10.070 --> 01:22:12.850
and that's through a
technology platform.
01:22:12.850 --> 01:22:15.750
And we were recently
awarded a major contract
01:22:15.750 --> 01:22:19.360
to actually create a small
business utilization center
01:22:19.360 --> 01:22:22.490
to utilize that platform
for local jurisdictions.
01:22:22.490 --> 01:22:25.650
So I would encourage the utilities
01:22:25.650 --> 01:22:30.393
to consider, I think the gentlemen
01:22:31.380 --> 01:22:35.220
from the Black Chamber talked
about a technology solution
01:22:35.220 --> 01:22:36.630
certification is one thing,
01:22:36.630 --> 01:22:38.750
and I know Tracy and
I've had debate about this
01:22:38.750 --> 01:22:42.190
because there are qualified MBEs,
01:22:42.190 --> 01:22:45.240
but because you're certified
doesn't mean you're qualified.
01:22:45.240 --> 01:22:48.690
And there's, when Stephanie showed
01:22:48.690 --> 01:22:52.506
that huge list of folks
that currently residing
01:22:52.506 --> 01:22:54.593
in the certification Clearinghouse,
01:22:55.840 --> 01:22:57.920
my question would be is
how many of those folks
01:22:57.920 --> 01:22:59.470
are actually getting contracts?
01:23:00.510 --> 01:23:02.980
How many of those
successfully getting contracts?
01:23:02.980 --> 01:23:04.320
So it's incumbent upon us
01:23:04.320 --> 01:23:06.800
not only to do certification piece,
01:23:06.800 --> 01:23:08.970
but it's also incumbent
upon us to actually
01:23:08.970 --> 01:23:11.100
do the qualification
and matchmaking piece.
01:23:11.100 --> 01:23:12.538
And so that's what our chamber doing
01:23:12.538 --> 01:23:14.950
to help further this process along
01:23:14.950 --> 01:23:17.773
and so I look forward to
the continued conversation.
01:23:20.960 --> 01:23:22.580
Thank you, Pat.
01:23:22.580 --> 01:23:26.160
I talked about being the program,
01:23:26.160 --> 01:23:29.220
a small business they're
subject to Prop 209,
01:23:29.220 --> 01:23:34.020
but essentially when folks
come in and bid as (indistinct)
01:23:34.020 --> 01:23:37.013
if they partner with a small business
01:23:37.013 --> 01:23:39.680
or they are a small business,
01:23:39.680 --> 01:23:43.700
they get quite great in
terms of the total cost
01:23:43.700 --> 01:23:48.700
of what they are proposing
towards being competitive
01:23:49.410 --> 01:23:52.540
with folks who are
not a small businesses
01:23:52.540 --> 01:23:54.210
or minority businesses,
01:23:54.210 --> 01:23:58.233
veteran owned and LGBTQ owned.
01:24:00.320 --> 01:24:03.183
Our let's see, we'll go to Marquita.
01:24:05.950 --> 01:24:07.600
Yes, thank you, Commissioner.
01:24:07.600 --> 01:24:10.550
I'm going to actually
echo a lot of the sentiments
01:24:10.550 --> 01:24:15.240
of my prior colleagues with
the challenges for LGBTBEs.
01:24:16.610 --> 01:24:21.610
One of the issues is lack of
transparency on forecasting,
01:24:22.750 --> 01:24:26.580
as well as a lack of
supply knowledge of,
01:24:26.580 --> 01:24:28.280
and access to smaller contracts,
01:24:28.280 --> 01:24:31.100
contracts under $100,000
01:24:31.100 --> 01:24:34.240
that could be appropriate
for many of our LGBTBEs
01:24:34.240 --> 01:24:36.190
that are smaller companies,
01:24:36.190 --> 01:24:38.180
some firms that you smell to times
01:24:38.180 --> 01:24:39.870
many utility opportunities,
01:24:39.870 --> 01:24:44.290
but they face challenges
breaking into existing teams.
01:24:44.290 --> 01:24:47.130
And the lack of
transparency on forecasting
01:24:47.130 --> 01:24:50.320
makes it difficult to
preposition with time.
01:24:50.320 --> 01:24:52.780
This is an issue for
architects and engineers,
01:24:52.780 --> 01:24:56.750
as well as many of the
firms in professional services.
01:24:56.750 --> 01:24:58.630
Insurance requirements are quite high,
01:24:58.630 --> 01:25:01.770
but many of our LGBTBEs
they are working through them.
01:25:01.770 --> 01:25:04.540
Another issue is that the
supplier Clearinghouse
01:25:04.540 --> 01:25:07.370
asked for certifications,
business licenses, insurance,
01:25:07.370 --> 01:25:08.270
and other documents,
01:25:08.270 --> 01:25:11.100
but some utilities require
these same documents
01:25:11.100 --> 01:25:14.340
uploaded onto their
own platforms as well.
01:25:14.340 --> 01:25:16.420
And we've had suppliers
reporting no issues
01:25:16.420 --> 01:25:18.000
getting the information
on the Clearinghouse,
01:25:18.000 --> 01:25:19.676
but multiple issues
getting the information
01:25:19.676 --> 01:25:22.800
on individual utility platforms
01:25:22.800 --> 01:25:24.543
with no one to contact about the issues
01:25:24.543 --> 01:25:27.740
and not having a fully populated profile
01:25:27.740 --> 01:25:30.280
could get a diverse supplier overlooked.
01:25:30.280 --> 01:25:32.930
The lack of a contract
person to ask preliminary
01:25:32.930 --> 01:25:34.460
as well as follow up questions
01:25:34.460 --> 01:25:38.180
is something, most of our
suppliers find very frustrating.
01:25:38.180 --> 01:25:40.380
I think everyone in
the dais has mentioned,
01:25:40.380 --> 01:25:44.810
a lack of communication,
also utilities continue to claim
01:25:44.810 --> 01:25:48.570
that there are not enough
contract where the LGBTBE,
01:25:48.570 --> 01:25:51.186
but I have suppliers
with almost 20 years,
01:25:51.186 --> 01:25:54.540
over 20 years of experience
who have submitted proposals
01:25:54.540 --> 01:25:57.096
for everything from wildfire mitigation
01:25:57.096 --> 01:26:00.020
in various infrastructure projects,
01:26:00.020 --> 01:26:03.387
who have gotten very far
into the process with utility
01:26:03.387 --> 01:26:05.520
and even slash their prices to levels
01:26:05.520 --> 01:26:08.580
that almost made the
project in feasible for them
01:26:08.580 --> 01:26:12.020
only for the opportunity to
go away with no explanation.
01:26:12.020 --> 01:26:15.320
And finally, despite all
of the forward movement
01:26:15.320 --> 01:26:17.380
we've made with
diversity equity inclusion,
01:26:17.380 --> 01:26:18.760
encouraging skill suppliers
01:26:18.760 --> 01:26:21.560
and infrastructure to identify as LGBTBE
01:26:21.560 --> 01:26:22.955
is an uphill battle.
01:26:22.955 --> 01:26:25.573
They still see the industry
as quite unwelcoming
01:26:25.573 --> 01:26:27.470
to LGBTBE people,
01:26:27.470 --> 01:26:29.109
and they are not
confident that the utilities
01:26:29.109 --> 01:26:31.560
will be any different.
01:26:31.560 --> 01:26:34.160
And just speaking as an organization,
01:26:34.160 --> 01:26:38.330
we are still not having
conversations with enough utilities.
01:26:38.330 --> 01:26:39.980
We have hundreds of LGBTBEs
01:26:39.980 --> 01:26:43.210
that the utilities can
contract with hundreds,
01:26:43.210 --> 01:26:45.050
but yet we only have a relationship
01:26:45.050 --> 01:26:46.620
with about nine utilities.
01:26:46.620 --> 01:26:49.930
So when utilities say they
can't find the LGBTBEs,
01:26:49.930 --> 01:26:53.050
the question becomes,
where are they looking?
01:26:53.050 --> 01:26:56.257
Also not having a goal has
a huge impact on the efforts
01:26:56.257 --> 01:26:58.430
and utilities are willing
to spend in contracting
01:26:58.430 --> 01:27:01.990
with LGBTBE in our workshops last year
01:27:01.990 --> 01:27:04.030
to discuss the LGBTBE goal
01:27:04.030 --> 01:27:06.756
there were over 20 utilities
who have not spent a dime
01:27:06.756 --> 01:27:08.545
with LGBTBEs.
01:27:08.545 --> 01:27:11.780
This lack of engagement
skews the empirical data
01:27:11.780 --> 01:27:13.690
needed to set a fair goal.
01:27:13.690 --> 01:27:17.984
So while the LAGLCC would love to see a
01:27:17.984 --> 01:27:20.670
1.5% LGBTBE spend goal,
01:27:20.670 --> 01:27:24.432
we know that the data is
not there to support 1.5%
01:27:24.432 --> 01:27:25.767
due to this lack of engagement.
01:27:25.767 --> 01:27:28.676
So we're hoping that the
Commission will consider
01:27:28.676 --> 01:27:33.160
the CPUC staff recommendation
to extend the scoping period
01:27:33.160 --> 01:27:35.440
of LGBTBE for four years,
01:27:35.440 --> 01:27:38.560
but do it in concert with
the JU recommendation
01:27:38.560 --> 01:27:41.350
of a short-term 0.5% spend goal
01:27:41.350 --> 01:27:44.640
to increase the engagement
of underperforming utilities
01:27:44.640 --> 01:27:45.920
and after those four years,
01:27:45.920 --> 01:27:47.851
I'm confident that the
Commission will feel comfortable
01:27:47.851 --> 01:27:52.851
with a equitable goal
of 1.5% for LGBTBE.
01:27:55.330 --> 01:27:59.520
We, the LAGLCC is, I know
that one of the questions
01:27:59.520 --> 01:28:01.990
is that the Commission had had was about
01:28:01.990 --> 01:28:04.358
how we're contributing
to the development
01:28:04.358 --> 01:28:08.030
and expansion of
diverse owned businesses.
01:28:08.030 --> 01:28:10.260
I mentioned earlier that the chamber
01:28:10.260 --> 01:28:12.490
is an affiliate chamber of the NGLCC,
01:28:12.490 --> 01:28:14.820
which is the national
third party certifying body.
01:28:14.820 --> 01:28:19.811
So we assist LGBTBE suppliers
01:28:19.811 --> 01:28:22.360
who are on their certification journey.
01:28:22.360 --> 01:28:24.750
We promote the
benefits of certification,
01:28:24.750 --> 01:28:26.841
provides status qualifiers
01:28:26.841 --> 01:28:28.627
for the certification applications,
01:28:28.627 --> 01:28:30.680
and we conduct heightened visits.
01:28:30.680 --> 01:28:35.670
And then once the supplier,
once the firm is certified,
01:28:35.670 --> 01:28:38.560
we help LGBTBEs become contract ready.
01:28:38.560 --> 01:28:41.430
We have a quarterly procurement series
01:28:41.430 --> 01:28:43.330
to ensure that suppliers understand
01:28:43.330 --> 01:28:45.621
the procurement
process in both the public
01:28:45.621 --> 01:28:48.489
and private sector and
we connect LGBTBEs
01:28:48.489 --> 01:28:50.449
who are members of the organization
01:28:50.449 --> 01:28:53.880
with opportunities with
our corporate partners.
01:28:53.880 --> 01:28:57.053
And we also host a number of networking
01:28:57.053 --> 01:28:59.760
and matchmaking
opportunities so our suppliers
01:28:59.760 --> 01:29:04.563
can identify both prime and
subcontracting opportunities.
01:29:07.550 --> 01:29:08.611
Thank you, Marquita.
01:29:08.611 --> 01:29:12.000
There's a whole notion of
taking the mystery of how
01:29:12.000 --> 01:29:15.323
and the transparency
that's needed to know well,
01:29:17.130 --> 01:29:20.817
why did you, or did
you not get the contract?
01:29:20.817 --> 01:29:23.350
And these speeches are very important.
01:29:23.350 --> 01:29:27.340
And I think we are
all keenly sensitive to
01:29:27.340 --> 01:29:32.113
and aware of the many,
many, many decades,
01:29:34.000 --> 01:29:39.000
centuries old fear of
identifying as LGBTQ
01:29:42.821 --> 01:29:46.983
and the fear of prejudice.
01:29:48.150 --> 01:29:53.150
And, there's been many stories,
01:29:54.110 --> 01:29:57.865
many recent stories of that prejudice,
01:29:57.865 --> 01:30:01.790
and that feeds into the fear.
01:30:01.790 --> 01:30:03.010
Thank you very much for that.
01:30:03.010 --> 01:30:06.573
All right, Cole you've got the mic.
01:30:07.780 --> 01:30:09.320
Great, thank you.
01:30:09.320 --> 01:30:10.499
I'm gonna sound like
a broken record here.
01:30:10.499 --> 01:30:12.430
So I'll just kinda reiterate what
01:30:12.430 --> 01:30:14.270
my fellow panelists have said.
01:30:14.270 --> 01:30:15.630
Prompt payment,
01:30:15.630 --> 01:30:18.400
we have to get the cash
down to the small businesses.
01:30:18.400 --> 01:30:19.770
They pay their suppliers.
01:30:19.770 --> 01:30:22.847
They pay their tier two subcontractors,
01:30:22.847 --> 01:30:25.610
all of the regulated
utilities like to think
01:30:25.610 --> 01:30:28.190
that they're the largest
company in the world.
01:30:28.190 --> 01:30:29.850
Unfortunately, none of them are larger
01:30:29.850 --> 01:30:31.190
than the federal government.
01:30:31.190 --> 01:30:32.980
My particular business,
01:30:32.980 --> 01:30:35.540
I do construction for
the federal government.
01:30:35.540 --> 01:30:38.500
They pay me progress payments in 14 days
01:30:38.500 --> 01:30:40.400
and final payments in 30.
01:30:40.400 --> 01:30:41.860
If the federal government
01:30:41.860 --> 01:30:44.821
with all of its issues can do that,
01:30:44.821 --> 01:30:48.820
I would place the challenge
to the utilities 14 and 30
01:30:48.820 --> 01:30:50.730
is now the gold standard.
01:30:50.730 --> 01:30:53.600
If you can make progress
payments in 14 days
01:30:53.600 --> 01:30:56.730
and final payments in 30,
you are hitting the mark.
01:30:56.730 --> 01:30:59.517
If you're less than that, do better.
01:30:59.517 --> 01:31:03.080
Also in terms of forecasting,
01:31:03.080 --> 01:31:05.310
that's been mentioned
by previous panelists,
01:31:05.310 --> 01:31:08.400
but I'd like to reiterate
that the strength
01:31:08.400 --> 01:31:11.770
of small business is
our ability to pivot quickly.
01:31:11.770 --> 01:31:14.900
I don't have a 20-person
board of directors.
01:31:14.900 --> 01:31:17.810
I don't have to report
to a million shareholders.
01:31:17.810 --> 01:31:21.910
If today I wake up and my
business wants to sell this widget
01:31:21.910 --> 01:31:24.970
or build this project, I can do that.
01:31:24.970 --> 01:31:28.800
The pandemic reduced
small businesses ability
01:31:28.800 --> 01:31:30.460
to pivot that quickly.
01:31:30.460 --> 01:31:33.170
Any cash we had in reserves got spent up
01:31:33.170 --> 01:31:34.710
during the shutdown.
01:31:34.710 --> 01:31:39.240
All of our employees are now
wanting to be paid a lot more.
01:31:39.240 --> 01:31:41.840
Labor is becoming
harder and harder to locate.
01:31:41.840 --> 01:31:46.080
So I cannot pivot as quickly
as I used to be able to.
01:31:46.080 --> 01:31:49.180
So it would help me if
the utilities could give us
01:31:49.180 --> 01:31:51.770
some sort of forecast on where they plan
01:31:51.770 --> 01:31:53.230
on spending their money.
01:31:53.230 --> 01:31:56.220
If I know that there's an IT contract
01:31:56.220 --> 01:32:00.820
coming up a year from now, I
can prepare my small businesses
01:32:00.820 --> 01:32:04.393
to bid absolutely
competitively on that project
01:32:04.393 --> 01:32:05.521
a year from now.
01:32:05.521 --> 01:32:09.980
If the supplier diversity person
comes to us today and says,
01:32:09.980 --> 01:32:13.810
hey, we're putting an
IT project out tomorrow.
01:32:13.810 --> 01:32:14.810
It's too late.
01:32:14.810 --> 01:32:18.160
My small businesses
cannot react to that quickly.
01:32:18.160 --> 01:32:22.390
So pay your bill, give us
some sort of forecasting.
01:32:22.390 --> 01:32:25.300
I know that the utilities have budgets,
01:32:25.300 --> 01:32:28.493
they have plans, they
have strategic development.
01:32:28.493 --> 01:32:31.200
And I know they don't
wanna share that information
01:32:31.200 --> 01:32:33.720
'cause they operate in a
competitive marketplace.
01:32:33.720 --> 01:32:36.590
We talk about the
communication companies, right?
01:32:36.590 --> 01:32:37.600
All of those companies
01:32:37.600 --> 01:32:40.520
are basically at this point
technology companies.
01:32:40.520 --> 01:32:43.610
And so they do not wanna
share those trade secrets,
01:32:43.610 --> 01:32:47.252
but in order to maximize
their supplier diversity,
01:32:47.252 --> 01:32:51.750
and to strengthen the
survivability of their supply chains,
01:32:51.750 --> 01:32:55.350
we have to find some
happy medium for forecasting,
01:32:55.350 --> 01:32:56.840
what those needs are gonna be
01:32:56.840 --> 01:32:59.430
so that we can build
up the small businesses
01:32:59.430 --> 01:33:02.410
that are gonna service
those types of contracts.
01:33:02.410 --> 01:33:06.220
So with that, thank you.
01:33:06.220 --> 01:33:07.911
Thank you, Cole (indistinct),
01:33:07.911 --> 01:33:12.911
and we now turn to Frank
to wrap up this question,
01:33:15.760 --> 01:33:18.203
and then we'll go to Commissioner Houck.
01:33:19.640 --> 01:33:22.430
Well, that's the problem
in going last that said,
01:33:22.430 --> 01:33:26.280
most of my colleagues
stole my thunder at all.
01:33:26.280 --> 01:33:28.423
I echo their concerns,
01:33:29.500 --> 01:33:34.160
but I would like to touch on
one thing, and that's our subs.
01:33:34.160 --> 01:33:37.990
It's very difficult for a
lot of us to get contracts
01:33:37.990 --> 01:33:41.050
from our tier ones or
the subsidy utilities use.
01:33:41.050 --> 01:33:45.050
I made a comment to the
Commissioners of the week,
01:33:45.050 --> 01:33:47.270
last week, where we had that dry run,
01:33:47.270 --> 01:33:49.756
that it's easier for me to
get into the white house
01:33:49.756 --> 01:33:52.070
than it is to get to the doors
01:33:52.070 --> 01:33:55.780
from some of these
sub-procurement directors.
01:33:55.780 --> 01:33:58.980
So I'd like to see the
utilities can assist us in that.
01:33:58.980 --> 01:34:02.410
I know that it's the same
thing that they've said
01:34:02.410 --> 01:34:04.810
about campaign that
they don't control their subs
01:34:04.810 --> 01:34:06.180
of the tier ones.
01:34:06.180 --> 01:34:10.280
And I would echo what
Tracy says that yes, you do.
01:34:10.280 --> 01:34:11.124
I think you do.
01:34:11.124 --> 01:34:13.323
If we hired a staff ourselves,
01:34:14.220 --> 01:34:18.480
which we do many minority
subs here in our business,
01:34:18.480 --> 01:34:21.840
we wanna make sure that
they are giving opportunities
01:34:21.840 --> 01:34:23.960
to other minorities and
other small businesses.
01:34:23.960 --> 01:34:28.860
Dobson asked that we told
them from the gate, look,
01:34:28.860 --> 01:34:32.260
if we're gonna help you,
you need to help them.
01:34:32.260 --> 01:34:33.612
Because that's the way it is.
01:34:33.612 --> 01:34:35.262
The only thing that trickles down
01:34:36.460 --> 01:34:40.903
to our small businesses
is pain, is pain.
01:34:42.192 --> 01:34:46.233
We've seen the lack of a workforce.
01:34:47.310 --> 01:34:49.140
There's a lack of workforce
01:34:49.140 --> 01:34:51.775
because a lot of our small
businesses have to shut down
01:34:51.775 --> 01:34:53.720
during COVID, but yet though,
01:34:53.720 --> 01:34:57.288
multi-billion trillion
dollar corporations
01:34:57.288 --> 01:34:59.170
were able to stay open.
01:34:59.170 --> 01:35:00.222
And what happened there,
01:35:00.222 --> 01:35:03.670
the employees that what the
restaurants are a small business
01:35:03.670 --> 01:35:08.090
is laid off or let go or hired
by these big corporations.
01:35:08.090 --> 01:35:12.860
They raised the pay, which is great.
01:35:12.860 --> 01:35:15.480
But when our small
businesses open up again,
01:35:15.480 --> 01:35:16.953
we can't compete with that.
01:35:16.953 --> 01:35:19.290
It's very difficult to compete.
01:35:19.290 --> 01:35:22.480
So these are even more
challenges that have come in play.
01:35:22.480 --> 01:35:24.082
And remember, I'm
giving you this perspective
01:35:24.082 --> 01:35:26.440
from a small business owner.
01:35:26.440 --> 01:35:29.339
And I hear this all the
time from my neighbors
01:35:29.339 --> 01:35:31.970
across the street, down the street,
01:35:31.970 --> 01:35:36.970
every business has a help
wanted sign, lack of workforce,
01:35:37.110 --> 01:35:40.783
lack of, if opportunities came
to some of these businesses,
01:35:42.010 --> 01:35:44.070
they don't have a workforce.
01:35:44.070 --> 01:35:47.830
And as my colleagues were
saying that the cost of labor
01:35:47.830 --> 01:35:50.250
has gone tremendously high,
01:35:50.250 --> 01:35:53.420
we've given three
raises to our employees
01:35:53.420 --> 01:35:54.930
within the last year,
01:35:54.930 --> 01:35:58.650
just to make sure that other
businesses don't take them
01:35:58.650 --> 01:36:00.519
'cause you have other businesses looking
01:36:00.519 --> 01:36:02.650
to take your employees to make sure
01:36:02.650 --> 01:36:06.630
that they can fulfill their obligations.
01:36:06.630 --> 01:36:08.152
So we've had to raise,
01:36:08.152 --> 01:36:10.570
which is great for employees
of small businesses.
01:36:10.570 --> 01:36:13.790
Nobody has to tell us to pay them well,
01:36:13.790 --> 01:36:15.300
we do that on our own.
01:36:15.300 --> 01:36:18.950
We don't need someone to
set a goals of minimum wage
01:36:18.950 --> 01:36:21.880
because most small businesses
are paying their employees
01:36:21.880 --> 01:36:26.270
more than a minimum wage that is set.
01:36:26.270 --> 01:36:28.410
This is who we are, folks.
01:36:28.410 --> 01:36:29.620
This is who we are.
01:36:29.620 --> 01:36:31.110
We are your neighbors.
01:36:31.110 --> 01:36:32.980
We are your family,
01:36:32.980 --> 01:36:35.610
your children go to
school with our children.
01:36:35.610 --> 01:36:37.760
We see each other on the supermarkets.
01:36:37.760 --> 01:36:42.760
We see each other outside
the hospital waiting to hear
01:36:42.880 --> 01:36:44.780
how our relatives are doing.
01:36:44.780 --> 01:36:46.210
That's who we are.
01:36:46.210 --> 01:36:47.540
We're in this together.
01:36:47.540 --> 01:36:50.470
And they say it takes
a village to raise a child.
01:36:50.470 --> 01:36:51.560
Well, guess what, folks,
01:36:51.560 --> 01:36:54.177
it takes a village to help
our small businesses.
01:36:54.177 --> 01:36:59.177
And that village consists of
the utilities, the legislature,
01:36:59.400 --> 01:37:01.890
and fellow small businesses out there.
01:37:01.890 --> 01:37:04.540
So again, I think that my main issue
01:37:04.540 --> 01:37:06.630
after hearing my colleagues
and thank you everyone
01:37:06.630 --> 01:37:09.107
for stealing my thunder, okay.
01:37:09.107 --> 01:37:12.630
But I think you've
said it very eloquently,
01:37:12.630 --> 01:37:16.500
but subcontractors,
please open up your doors.
01:37:16.500 --> 01:37:18.130
Please allow our small business,
01:37:18.130 --> 01:37:22.474
at least half an
opportunity to tell us well,
01:37:22.474 --> 01:37:24.530
tell you what we can do for you.
01:37:24.530 --> 01:37:25.820
We're amazing.
01:37:25.820 --> 01:37:28.900
Our small businesses are amazing.
01:37:28.900 --> 01:37:30.450
Just give us an opportunity
01:37:30.450 --> 01:37:34.890
to give us a level playing
field, open those doors.
01:37:34.890 --> 01:37:37.250
Myself as past chairman
01:37:37.250 --> 01:37:38.900
of the California Chamber of Commerce
01:37:38.900 --> 01:37:40.690
and passport board member
01:37:40.690 --> 01:37:43.130
of California Small
Business Association,
01:37:43.130 --> 01:37:47.410
just in the name of you has
trouble reaching someone
01:37:47.410 --> 01:37:48.243
on the line.
01:37:48.243 --> 01:37:50.280
I've reached out to my friend, Tracy
01:37:50.280 --> 01:37:52.550
and asked her to assist
us with some of the subs
01:37:52.550 --> 01:37:54.165
that I've been trying to get,
01:37:54.165 --> 01:37:57.290
and at least have a
conversation with them.
01:37:57.290 --> 01:38:01.780
So when to our utilities,
please assist us with that.
01:38:01.780 --> 01:38:03.500
All we need is an opportunity.
01:38:03.500 --> 01:38:07.190
All we need is the chance to
get there, open those doors,
01:38:07.190 --> 01:38:09.050
open those doors
because sooner or later,
01:38:09.050 --> 01:38:11.306
we're just gonna have
to kick them down, folks.
01:38:11.306 --> 01:38:16.306
How much can we knock on
those doors and patiently wait,
01:38:17.150 --> 01:38:20.620
and wait in that waiting
room, open those doors,
01:38:20.620 --> 01:38:24.927
allow us to come in, share
the wealth, share the wealth.
01:38:25.960 --> 01:38:27.520
Thank you.
01:38:27.520 --> 01:38:29.503
Thank you for that.
01:38:31.130 --> 01:38:33.580
I wanna really thank
everyone on this panel
01:38:33.580 --> 01:38:36.940
for all of the information and
insight that you've provided,
01:38:36.940 --> 01:38:39.700
and I know we as
Commissioners are listening,
01:38:39.700 --> 01:38:41.090
and I am very sure that utilities
01:38:41.090 --> 01:38:44.520
are also on here listening as well.
01:38:44.520 --> 01:38:47.934
I know that we're running
late on time a little bit.
01:38:47.934 --> 01:38:51.130
And I know that a lot
of the next question
01:38:51.130 --> 01:38:53.700
I think was addressed
by folks in their responses.
01:38:53.700 --> 01:38:55.943
And I wanted to give the
other Commissioners a chance
01:38:55.943 --> 01:38:58.600
that they had any questions or comments
01:38:58.600 --> 01:39:01.500
quickly before we wrap up the panel.
01:39:01.500 --> 01:39:04.960
Then again, just thank all of
you for the work you're doing
01:39:04.960 --> 01:39:07.460
and for this important information
01:39:07.460 --> 01:39:09.452
and participating in today's event.
01:39:09.452 --> 01:39:14.410
So are there any questions
from the other Commissioners
01:39:15.660 --> 01:39:17.543
or comments, Martha?
01:39:18.700 --> 01:39:21.855
Thank you, thank you
everyone for the great feedback.
01:39:21.855 --> 01:39:25.274
I wanted to get clarification
on a couple of points
01:39:25.274 --> 01:39:27.980
think I heard from many of you.
01:39:27.980 --> 01:39:32.980
One is that they're an
established point of contact for you
01:39:34.080 --> 01:39:36.920
at the utility since
that's still an issue.
01:39:36.920 --> 01:39:40.410
Second, I heard that
once you do have a contact
01:39:41.670 --> 01:39:46.670
that there's a limited
feeling of their jurisdiction
01:39:47.150 --> 01:39:50.680
on the subs, because
those are kind of two themes
01:39:50.680 --> 01:39:51.640
that I heard.
01:39:51.640 --> 01:39:54.203
So maybe you can just
quickly say yes or no,
01:39:54.203 --> 01:39:56.980
is that something we
need to really hone in on
01:39:56.980 --> 01:39:59.430
to establishing these
points of contacts?
01:39:59.430 --> 01:40:02.820
I thought that was very much
established by the people
01:40:02.820 --> 01:40:04.815
who have those positions.
01:40:04.815 --> 01:40:09.815
And then secondly, are there
maybe the top one or two things
01:40:10.820 --> 01:40:12.960
that you think they
should be focusing on
01:40:12.960 --> 01:40:14.323
to help you with the sub.
01:40:17.610 --> 01:40:19.950
Again, Commissioner
Ms. Tracy, real quick.
01:40:19.950 --> 01:40:24.080
We do have people in
each utility that do and I use,
01:40:24.080 --> 01:40:27.800
or that help us are
considered our liaison,
01:40:27.800 --> 01:40:29.790
with COVID has been
very difficult at times
01:40:29.790 --> 01:40:34.790
to get ahold of them, and
it's just an issue of the times.
01:40:34.797 --> 01:40:38.180
That's why I think we need
to get back to work in person
01:40:38.180 --> 01:40:39.163
and very safely.
01:40:40.010 --> 01:40:41.823
The second thing is, yes,
we've heard time and time again,
01:40:41.823 --> 01:40:44.040
that they don't control the primes.
01:40:44.040 --> 01:40:48.316
And it's unfortunate
'cause I small businesses,
01:40:48.316 --> 01:40:49.370
Frank, he keeps saying,
01:40:49.370 --> 01:40:53.280
we're financing everybody at
times and that's a challenge.
01:40:53.280 --> 01:40:57.980
So as Pat said
earlier, training is good.
01:40:57.980 --> 01:41:00.410
And I agree with Pat and on that.
01:41:00.410 --> 01:41:02.990
And each utility has a
different way of doing business
01:41:02.990 --> 01:41:05.450
and we know that we're
not uneducated to that.
01:41:05.450 --> 01:41:08.850
And the liaisons really help
us learn the corporate culture
01:41:08.850 --> 01:41:11.910
or the culture of that
organized company.
01:41:11.910 --> 01:41:13.742
So we can do better business with them.
01:41:13.742 --> 01:41:17.390
And for us, when I
always say we do business,
01:41:17.390 --> 01:41:19.410
and we're qualified and
capable to do business,
01:41:19.410 --> 01:41:22.020
we manage really try to
manage the expectations
01:41:22.020 --> 01:41:25.690
of our membership to say, if
you go get CPUC certification,
01:41:25.690 --> 01:41:27.870
make sure you can do
business in that sector.
01:41:27.870 --> 01:41:30.140
So Pat, that's fine. (indistinct)
01:41:30.140 --> 01:41:32.540
We have qualified people in that sector.
01:41:32.540 --> 01:41:35.197
And so to answer your
question shortly, yes.
01:41:35.197 --> 01:41:38.160
We're really working
hard to maintain that.
01:41:38.160 --> 01:41:39.830
And if they don't do
business in the sector,
01:41:39.830 --> 01:41:41.470
don't get CPUC certified.
01:41:41.470 --> 01:41:42.470
That's kind of where we go
01:41:42.470 --> 01:41:45.530
and go get certified somewhere else
01:41:45.530 --> 01:41:47.083
that your business will fit.
01:41:49.350 --> 01:41:50.790
And just on a time check,
01:41:50.790 --> 01:41:52.218
I know that we are almost out of time.
01:41:52.218 --> 01:41:54.899
I think we've got like
a we're a little bit over,
01:41:54.899 --> 01:41:57.780
I don't know if one more
person wants to really briefly
01:41:57.780 --> 01:42:00.610
respond to Martha to
see if they're having that.
01:42:00.610 --> 01:42:02.826
And then I'll turn it
back to President Batjer.
01:42:02.826 --> 01:42:04.104
Marquita.
01:42:04.104 --> 01:42:08.610
Yes, so I will say that
each utility is different.
01:42:08.610 --> 01:42:12.140
There are some representatives
who take great pride
01:42:12.140 --> 01:42:13.780
in the fact that they will not give you
01:42:13.780 --> 01:42:15.060
their contact information.
01:42:15.060 --> 01:42:18.140
And then there are some
utilities that want to make sure
01:42:18.140 --> 01:42:19.910
everyone has their contact information.
01:42:19.910 --> 01:42:23.250
So that, and the ones who are more open
01:42:23.250 --> 01:42:24.639
with their contact information,
01:42:24.639 --> 01:42:27.601
we're on the sides where
they have the higher spend,
01:42:27.601 --> 01:42:29.900
because people can ask questions.
01:42:29.900 --> 01:42:31.300
They can ask follow up questions.
01:42:31.300 --> 01:42:33.540
Why didn't I get this contract?
01:42:33.540 --> 01:42:35.850
And maybe that will help
them get the next contract.
01:42:35.850 --> 01:42:38.497
On the question on sub-contracting,
01:42:38.497 --> 01:42:41.370
we have hosted more
meet the prime events
01:42:41.370 --> 01:42:42.680
and we have been invited to,
01:42:42.680 --> 01:42:44.680
or that we have received
information about,
01:42:44.680 --> 01:42:47.175
we have hosted quite a few new surprise
01:42:47.175 --> 01:42:49.820
with our corporate partners.
01:42:49.820 --> 01:42:51.230
We've done them virtually.
01:42:51.230 --> 01:42:56.060
We've had over 100 firms
and attendance in real time.
01:42:56.060 --> 01:42:59.110
We do not rebroadcast
them or anything like that.
01:42:59.110 --> 01:43:03.270
And that gives our affirms
an opportunity to connect
01:43:03.270 --> 01:43:08.270
with not just the,
basically, our events were,
01:43:08.378 --> 01:43:10.720
if you're eligible to be a prime,
01:43:10.720 --> 01:43:11.810
there was that opportunity,
01:43:11.810 --> 01:43:13.941
and then there was
another element of the event
01:43:13.941 --> 01:43:15.930
that was for subcontracting,
01:43:15.930 --> 01:43:19.170
but we have hosted more
than we have been invited to.
01:43:19.170 --> 01:43:23.100
So we would love for these
(indistinct) to host more,
01:43:23.100 --> 01:43:24.407
meet the prime events.
01:43:35.080 --> 01:43:37.530
Thank you, and
then I'll turn it back over
01:43:37.530 --> 01:43:40.510
to either Commissioner
Shiroma or President Batjer,
01:43:40.510 --> 01:43:44.000
'cause I know we are
running out of time.
01:43:44.000 --> 01:43:46.946
I didn't know if Commissioner
Shiroma wanted to say anything
01:43:46.946 --> 01:43:48.593
to wrap up the panel.
01:43:50.321 --> 01:43:51.976
Simply just say,
thank you everyone.
01:43:51.976 --> 01:43:56.221
Your undergrad experience
is invaluable to us,
01:43:56.221 --> 01:43:59.537
and I thank you for
everything you're doing
01:43:59.537 --> 01:44:01.932
for the economy of California.
01:44:01.932 --> 01:44:05.513
I'll pass them back now
over to President Batjer.
01:44:06.560 --> 01:44:08.250
Thank you so
much Commissioners,
01:44:08.250 --> 01:44:10.310
and this was a rich panel.
01:44:10.310 --> 01:44:11.930
Thank you very much.
01:44:11.930 --> 01:44:16.160
As I think Cole said we could,
we're maybe it was Frank,
01:44:16.160 --> 01:44:18.112
we could spend the whole day talking
01:44:18.112 --> 01:44:20.910
about some of these
very important issues
01:44:20.910 --> 01:44:24.210
to the small business
people in our communities.
01:44:24.210 --> 01:44:26.420
So thank you again very much.
01:44:26.420 --> 01:44:28.340
I'm sorry, we are so short of time
01:44:28.340 --> 01:44:30.898
and we had to rush a little
bit there towards the end.
01:44:30.898 --> 01:44:35.530
We are scheduled to take a
break instead of 15 minutes.
01:44:35.530 --> 01:44:38.770
I'm gonna ask that we
only take a 10-minute break,
01:44:38.770 --> 01:44:40.110
so let's all be back.
01:44:40.110 --> 01:44:43.340
'Cause I do see that some
panelists are joining us already
01:44:43.340 --> 01:44:44.753
for the second panel.
01:44:45.900 --> 01:44:49.672
So just a little, take
a 10-minute break.
01:44:49.672 --> 01:44:53.633
Let's call it five minutes, Ted,
01:44:54.510 --> 01:44:56.080
about five minutes after 11.
01:44:56.080 --> 01:44:57.030
How's that?
01:44:57.030 --> 01:44:59.065
Okay, read that properly please.
01:44:59.065 --> 01:45:03.780
And the same to the
new panel to panelists.
01:45:03.780 --> 01:45:05.300
Thank you all.
01:45:05.300 --> 01:45:06.513
See you in 10 minutes.
01:45:07.380 --> 01:45:09.183
Thank
you for your patience.
01:45:19.450 --> 01:45:20.750
The feed for this streaming-
01:45:20.750 --> 01:45:24.380
Officer of Frontier,
George Richter,
01:45:24.380 --> 01:45:26.860
senior vice president supply management
01:45:26.860 --> 01:45:30.439
from Cox communications, Jalayna,
01:45:30.439 --> 01:45:33.500
Jalayna, excuse me, F. Bolden,
01:45:33.500 --> 01:45:38.500
AVP Global Supply Chain
and Strategic Initiatives, AT&T,
01:45:38.580 --> 01:45:41.930
Stephanie Owen, vice
president, Technology
01:45:41.930 --> 01:45:44.700
and Enterprise Procurement, T-Mobile,
01:45:44.700 --> 01:45:47.810
and Rudy Reyes, vice president
01:45:47.810 --> 01:45:49.610
of State Government Affairs
01:45:49.610 --> 01:45:52.750
and Regulatory Affairs from Verizon.
01:45:52.750 --> 01:45:54.260
I wanna welcome you all today.
01:45:54.260 --> 01:45:57.540
Sorry for the brief intros,
01:45:57.540 --> 01:45:59.452
just your title and your name,
01:45:59.452 --> 01:46:03.510
but we want to really
hear from you today.
01:46:03.510 --> 01:46:07.210
So thank you very much for joining us.
01:46:07.210 --> 01:46:08.734
And I'm gonna just jump in,
01:46:08.734 --> 01:46:11.780
keeping our seam of
thriving and surviving
01:46:11.780 --> 01:46:14.660
during a pandemic, moving,
01:46:14.660 --> 01:46:16.680
and jump in with the first question.
01:46:16.680 --> 01:46:19.108
It's sort of a question of some length
01:46:19.108 --> 01:46:20.890
with lots of questions.
01:46:20.890 --> 01:46:25.770
So the pandemic underscores
the necessity of tele-work,
01:46:25.770 --> 01:46:29.770
tele-learning and receiving
tele-health services.
01:46:29.770 --> 01:46:33.620
How has this crisis
impacted your organization,
01:46:33.620 --> 01:46:36.430
your ability to get
Californians connected,
01:46:36.430 --> 01:46:40.100
and your ability to
leverage diverse suppliers?
01:46:40.100 --> 01:46:42.010
Please discuss your organization's
01:46:42.010 --> 01:46:47.010
community outreach
efforts during COVID-19.
01:46:47.160 --> 01:46:50.790
I'm going to go in the order
that just introduced you all.
01:46:50.790 --> 01:46:55.790
So let's please hear from
Nick Jeffrey from Frontier, first.
01:46:56.730 --> 01:46:58.270
Well, thank you very much.
01:46:58.270 --> 01:47:01.144
And may I say what an
honor it is to be on this panel
01:47:01.144 --> 01:47:04.238
and to have the
opportunity to talk with you.
01:47:04.238 --> 01:47:06.667
It's a great question, of course.
01:47:06.667 --> 01:47:09.700
And as you can tell from my accent,
01:47:09.700 --> 01:47:11.730
and hopefully a little
01:47:11.730 --> 01:47:14.450
bit of background knowledge on Frontier,
01:47:14.450 --> 01:47:19.450
I'm relatively new to both
this country and to Frontier.
01:47:20.230 --> 01:47:23.812
They come out of Chapter
11 and now we're surgent
01:47:23.812 --> 01:47:25.020
and growing again.
01:47:25.020 --> 01:47:27.600
But to address your questions directly,
01:47:27.600 --> 01:47:29.750
at least from the limited lens
01:47:29.750 --> 01:47:30.698
through which I've been able to observe
01:47:30.698 --> 01:47:32.684
from over the last few months,
01:47:32.684 --> 01:47:36.390
I mean, the first thing to
say is that the pandemic,
01:47:36.390 --> 01:47:40.063
of course has underscored
like never before
01:47:40.063 --> 01:47:44.965
the importance of our
country digital infrastructure
01:47:44.965 --> 01:47:47.420
and how important that is
01:47:47.420 --> 01:47:51.581
for tele-working,
tele-medicine, tele-health,
01:47:51.581 --> 01:47:56.581
and indeed for the prospects
of rapid economic recovery,
01:47:56.881 --> 01:48:01.881
as things begin to return
to a more normal situation.
01:48:03.300 --> 01:48:04.133
I mean, for all that,
01:48:04.133 --> 01:48:07.360
in a way it has opened
a door on many things,
01:48:07.360 --> 01:48:10.260
not least of which as the
company has emerged
01:48:10.260 --> 01:48:15.180
out of Chapter 11 and
regained a very clear purpose
01:48:15.180 --> 01:48:19.370
around what we would
call building gigabit America,
01:48:19.370 --> 01:48:21.129
underscored by deep belief
01:48:21.129 --> 01:48:24.612
in the importance of digital society,
01:48:24.612 --> 01:48:29.612
our ability to connect otherwise
disconnected communities.
01:48:29.830 --> 01:48:31.007
So community inclusion
01:48:31.007 --> 01:48:33.278
has become particularly important to us,
01:48:33.278 --> 01:48:37.401
and then realizing the
impact that our technologies,
01:48:37.401 --> 01:48:40.210
and high-speed fiber networks have
01:48:40.210 --> 01:48:44.150
on reducing our collective
input impact on the environment.
01:48:44.150 --> 01:48:46.570
And we think about
how little we've traveled
01:48:46.570 --> 01:48:47.900
since the thought of the pandemic
01:48:47.900 --> 01:48:49.800
that's been enabled in part
01:48:49.800 --> 01:48:53.715
by having access to high-speed
fiber, both by networks.
01:48:53.715 --> 01:48:57.151
And of course, internally
underlining the fact
01:48:57.151 --> 01:49:02.150
that companies in our industry
consume a lot of electricity
01:49:02.150 --> 01:49:03.282
and other scarce resources.
01:49:03.282 --> 01:49:06.110
And we have an opportunity to improve
01:49:06.110 --> 01:49:08.770
our environmental footprint
as well as help others
01:49:08.770 --> 01:49:09.603
do the same.
01:49:10.710 --> 01:49:13.235
In terms of supply diversity.
01:49:13.235 --> 01:49:16.970
And if I can talk a little bit
through bap to two lenses,
01:49:16.970 --> 01:49:20.960
I mean the first of which is I
hope you're already aware,
01:49:20.960 --> 01:49:24.330
Frontier had a long standing commitment
01:49:24.330 --> 01:49:27.203
to building diversity
into our supply base.
01:49:27.203 --> 01:49:29.593
I think we've taken very externally,
01:49:31.385 --> 01:49:33.960
and I think we're making great progress
01:49:33.960 --> 01:49:37.180
towards our objective in
California of having 50%
01:49:37.180 --> 01:49:41.230
of all our suppliers from a
recognized diverse background.
01:49:41.230 --> 01:49:42.800
And that's something that I show you
01:49:42.800 --> 01:49:46.963
remain extremely important
externally for the company.
01:49:48.229 --> 01:49:53.190
Internally, I think diversity
was not taken as seriously
01:49:53.190 --> 01:49:54.573
as it should have been in Frontier.
01:49:54.573 --> 01:49:55.790
And that's something
01:49:55.790 --> 01:49:58.151
I'm very personally
committed to changing.
01:49:58.151 --> 01:50:01.444
If you look at the
makeup of our new board,
01:50:01.444 --> 01:50:05.370
which we put in place
since March this year,
01:50:05.370 --> 01:50:08.860
that is now 50% female and diverse
01:50:08.860 --> 01:50:12.700
in pretty much every access
you would hope it to be.
01:50:12.700 --> 01:50:15.570
We also incidentally have
what I think is the industry only
01:50:15.570 --> 01:50:17.260
all female audit committee.
01:50:17.260 --> 01:50:18.470
And we're very proud of that.
01:50:18.470 --> 01:50:21.567
And then as I've rebuilt
the executive committee
01:50:21.567 --> 01:50:24.753
of Frontier communications
over the last few months,
01:50:24.753 --> 01:50:29.753
again, we've gone from
having a practically no diversity
01:50:30.527 --> 01:50:35.280
to a team that is now
50% of female minorities
01:50:35.280 --> 01:50:37.710
represented in appropriate proportion.
01:50:37.710 --> 01:50:41.230
And that's something
we're taking very seriously
01:50:41.230 --> 01:50:42.100
inside the company,
01:50:42.100 --> 01:50:44.750
as well as thinking about
it from our supplier base.
01:50:44.750 --> 01:50:46.990
And the question I sometimes get asked
01:50:46.990 --> 01:50:48.649
is why does it matter?
01:50:48.649 --> 01:50:52.440
And I think it matters
for two or three reasons.
01:50:52.440 --> 01:50:55.760
The first of which is that
it is just very obviously
01:50:55.760 --> 01:50:57.479
the right thing to do,
01:50:57.479 --> 01:50:59.790
and there's nothing
wrong with just pursuing it
01:50:59.790 --> 01:51:01.770
for that goal alone.
01:51:01.770 --> 01:51:05.590
The second thing is
that for us to represent
01:51:05.590 --> 01:51:08.030
and be successful in the market,
01:51:08.030 --> 01:51:11.018
we have to represent that
market accurately ourselves.
01:51:11.018 --> 01:51:14.460
And therefore we should
appropriately represent the markets
01:51:14.460 --> 01:51:17.440
in which we operate in
both as an employee base,
01:51:17.440 --> 01:51:19.610
but also across our supplier base.
01:51:19.610 --> 01:51:24.305
And lastly, the loss
of economic evidence
01:51:24.305 --> 01:51:27.940
that diverse supply
bases and diverse teams
01:51:27.940 --> 01:51:30.540
perform better in the
market than non-diverse one.
01:51:30.540 --> 01:51:33.030
So even at a purely economic level,
01:51:33.030 --> 01:51:37.230
it's an extremely sensible
goal for us to pursue,
01:51:37.230 --> 01:51:40.830
I think in terms of a community outreach
01:51:40.830 --> 01:51:43.290
to address the third
part of your question,
01:51:43.290 --> 01:51:46.280
this scenario where Frontier
has not been as aggressive
01:51:46.280 --> 01:51:48.030
as it should have been in the past,
01:51:48.030 --> 01:51:50.560
but I'm very pleased
that we have just started
01:51:50.560 --> 01:51:54.330
a new outreach program
led by our new director
01:51:54.330 --> 01:51:57.400
of external affairs, Erin Kurtz,
01:51:57.400 --> 01:52:00.763
who's just joined the
company covering of course,
01:52:02.206 --> 01:52:07.206
LBGTQ networks, Hispanic
networks, Black networks,
01:52:08.310 --> 01:52:11.870
Asian networks, female
networks, and so on.
01:52:11.870 --> 01:52:14.470
I'm not the program that
we're just spinning off this week.
01:52:14.470 --> 01:52:15.473
And I'm very proud to
say that I'm personally
01:52:15.473 --> 01:52:18.100
sponsoring the outreach to veteran.
01:52:18.100 --> 01:52:20.200
and that we have a big celebration
01:52:20.200 --> 01:52:23.187
across the company this
week of Hispanic pride as well,
01:52:23.187 --> 01:52:26.330
but really gaining traction
inside the company.
01:52:26.330 --> 01:52:27.620
And I'm very confident.
01:52:27.620 --> 01:52:31.510
We'll see that continue to
grow as we build those programs
01:52:31.510 --> 01:52:33.415
out across the markets in which we work.
01:52:33.415 --> 01:52:34.902
And most importantly,
of course in California,
01:52:34.902 --> 01:52:38.817
which remains one of our
most important markets.
01:52:40.685 --> 01:52:44.630
I am very glad to hear that
and welcome as a new CEO,
01:52:44.630 --> 01:52:49.100
and welcome to our
wonderful country as well.
01:52:49.100 --> 01:52:52.933
Turning now to George Richter from Cox.
01:52:53.950 --> 01:52:58.950
George, George, we can't hear you.
01:52:58.990 --> 01:53:00.003
You're on mute.
01:53:02.590 --> 01:53:05.313
You're still on mute. (laughs)
01:53:08.322 --> 01:53:10.840
You're still on mute, George.
01:53:10.840 --> 01:53:12.233
Maybe you're double muted.
01:53:14.100 --> 01:53:15.410
You might be double muted.
01:53:15.410 --> 01:53:17.053
I did hear you earlier.
01:53:20.050 --> 01:53:23.690
If Robert is on, can you help George?
01:53:23.690 --> 01:53:25.210
George, I'm gonna come back to you
01:53:25.210 --> 01:53:28.120
when we get your audio fixed, okay.
01:53:28.120 --> 01:53:30.177
So next we'll turn to Jalayna,
01:53:30.177 --> 01:53:33.474
and please, I think I'm
mispronouncing your first name
01:53:33.474 --> 01:53:35.610
from AT&T.
01:53:35.610 --> 01:53:37.625
Yes, it's Jalayna,
Jalayna Bolden.
01:53:37.625 --> 01:53:39.370
Jalayna, okay,
thank you, Jalayna,
01:53:39.370 --> 01:53:40.891
and nice to meet you.
01:53:40.891 --> 01:53:42.620
Nice to meet you.
01:53:42.620 --> 01:53:46.020
So I believe the question is
you were looking to determine
01:53:46.020 --> 01:53:49.180
what COVID crisis had on our effects
01:53:49.180 --> 01:53:51.668
it had on our organization
and the diverse suppliers,
01:53:51.668 --> 01:53:54.610
and our outreach efforts during COVID.
01:53:54.610 --> 01:53:55.458
I wanna make sure.
01:53:55.458 --> 01:53:58.688
[President Batjer] Yeah,
that's essentially the question.
01:53:58.688 --> 01:54:00.365
It was a little bit long-winded, sorry.
01:54:00.365 --> 01:54:01.790
Okay, okay.
01:54:01.790 --> 01:54:03.440
So thank you for asking.
01:54:03.440 --> 01:54:07.840
So I'm pleased to say
that our employees,
01:54:07.840 --> 01:54:11.360
the health and safety
was a top priority for AT&T.
01:54:11.360 --> 01:54:13.110
We began working virtually,
01:54:13.110 --> 01:54:15.350
and some of our other frontline workers
01:54:15.350 --> 01:54:18.060
provided critical
customer service support.
01:54:18.060 --> 01:54:19.700
So they were customer facing.
01:54:19.700 --> 01:54:22.210
Our supply team, we worked,
01:54:22.210 --> 01:54:24.825
we were determined to get the medical,
01:54:24.825 --> 01:54:28.412
well non-medical grade
pandemics related supplies
01:54:28.412 --> 01:54:32.390
for our frontline employees
and for our employees overseas.
01:54:32.390 --> 01:54:35.480
And so on diverse
suppliers really stepped up.
01:54:35.480 --> 01:54:38.227
They were able to pivot
business operations,
01:54:38.227 --> 01:54:41.010
to manufacture and
deliver those supplies
01:54:41.010 --> 01:54:43.366
to our work across the globe.
01:54:43.366 --> 01:54:46.090
They had to quickly mid pivot
01:54:46.090 --> 01:54:48.184
to help us mitigate this impact.
01:54:48.184 --> 01:54:52.980
There was a California based
MBE that stepped up and pivoted
01:54:52.980 --> 01:54:55.870
to deliver PPE critical supplies
01:54:55.870 --> 01:54:57.950
to our international employees.
01:54:57.950 --> 01:55:00.826
And this was not that
supplier's core capability,
01:55:00.826 --> 01:55:04.810
but the supplier was able
to pivot due to their agility,
01:55:04.810 --> 01:55:07.802
which is one of the
benefits of being an MBE.
01:55:07.802 --> 01:55:10.436
In terms of our supplier
diversity program,
01:55:10.436 --> 01:55:13.120
we were able to successfully transition
01:55:13.120 --> 01:55:16.323
to a full virtual environment
with our supplier engagement.
01:55:16.323 --> 01:55:18.000
We didn't miss a beat.
01:55:18.000 --> 01:55:20.930
We participated in
actually more industry
01:55:20.930 --> 01:55:22.854
and organizational activities.
01:55:22.854 --> 01:55:26.120
We conducted virtual
supplier interviews.
01:55:26.120 --> 01:55:29.169
We had supplier presentations
with our sourcing teams.
01:55:29.169 --> 01:55:32.788
We held virtual matchmaking
events in round tables
01:55:32.788 --> 01:55:35.540
just to maintain our outreach efforts.
01:55:35.540 --> 01:55:37.547
I think we touched more people
01:55:37.547 --> 01:55:39.990
because we weren't
on the road traveling,
01:55:39.990 --> 01:55:42.333
and you know how
you have the travel days.
01:55:43.724 --> 01:55:47.050
And I know that
dependence began to place
01:55:47.050 --> 01:55:50.580
a tremendous strain on a
minority and women on businesses,
01:55:50.580 --> 01:55:53.555
but we knew it was
important to provide support.
01:55:53.555 --> 01:55:57.160
So we thought about
it and we realized that
01:55:57.160 --> 01:56:01.270
during the pandemic, many
of the events were canceled.
01:56:01.270 --> 01:56:04.660
So we ended up with more
money in our sponsorship budget.
01:56:04.660 --> 01:56:07.193
And so what we did is we decided
01:56:07.193 --> 01:56:10.470
that we knew these businesses
will critical building blocks
01:56:10.470 --> 01:56:11.540
of their communities,
01:56:11.540 --> 01:56:13.910
and many were a part
of our supply chains.
01:56:13.910 --> 01:56:18.347
So what we did is we
made 2,500 to $5,000 grants,
01:56:18.347 --> 01:56:22.240
totaling $100,000 to the
regional minority supplier
01:56:22.240 --> 01:56:23.450
development councils
01:56:23.450 --> 01:56:26.240
and various women
business enterprise councils,
01:56:26.240 --> 01:56:29.320
and the regional partners
around the country.
01:56:29.320 --> 01:56:31.750
There were four California
based organizations
01:56:31.750 --> 01:56:33.410
that received assistance.
01:56:33.410 --> 01:56:36.553
And that money was for
is the brands were targeted
01:56:36.553 --> 01:56:40.210
to help businesses with
less than a million dollars,
01:56:40.210 --> 01:56:43.290
which is not typically
less than a million dollars
01:56:43.290 --> 01:56:47.530
annual revenue, which is not
typically AT&T's target market
01:56:47.530 --> 01:56:48.964
for the opportunities.
01:56:48.964 --> 01:56:53.820
But we were able to defray
the cost of certification
01:56:53.820 --> 01:56:55.646
and recertification costs.
01:56:55.646 --> 01:56:59.960
We had each local Chapter
administered the distribution
01:56:59.960 --> 01:57:03.580
of the funds to optimize
the benefit to their members,
01:57:03.580 --> 01:57:07.430
but that was our way
of wanting to give back,
01:57:07.430 --> 01:57:11.180
wanting to help and
acknowledging that it was hard
01:57:11.180 --> 01:57:12.097
for some of our suppliers
01:57:12.097 --> 01:57:15.314
and even some of the
small certification fees
01:57:15.314 --> 01:57:16.950
that went along way.
01:57:16.950 --> 01:57:19.262
And so in total, as I stated,
01:57:19.262 --> 01:57:24.262
we donated over $100,000
to communities in agencies
01:57:25.230 --> 01:57:26.803
around the United States.
01:57:32.040 --> 01:57:32.873
Thank you.
01:57:32.873 --> 01:57:35.100
It might be interesting later
to get the exact breakdown
01:57:35.100 --> 01:57:38.700
of the $100,000 in what was
actually spent in California,
01:57:38.700 --> 01:57:42.880
but I'll move on right
now to, welcome back to,
01:57:42.880 --> 01:57:44.677
George you back on with us.
01:57:44.677 --> 01:57:46.287
I am, and I do apologize.
01:57:46.287 --> 01:57:50.925
I dialed into the muted
version of the line.
01:57:50.925 --> 01:57:53.630
The one where I guess
all the guests can dial in.
01:57:53.630 --> 01:57:54.689
So I do apologize.
01:57:54.689 --> 01:57:58.130
This would be my opening
start to what the impact
01:57:58.130 --> 01:57:59.513
of the pandemic has been.
01:58:00.700 --> 01:58:05.090
Half of us spend half of
our lives incorrectly muted
01:58:05.090 --> 01:58:06.790
or not able to communicate.
01:58:06.790 --> 01:58:08.687
So I demonstrated.
01:58:08.687 --> 01:58:09.520
[President Batjer]
I know that'd be,
01:58:09.520 --> 01:58:11.720
we've had some technical
issues this morning, too,
01:58:11.720 --> 01:58:14.250
so we all hear so right.
01:58:14.250 --> 01:58:15.350
How ironic, huh?
01:58:15.350 --> 01:58:16.707
We're all very much.
01:58:16.707 --> 01:58:18.747
And I said earlier in
my opening remarks,
01:58:18.747 --> 01:58:22.388
this is one of my very
favorite things that we do,
01:58:22.388 --> 01:58:25.739
and very important things
that we do at the Commission.
01:58:25.739 --> 01:58:30.220
And so I got to just
say it's one of the days
01:58:30.220 --> 01:58:32.193
that I miss that we're not together.
01:58:33.243 --> 01:58:37.283
It's very hard to do the
kind of contact and outreach
01:58:37.283 --> 01:58:38.993
I think we need to do
01:58:38.993 --> 01:58:43.060
when it comes to
supplier diversity, virtually.
01:58:43.060 --> 01:58:46.330
But having said that,
George, please go ahead.
01:58:46.330 --> 01:58:48.340
Okay, I'll try to
make this quick
01:58:48.340 --> 01:58:51.550
and in the interest of giving
everybody a time to chime in,
01:58:51.550 --> 01:58:53.107
but I couldn't agree with you more.
01:58:53.107 --> 01:58:55.637
This is one of the meetings
that I do look forward to
01:58:55.637 --> 01:58:57.179
and enjoy going to.
01:58:57.179 --> 01:59:00.070
Just as a reference, Cox Communications,
01:59:00.070 --> 01:59:02.580
our head office is actually
based out of Atlanta, Georgia.
01:59:02.580 --> 01:59:06.510
So I'm in Atlanta and your CPUC event
01:59:06.510 --> 01:59:08.970
gives me a very good
opportunity and reason
01:59:08.970 --> 01:59:11.573
to go and visit our kids in California.
01:59:11.573 --> 01:59:14.430
I have a couple of
warehouses in San Diego.
01:59:14.430 --> 01:59:15.710
I get to visit my folks.
01:59:15.710 --> 01:59:19.108
So I do miss the fact that
we are virtual this year.
01:59:19.108 --> 01:59:21.910
I'll try to see if I can't remember
01:59:21.910 --> 01:59:23.080
your multi-part question.
01:59:23.080 --> 01:59:25.282
It was quite a few elements, but first,
01:59:25.282 --> 01:59:27.600
how did it affect our people?
01:59:27.600 --> 01:59:30.260
So I'll see to it from a
supply chain perspective.
01:59:30.260 --> 01:59:33.450
First, we had massive
supply chain disruptions.
01:59:33.450 --> 01:59:35.979
As you read about in the newspaper,
01:59:35.979 --> 01:59:38.560
it was a very strange dynamic
01:59:38.560 --> 01:59:43.450
because as COVID first hit,
there were so many industries,
01:59:43.450 --> 01:59:46.550
including the semiconductor
industry that were anticipating
01:59:46.550 --> 01:59:49.775
a decline in demand as
a result of the pandemic.
01:59:49.775 --> 01:59:54.708
And so there were immediate
reductions in capital spending,
01:59:54.708 --> 01:59:57.597
for all kinds of elements
of the supply chain.
01:59:57.597 --> 01:59:59.444
And at the very same time,
01:59:59.444 --> 02:00:02.848
the exact offices activity
was starting to happen.
02:00:02.848 --> 02:00:04.990
Everybody pivoted to work from home,
02:00:04.990 --> 02:00:07.860
all of a sudden broadband
networks became important.
02:00:07.860 --> 02:00:09.317
People needed new equipment at home.
02:00:09.317 --> 02:00:11.390
People needed to entertain themselves.
02:00:11.390 --> 02:00:13.310
So they started buying
anything and everything
02:00:13.310 --> 02:00:14.710
that had electronics in it,
02:00:14.710 --> 02:00:16.760
it's well-documented
that the auto industry
02:00:16.760 --> 02:00:19.890
cut back on their forecast dramatically
02:00:19.890 --> 02:00:23.270
and they did have a short decline,
02:00:23.270 --> 02:00:26.225
but then it's a dramatic
pickup in demand.
02:00:26.225 --> 02:00:29.080
So there've been huge
supply chain disruptions.
02:00:29.080 --> 02:00:32.069
And that was one of the first
things that affected my team.
02:00:32.069 --> 02:00:34.070
Just to give you an example.
02:00:34.070 --> 02:00:39.070
In 2020, we connected
02:00:39.710 --> 02:00:44.020
an incremental 300,000
residential customers
02:00:44.020 --> 02:00:45.050
during that year.
02:00:45.050 --> 02:00:48.170
And many of those
connections were not forecasted,
02:00:48.170 --> 02:00:50.958
which means we didn't necessarily
already have the equipment
02:00:50.958 --> 02:00:53.460
in-house to be able to
do those connections
02:00:53.460 --> 02:00:56.450
or had the pipelines in
place with our suppliers.
02:00:56.450 --> 02:00:58.120
So we had to work very aggressively
02:00:58.120 --> 02:01:01.191
to make sure that we were
forecasting and placing orders
02:01:01.191 --> 02:01:04.020
and making sure that the
demand wasn't gonna be,
02:01:04.020 --> 02:01:05.860
or the availability of equipment
02:01:05.860 --> 02:01:07.212
wasn't going to be a problem.
02:01:07.212 --> 02:01:09.030
We obviously had to all pivot
02:01:09.030 --> 02:01:11.860
to a work from home
environment, but at the same time,
02:01:11.860 --> 02:01:14.263
I have employees who have to go to work.
02:01:14.263 --> 02:01:16.080
Our folks that are in the warehouses
02:01:16.080 --> 02:01:18.793
are folks that service the
stakeholders that we support,
02:01:18.793 --> 02:01:22.171
which is field services
technicians, residential locations,
02:01:22.171 --> 02:01:23.606
and that sort of thing.
02:01:23.606 --> 02:01:26.730
So I had part of my population
that had to work all the way
02:01:26.730 --> 02:01:28.000
through the pandemic.
02:01:28.000 --> 02:01:30.080
And then finally, probably
one of the biggest changes
02:01:30.080 --> 02:01:33.200
was we pivoted from less than about 50%
02:01:33.200 --> 02:01:35.045
of our customer
connections were happening
02:01:35.045 --> 02:01:37.195
in a self-install fashion
02:01:37.195 --> 02:01:40.040
where we could shift the
equipment directly to the customer
02:01:40.040 --> 02:01:41.769
and they would connect to themselves.
02:01:41.769 --> 02:01:44.210
We used to have it pre-pandemic,
02:01:44.210 --> 02:01:46.602
and a little bit less than
50% of our total connects.
02:01:46.602 --> 02:01:50.252
We moved to almost 100% self-install.
02:01:50.252 --> 02:01:51.920
And what that meant for supply chain
02:01:51.920 --> 02:01:54.390
was we had to have the
capacity to do all of the kits
02:01:54.390 --> 02:01:57.097
and the shipping and be
able to deliver all of that.
02:01:57.097 --> 02:02:01.750
And I'm proud to say
that we were not seamless,
02:02:01.750 --> 02:02:04.567
but we rose to the
challenge, if you will.
02:02:04.567 --> 02:02:07.163
Now, in terms of the network itself,
02:02:07.163 --> 02:02:09.960
it turns out that the
investments that Cox
02:02:09.960 --> 02:02:12.667
has been making in its
network of high-speed broadband
02:02:12.667 --> 02:02:14.760
over the last several years,
02:02:14.760 --> 02:02:16.639
and we've been
investing literally billions
02:02:16.639 --> 02:02:18.942
and billions of dollars
and upgrading our network,
02:02:18.942 --> 02:02:23.694
the network performed
incredibly well, as you can imagine,
02:02:23.694 --> 02:02:25.729
we pivoted during COVID.
02:02:25.729 --> 02:02:29.480
We suddenly had demand
on our network growth
02:02:29.480 --> 02:02:32.159
in terms of capacity
going across that network.
02:02:32.159 --> 02:02:34.050
We experienced growth
02:02:34.050 --> 02:02:36.910
that typically would
be over a year or two.
02:02:36.910 --> 02:02:38.853
And it grew that much
from a capacity perspective
02:02:38.853 --> 02:02:41.140
in a couple of months.
02:02:41.140 --> 02:02:43.793
But luckily we have
invested enough over time
02:02:43.793 --> 02:02:45.940
that the network was really resilient,
02:02:45.940 --> 02:02:48.971
and was up to the task of
having all of this increased,
02:02:48.971 --> 02:02:53.416
broadband demand and video
conferencing is a great example
02:02:53.416 --> 02:02:55.914
that consumes a tremendous
amount of broadband.
02:02:55.914 --> 02:02:58.049
From a supplier diversity perspective,
02:02:58.049 --> 02:03:00.000
there's sort of two elements to it.
02:03:00.000 --> 02:03:03.565
The first is we have a
number of diverse suppliers,
02:03:03.565 --> 02:03:05.239
two very large ones, in fact,
02:03:05.239 --> 02:03:08.920
that are involved in
the support of ordering
02:03:08.920 --> 02:03:10.893
and helping us manage
all of the equipment
02:03:10.893 --> 02:03:12.750
that will bring the into our network,
02:03:12.750 --> 02:03:13.990
whether it's network equipment,
02:03:13.990 --> 02:03:15.540
or whether it's what we call CPE,
02:03:15.540 --> 02:03:17.290
consumer premise equipment.
02:03:17.290 --> 02:03:20.150
So as the supply chain
disruptions took place,
02:03:20.150 --> 02:03:21.930
some of the equipment that we ordered
02:03:21.930 --> 02:03:23.814
through these diverse suppliers
02:03:23.814 --> 02:03:25.861
was being delayed and
wasn't getting shipped.
02:03:25.861 --> 02:03:28.690
So, unfortunately in some cases,
02:03:28.690 --> 02:03:30.780
that was a somewhat
of a decline in revenue
02:03:30.780 --> 02:03:31.780
for those suppliers.
02:03:31.780 --> 02:03:33.354
And that was a challenge.
02:03:33.354 --> 02:03:34.880
But on the other hand,
02:03:34.880 --> 02:03:37.686
we were able to find a
number of diverse suppliers
02:03:37.686 --> 02:03:41.483
that were able to step up
and help us with requirements
02:03:41.483 --> 02:03:44.017
that we didn't even know
we were going to need.
02:03:44.017 --> 02:03:46.377
And probably the best
example that I can use.
02:03:46.377 --> 02:03:47.757
And I know there's a number
of companies out there
02:03:47.757 --> 02:03:49.990
that have had the same experience,
02:03:49.990 --> 02:03:53.100
but we suddenly needed
to buy all of this PPE,
02:03:53.100 --> 02:03:54.350
personal protective equipment.
02:03:54.350 --> 02:03:57.210
We had to be able to equip the employees
02:03:57.210 --> 02:03:59.937
that we had across our nation,
02:03:59.937 --> 02:04:02.710
but still had to go in and work,
02:04:02.710 --> 02:04:04.687
and have contact with
customers and whatnot.
02:04:04.687 --> 02:04:07.053
And we'd suddenly
needed all of this fear
02:04:07.053 --> 02:04:09.090
that we had never bought before.
02:04:09.090 --> 02:04:10.810
And we were very successful
02:04:10.810 --> 02:04:12.487
and found a couple of diverse suppliers
02:04:12.487 --> 02:04:17.487
that were able to fill our
requirements, manage,
02:04:17.500 --> 02:04:20.155
tracking down those materials for us.
02:04:20.155 --> 02:04:24.421
We were very pleased that
we didn't suffer a single loss
02:04:24.421 --> 02:04:26.259
in the sense that there
were a lot of companies
02:04:26.259 --> 02:04:28.990
that had to prepay for this material,
02:04:28.990 --> 02:04:32.540
because it was in such high
demand things like K95 masks.
02:04:32.540 --> 02:04:35.360
And there were a number of
situations where companies
02:04:35.360 --> 02:04:37.364
prepaid for the material
and never got the shipments,
02:04:37.364 --> 02:04:39.730
and we didn't suffer a single loss.
02:04:39.730 --> 02:04:42.640
And we really attribute that
to a couple of very effective,
02:04:42.640 --> 02:04:45.910
diverse suppliers that we
were able to find in this space.
02:04:45.910 --> 02:04:47.250
And then finally,
02:04:47.250 --> 02:04:51.070
a comment similar to AT&T,
we also found that one thing
02:04:51.070 --> 02:04:53.880
we were able to do was
pivot to a virtual environment
02:04:53.880 --> 02:04:55.050
with our suppliers,
02:04:55.050 --> 02:04:59.950
and that did actually expand
the ability to sort of access
02:04:59.950 --> 02:05:01.420
and contact suppliers.
02:05:01.420 --> 02:05:04.848
So for example, we make
sure that we host a number
02:05:04.848 --> 02:05:09.020
of the supplier diversity
events every year.
02:05:09.020 --> 02:05:11.120
And of course, when
those events were live,
02:05:11.120 --> 02:05:13.660
they were always limited
to location and Geography.
02:05:13.660 --> 02:05:15.870
But as we pivoted to virtual events,
02:05:15.870 --> 02:05:17.670
we could open up to the entire country.
02:05:17.670 --> 02:05:20.750
So we are actually able to
open up some of these events
02:05:20.750 --> 02:05:22.111
to a lot more suppliers.
02:05:22.111 --> 02:05:25.573
The last example I'll give
you is we host something
02:05:25.573 --> 02:05:27.911
that we call the small
business leadership academy.
02:05:27.911 --> 02:05:30.455
So we award scholarships
02:05:30.455 --> 02:05:34.116
to select diverse suppliers every year.
02:05:34.116 --> 02:05:35.690
And they participate
02:05:35.690 --> 02:05:38.270
in these small business
leadership academies.
02:05:38.270 --> 02:05:41.660
And the idea is that we wanna
help them grow their capacity
02:05:41.660 --> 02:05:43.356
to grow their business.
02:05:43.356 --> 02:05:47.460
And in the past, those have
been physical programs.
02:05:47.460 --> 02:05:49.300
So they were in very specific markets.
02:05:49.300 --> 02:05:51.380
And we actually have
a program in California
02:05:51.380 --> 02:05:53.656
that we do with a
university in San Diego,
02:05:53.656 --> 02:05:55.490
but because of the pandemic,
02:05:55.490 --> 02:05:57.220
we suddenly, they had to go virtual,
02:05:57.220 --> 02:06:00.475
and suddenly we were able
to actually award scholarships.
02:06:00.475 --> 02:06:03.420
And it really didn't matter
where you sat as a supplier.
02:06:03.420 --> 02:06:05.383
We could award them because
all of the classes were virtual.
02:06:05.383 --> 02:06:07.453
So there were some benefits
02:06:07.453 --> 02:06:10.300
to moving into this virtual world.
02:06:10.300 --> 02:06:12.430
And I will stop there.
02:06:12.430 --> 02:06:15.630
Okay, and I'll come
back in my next question
02:06:15.630 --> 02:06:18.710
to some of the points that
you just made, George.
02:06:18.710 --> 02:06:23.163
Now, I'll turn to Stephanie
Owen from T-Mobile, Stephanie.
02:06:27.520 --> 02:06:31.277
Stephanie, unfortunately,
you're muted. (laughs)
02:06:31.277 --> 02:06:32.110
Well, there we go.
02:06:32.110 --> 02:06:34.050
I started just like the
other gentlemen, right?
02:06:34.050 --> 02:06:36.960
With a classic era mistakes,
02:06:36.960 --> 02:06:38.820
staying on mute when
you actually need to speak.
02:06:38.820 --> 02:06:40.830
So thanks for having us here today.
02:06:40.830 --> 02:06:43.177
I think we're very excited to be here
02:06:43.177 --> 02:06:46.930
and share some of our
accomplishments this year
02:06:46.930 --> 02:06:48.080
during this challenging time.
02:06:48.080 --> 02:06:51.700
And also to learn
from the other panelists
02:06:51.700 --> 02:06:52.533
who are sharing the same.
02:06:52.533 --> 02:06:56.640
I think the power of learning
is certainly one of the tools
02:06:56.640 --> 02:06:58.560
that we feel is most important
02:06:58.560 --> 02:07:01.250
to driving influence and
change on these issues
02:07:01.250 --> 02:07:02.860
that we're talking about today.
02:07:02.860 --> 02:07:04.940
So I'll try to distill
down a few things,
02:07:04.940 --> 02:07:08.265
and give you some facts
around how COVID impacted us
02:07:08.265 --> 02:07:09.732
inside of T-Mobile,
02:07:09.732 --> 02:07:13.550
how it impacted our
abilities or lack thereof
02:07:13.550 --> 02:07:18.210
to drive positive change
with our pirate diversity team
02:07:18.210 --> 02:07:19.463
and also the ENI.
02:07:20.530 --> 02:07:23.410
So COVID right with very short notice,
02:07:23.410 --> 02:07:25.987
all of us had to change our
ways of working overnight.
02:07:25.987 --> 02:07:29.260
And in T-Mobile is
certainly no different.
02:07:29.260 --> 02:07:31.060
Maybe what was different for us.
02:07:31.060 --> 02:07:34.610
So was that it was about
that same time, just in fact,
02:07:34.610 --> 02:07:37.927
two weeks later that me
we're given the positive news
02:07:37.927 --> 02:07:39.370
that we were able to move forward
02:07:39.370 --> 02:07:41.360
with our sprint integration.
02:07:41.360 --> 02:07:44.600
So not only were we sort of
reeling from COVID impacts,
02:07:44.600 --> 02:07:48.892
but we were working fast
and furious to embrace
02:07:48.892 --> 02:07:53.230
a new company that was
nearly the size of our own.
02:07:53.230 --> 02:07:54.580
They certainly brought
a lot of strengths
02:07:54.580 --> 02:07:56.420
and I'll share some examples of that,
02:07:56.420 --> 02:07:59.280
but that was a very
challenging time for us.
02:07:59.280 --> 02:08:01.987
So I want to give me
some examples of COVID
02:08:01.987 --> 02:08:05.247
and specifically what
we did immediately.
02:08:05.247 --> 02:08:07.280
We have a care organization
02:08:07.280 --> 02:08:09.332
that has more than 15,000 employees.
02:08:09.332 --> 02:08:12.971
In that organization, we had
to immediately pivot them,
02:08:12.971 --> 02:08:14.870
send them all home,
02:08:14.870 --> 02:08:16.951
give them appropriate gear to do that,
02:08:16.951 --> 02:08:20.293
and provide no disruption to service.
02:08:20.293 --> 02:08:23.687
In fact, we even had
to expand our services
02:08:23.687 --> 02:08:27.270
because of the increase
in customer requests.
02:08:27.270 --> 02:08:31.540
We use largely diverse
suppliers to purchase that gear
02:08:31.540 --> 02:08:33.567
and provide that gear to those employees
02:08:33.567 --> 02:08:35.255
who we're super proud of that.
02:08:35.255 --> 02:08:37.301
Additionally, we had the same,
02:08:37.301 --> 02:08:42.301
for all of our employees there.
02:08:43.664 --> 02:08:45.300
One of the thing I do wanna call out,
02:08:45.300 --> 02:08:48.517
I think similar to one of the
other panelists mentioned
02:08:48.517 --> 02:08:50.751
the purchase of PPE gear.
02:08:50.751 --> 02:08:55.410
We spent more than a million
dollars with a diverse supplier
02:08:55.410 --> 02:08:59.111
to provide gear immediately
at the onset of the pandemic,
02:08:59.111 --> 02:09:03.870
to our employees, and
also to our customers.
02:09:03.870 --> 02:09:06.149
Anyone who went into
one of our retail stores
02:09:06.149 --> 02:09:11.149
was afforded the opportunity
to take some PPE gear,
02:09:11.630 --> 02:09:14.064
use that gear and take it
with them when they left.
02:09:14.064 --> 02:09:16.270
And we further provided that
02:09:16.270 --> 02:09:19.300
to some of our third party suppliers,
02:09:19.300 --> 02:09:23.244
diverse suppliers included
in that list during that time.
02:09:23.244 --> 02:09:26.209
So that was cool,
and we're proud of that.
02:09:26.209 --> 02:09:29.293
I think the other thing
we started to realize, right,
02:09:29.293 --> 02:09:30.420
none of us could travel.
02:09:30.420 --> 02:09:34.512
So our team has particular
supplier diversity team.
02:09:34.512 --> 02:09:38.960
We spent a lot of
time on the road there,
02:09:38.960 --> 02:09:40.567
shocking how much then is act,
02:09:40.567 --> 02:09:45.567
but doing outreach to organizations
that benefit communities
02:09:46.020 --> 02:09:51.020
to our suppliers and
evangelizing at every opportunity,
02:09:51.500 --> 02:09:52.587
the things that we can do.
02:09:52.587 --> 02:09:55.990
So immediately we found
ourselves or (indistinct) how.
02:09:55.990 --> 02:09:58.720
If we can't use that
vehicle to reach out,
02:09:58.720 --> 02:10:00.656
and what are we going to do?
02:10:00.656 --> 02:10:04.889
So we switched gears and
we created some fact sheets
02:10:04.889 --> 02:10:07.420
that we distributed to our supply base.
02:10:07.420 --> 02:10:10.659
We noticed that there
was an overwhelming
02:10:10.659 --> 02:10:13.687
and a bit disjointed body of information
02:10:13.687 --> 02:10:15.522
coming from government,
02:10:15.522 --> 02:10:19.643
local government, (indistinct)
national government.
02:10:19.643 --> 02:10:23.859
And it was a bit confusing
for our supply suppliers,
02:10:23.859 --> 02:10:25.960
particular diverse suppliers
02:10:25.960 --> 02:10:28.110
to get access to that information.
02:10:28.110 --> 02:10:30.100
So we tried to create a funnel
02:10:30.100 --> 02:10:35.100
to proactively channel that
information to those teams.
02:10:35.150 --> 02:10:37.492
The last thing I'll mention
really specific to COVID
02:10:37.492 --> 02:10:42.064
is we felt how people need money.
02:10:42.064 --> 02:10:44.360
They need money in their pocket, right?
02:10:44.360 --> 02:10:48.093
It's bear companies, all of us
experience in our communities
02:10:48.093 --> 02:10:52.219
and everywhere, it was
easy to see small businesses
02:10:52.219 --> 02:10:55.760
completely closing down
some still haven't opened.
02:10:55.760 --> 02:10:58.590
And this impacted,
we believe our diverse,
02:10:58.590 --> 02:11:00.810
small business community,
more than any other.
02:11:00.810 --> 02:11:05.487
So we had at the time, a
30-day payment program
02:11:07.140 --> 02:11:11.150
that allows favorable
terms to diverse suppliers.
02:11:11.150 --> 02:11:14.530
We just completely opened
that program much wider
02:11:14.530 --> 02:11:17.858
and opened it to all of our
small and medium businesses.
02:11:17.858 --> 02:11:21.420
We opened it to all of
our diverse supply bay,
02:11:21.420 --> 02:11:23.017
excluding the very large suppliers
02:11:23.017 --> 02:11:25.267
who really don't need that benefit
02:11:25.267 --> 02:11:28.790
so that they could get
cash in their pocket quicker.
02:11:28.790 --> 02:11:29.757
So we're proud of that.
02:11:29.757 --> 02:11:32.625
And you think it drove
a favorable impact.
02:11:32.625 --> 02:11:35.870
And today more than
600 of our diverse suppliers
02:11:35.870 --> 02:11:37.782
participate in that program.
02:11:37.782 --> 02:11:39.910
So at the risk of going too long,
02:11:39.910 --> 02:11:42.410
there's so many positive things
I do want to share with you.
02:11:42.410 --> 02:11:43.917
I want to touch on two other areas,
02:11:43.917 --> 02:11:46.684
and that is the issue of
diversity and inclusion
02:11:46.684 --> 02:11:51.560
as we relate to our employees
and our diverse suppliers,
02:11:51.560 --> 02:11:54.560
and also our supplier diversity program.
02:11:54.560 --> 02:11:56.788
So during this period
of time during COVID,
02:11:56.788 --> 02:11:58.730
I'm really proud to say,
02:11:58.730 --> 02:12:02.480
I don't think our DNI
efforts inside of T-Mobile
02:12:02.480 --> 02:12:06.050
or specifically as we extend
that to our supply base
02:12:06.050 --> 02:12:08.210
were negatively impacted in any way.
02:12:08.210 --> 02:12:11.670
In fact, we had a lot of
energy and a lot of programs
02:12:11.670 --> 02:12:13.533
that were developed during that time.
02:12:13.533 --> 02:12:18.520
There is an internal
diversity and inclusion council
02:12:18.520 --> 02:12:20.634
that's chaired by our vice president
02:12:20.634 --> 02:12:23.422
of diversity inclusion called Martinez.
02:12:23.422 --> 02:12:25.830
During the COVID time,
02:12:25.830 --> 02:12:27.810
we did a couple of
really important things.
02:12:27.810 --> 02:12:32.810
One of them is we
developed a company value
02:12:33.445 --> 02:12:37.410
around inclusion, and
it's one team together.
02:12:37.410 --> 02:12:39.303
Why is this important?
02:12:39.303 --> 02:12:41.551
Because it's the value that measures
02:12:41.551 --> 02:12:43.732
the performance of individuals
02:12:43.732 --> 02:12:47.220
against inclusive and
collaborative behaviors
02:12:47.220 --> 02:12:48.413
all across the company.
02:12:48.413 --> 02:12:53.297
And part of that program
is a learning program
02:12:53.297 --> 02:12:56.510
called One Team
Together Learning Journey
02:12:56.510 --> 02:12:58.550
sponsored by the BMI council.
02:12:58.550 --> 02:12:59.950
Is five-year program
02:12:59.950 --> 02:13:03.634
and it requires of this type
of training for every employee.
02:13:03.634 --> 02:13:06.113
So very proud of that.
02:13:07.090 --> 02:13:10.430
Lastly, I feel like I'm
certainly taking some time,
02:13:10.430 --> 02:13:12.980
but these important
issues, and I'll talk
02:13:12.980 --> 02:13:16.970
about our supplier diversity
programs there specifically.
02:13:16.970 --> 02:13:21.970
So we have many programs
that we extended to our SPEs
02:13:22.320 --> 02:13:23.420
or diverse suppliers,
02:13:23.420 --> 02:13:25.770
and also did during community outreach.
02:13:25.770 --> 02:13:27.880
But a few things that
would like to highlight.
02:13:27.880 --> 02:13:30.500
One is I see the most comprehensive,
02:13:30.500 --> 02:13:33.740
positive impact it had on our
diverse supply base this year
02:13:33.740 --> 02:13:38.270
was within T-Mobile like all
of our companions companies
02:13:38.270 --> 02:13:40.120
represented here today,
02:13:40.120 --> 02:13:42.928
we have significant external spend.
02:13:42.928 --> 02:13:46.023
Within the last year and a half,
02:13:46.023 --> 02:13:51.023
we have creative requirements
for every category of spends,
02:13:51.441 --> 02:13:54.070
have a strategy that includes
02:13:54.070 --> 02:13:56.010
how are they going to specifically spend
02:13:56.010 --> 02:13:57.540
with diverse suppliers?
02:13:57.540 --> 02:13:58.950
So this is not a nice to have.
02:13:58.950 --> 02:14:01.033
It's not something that
we discussed, it's required,
02:14:01.033 --> 02:14:03.912
it's documented and it's measured.
02:14:03.912 --> 02:14:06.440
So that is very important.
02:14:06.440 --> 02:14:07.370
There's a number of elements of that,
02:14:07.370 --> 02:14:10.493
but I think about a positive
impact on our supply base.
02:14:11.960 --> 02:14:16.960
Additionally, we have, I can
point to quantifiably increased
02:14:18.630 --> 02:14:22.409
our diverse supplier spend
in aggregate across the nation
02:14:22.409 --> 02:14:24.644
by using that program.
02:14:24.644 --> 02:14:27.050
There's many other things I could go in
02:14:27.050 --> 02:14:29.016
and highlight a number of programs
02:14:29.016 --> 02:14:32.728
similar to the other gentlemen
we have SPE programs
02:14:32.728 --> 02:14:36.860
that our mentoring program
wants specifically in partnership
02:14:36.860 --> 02:14:39.953
with a University of Washington
Foster School of Business
02:14:39.953 --> 02:14:44.133
here locally, we intend to
speak with a representative
02:14:44.133 --> 02:14:46.230
from California about
replicating that programming
02:14:46.230 --> 02:14:48.300
course from next year.
02:14:48.300 --> 02:14:51.604
So I'll stop there and allow some time
02:14:51.604 --> 02:14:53.820
for (indistinct) some of colleagues.
02:14:53.820 --> 02:14:54.800
Okay, thank you.
02:14:54.800 --> 02:14:56.844
Before I turn to Rudy,
I do want to comment,
02:14:56.844 --> 02:14:58.560
one thing that you said, Stephanie,
02:14:58.560 --> 02:15:02.805
about your 30-day pay program.
02:15:02.805 --> 02:15:05.243
From our first panel this morning,
02:15:05.243 --> 02:15:06.950
the small business people,
02:15:06.950 --> 02:15:08.920
particularly they say it every year,
02:15:08.920 --> 02:15:13.120
particularly during pandemic,
what they needed was payment.
02:15:13.120 --> 02:15:15.563
They needed quick
payment, they needed cash.
02:15:19.445 --> 02:15:20.894
They've lost employees.
02:15:20.894 --> 02:15:22.490
They've had to up their game
02:15:22.490 --> 02:15:24.960
in terms of what they pay employees
02:15:24.960 --> 02:15:29.960
to stay competitive with
those in their businesses.
02:15:30.953 --> 02:15:33.710
And so I just every year,
02:15:33.710 --> 02:15:37.760
but I just can't encourage you all more.
02:15:37.760 --> 02:15:40.090
These small businesses have to be paid.
02:15:40.090 --> 02:15:42.340
They need to be paid within 30 days,
02:15:42.340 --> 02:15:45.910
as they said very well
to all of us, the utilities.
02:15:45.910 --> 02:15:50.163
And I'd say the Teleco's,
we all pay our bill monthly.
02:15:50.163 --> 02:15:53.220
So you guys gotta
pay your bills monthly.
02:15:53.220 --> 02:15:56.520
Okay, Neff grand
standing, Rudy. (laughs)
02:15:56.520 --> 02:15:58.883
Rudy from Verizon, Rudy Reyes.
02:15:59.740 --> 02:16:02.030
Thank you, President
Batjer and Commissioners.
02:16:02.030 --> 02:16:05.653
It is truly a great honor
to speak before you today
02:16:05.653 --> 02:16:10.653
on the subject of
diversity, supplier diversity.
02:16:12.330 --> 02:16:17.330
I wanted to say that for
Verizon and for me personally,
02:16:18.380 --> 02:16:21.603
diversity and inclusion
is not just a talking point.
02:16:22.522 --> 02:16:25.620
It's very personal to me,
my own personal story
02:16:25.620 --> 02:16:27.210
as a scholarship kid,
02:16:27.210 --> 02:16:30.560
first in my family to go
to a four-year college,
02:16:30.560 --> 02:16:35.560
a life-changing experience
for me, for the company,
02:16:35.640 --> 02:16:39.330
especially with our relatively new CEO,
02:16:39.330 --> 02:16:42.586
And especially after the
murder of George Floyd,
02:16:42.586 --> 02:16:47.586
a very intensive look at
diversity and inclusion,
02:16:47.592 --> 02:16:52.592
unconscious bias,
critical race theory training,
02:16:53.490 --> 02:16:55.990
even to the detriment
of some of the media
02:16:55.990 --> 02:16:57.763
who criticized us,
02:16:57.763 --> 02:17:01.830
a very strong commitment
to diversity and inclusion.
02:17:01.830 --> 02:17:03.570
And when I talk about diversity,
02:17:03.570 --> 02:17:05.320
I'm speaking more broadly
02:17:05.320 --> 02:17:10.060
than just the very important
subject of supplier diversity.
02:17:10.060 --> 02:17:14.900
I'm talking about employee
diversity over 60%,
02:17:14.900 --> 02:17:17.840
just under 60% of our
employees are women
02:17:17.840 --> 02:17:19.141
and people of color,
02:17:19.141 --> 02:17:23.290
board of directors
diversity six out of 10
02:17:23.290 --> 02:17:27.606
of our board members are
women or people of color,
02:17:27.606 --> 02:17:30.790
our customers and our communities.
02:17:30.790 --> 02:17:34.130
We serve all of our
customers and communities
02:17:34.130 --> 02:17:38.829
and strive to have very strong
digital equity and inclusion.
02:17:38.829 --> 02:17:42.900
We've announced a $3
billion special investment
02:17:42.900 --> 02:17:47.363
over a five-year period to
connect unserved communities
02:17:47.363 --> 02:17:50.820
that are blinking red for demand
02:17:50.820 --> 02:17:55.592
to access to affordable
high-speed broadband.
02:17:55.592 --> 02:17:58.763
I mentioned the employee training.
02:17:59.710 --> 02:18:03.570
On the specific topic
of supplier diversity,
02:18:03.570 --> 02:18:07.110
our company is very proud of our record
02:18:07.110 --> 02:18:08.380
on supplier diversity.
02:18:08.380 --> 02:18:10.240
We were one of the founding members
02:18:10.240 --> 02:18:12.839
of the billion dollar round table.
02:18:12.839 --> 02:18:15.540
And as the name suggests,
02:18:15.540 --> 02:18:18.670
those are companies that
pledge and follow through
02:18:18.670 --> 02:18:21.070
and spending at least a billion dollars
02:18:21.070 --> 02:18:26.070
on supplier diversity, and we
exceed that by almost 600%.
02:18:28.170 --> 02:18:32.380
Each one of our executive
leaders and line of businesses
02:18:32.380 --> 02:18:34.600
have their own targets
02:18:34.600 --> 02:18:36.793
that are part of their
performance agreements,
02:18:36.793 --> 02:18:41.793
and are factored into their
bonuses and compensation.
02:18:42.204 --> 02:18:47.204
And last year we spent $5.7
billion on supplier diversity
02:18:49.194 --> 02:18:52.397
and over a 10-year
period, that's 50 billion,
02:18:52.397 --> 02:18:55.100
as in B dollars on supplier diversity.
02:18:55.100 --> 02:18:56.967
So we're very, very proud of that.
02:18:56.967 --> 02:18:58.817
And we have of course meet
02:18:58.817 --> 02:19:03.273
and exceed the Commission's
standards in GO 156.
02:19:04.310 --> 02:19:05.870
I believe your question originally,
02:19:05.870 --> 02:19:08.060
President Batjer was about telehealth
02:19:08.060 --> 02:19:12.245
and the impact of COVID
on our diverse communities.
02:19:12.245 --> 02:19:14.550
And as one speaker said before,
02:19:14.550 --> 02:19:16.433
and I'll put it much more starkly.
02:19:17.549 --> 02:19:21.950
COVID had a dramatic
impact on the traffic we saw
02:19:21.950 --> 02:19:23.741
on our network.
02:19:23.741 --> 02:19:27.450
Usually every day,
President Batjer, Mother's Day
02:19:27.450 --> 02:19:30.260
is the highest volume you see.
02:19:30.260 --> 02:19:34.214
And it was Mother's Day
every day during COVID
02:19:34.214 --> 02:19:36.760
with everyone's schooling and working
02:19:36.760 --> 02:19:37.980
and entertaining from home.
02:19:37.980 --> 02:19:41.880
Myself at my home, my son was schooling.
02:19:41.880 --> 02:19:44.380
My husband was, is a digital artist,
02:19:44.380 --> 02:19:48.317
downloading massive files
and doing digital artwork.
02:19:50.470 --> 02:19:53.440
And then of course, the
Verizon policy guy, me
02:19:53.440 --> 02:19:55.430
on video all day,
02:19:55.430 --> 02:20:00.430
tremendous volumes of data
that we saw during COVID,
02:20:00.830 --> 02:20:03.827
and the network held up to that.
02:20:03.827 --> 02:20:05.860
We always try to build a network
02:20:05.860 --> 02:20:10.798
to make sure that we
are so to speak skating
02:20:10.798 --> 02:20:13.200
to where the hockey puck
is going and making sure
02:20:13.200 --> 02:20:16.773
that we're have sufficient
capacity in our networks.
02:20:17.962 --> 02:20:21.763
The biggest impacts we
saw were with our students,
02:20:22.822 --> 02:20:24.871
and our small businesses.
02:20:24.871 --> 02:20:29.871
So for our students, I mean,
everyone saw two years ago,
02:20:30.030 --> 02:20:33.570
the kids from Salinas who
had to sit outside taco bell
02:20:33.570 --> 02:20:38.570
to do their homework, that
really impacted our company.
02:20:40.518 --> 02:20:44.926
The culture of it, me personally,
02:20:44.926 --> 02:20:49.360
and one of the things that
I'm very proud of our company
02:20:49.360 --> 02:20:52.400
for doing, and it was born
right here in California,
02:20:52.400 --> 02:20:56.610
was with the Los Angeles
Unified School District, LAUSD.
02:20:56.610 --> 02:21:01.203
We partnered with the
superintendent to make sure
02:21:01.203 --> 02:21:05.440
that we provided every
kid in the school district
02:21:05.440 --> 02:21:07.995
who needed it with free internet
02:21:07.995 --> 02:21:10.346
wireless internet connectivity,
02:21:10.346 --> 02:21:15.346
through a very low cost
reduced contract with LAUSD.
02:21:16.678 --> 02:21:19.920
And then we were able
working with the first partner
02:21:19.920 --> 02:21:20.940
and Governor Newsome
02:21:20.940 --> 02:21:25.350
to open that up to all
school districts in California.
02:21:25.350 --> 02:21:28.398
And then that leadership
actually translated
02:21:28.398 --> 02:21:30.350
across the country.
02:21:30.350 --> 02:21:31.790
Not sure all 50 states,
02:21:31.790 --> 02:21:33.950
it could just be the lower 48.
02:21:33.950 --> 02:21:36.910
Now, it's universal,
every school district
02:21:36.910 --> 02:21:40.834
that wants to get access
to this discounted plan
02:21:40.834 --> 02:21:44.636
to allow all of their
students who need it
02:21:44.636 --> 02:21:49.030
with free connectivity can do that.
02:21:49.030 --> 02:21:52.668
That's a source of enormous
pride for the company.
02:21:52.668 --> 02:21:56.220
And then I'll end with the
small business impact you asked
02:21:56.220 --> 02:21:59.940
about small businesses, took
a humongous hit during COVID.
02:21:59.940 --> 02:22:01.320
I don't need to tell you,
02:22:01.320 --> 02:22:03.740
but we're seeing it from our customers
02:22:03.740 --> 02:22:05.834
who are telling us this.
02:22:05.834 --> 02:22:08.400
We were greatly impacted
02:22:08.400 --> 02:22:11.130
when over a hundred
thousand small businesses,
02:22:11.130 --> 02:22:15.246
we understand closed
nationwide during the pandemic.
02:22:15.246 --> 02:22:20.246
And broadband is a lifeline
for our small businesses
02:22:20.770 --> 02:22:22.682
go into any one of
these small coffee shops
02:22:22.682 --> 02:22:26.840
or small businesses across
San Francisco, California.
02:22:26.840 --> 02:22:30.560
They're all using a broadband
connection for payment
02:22:30.560 --> 02:22:35.560
for paperless payment
or non-contact payment.
02:22:36.660 --> 02:22:39.010
So one of the important things we did
02:22:39.010 --> 02:22:44.010
was to partner with LISC
to offer $10,000 grants
02:22:44.150 --> 02:22:46.190
to the small business community,
02:22:46.190 --> 02:22:49.563
targeting the diverse small businesses,
02:22:49.563 --> 02:22:53.050
and that totaled up to 2.5 million.
02:22:53.050 --> 02:22:57.913
So we're very proud of our
record on diversity broadly,
02:22:58.870 --> 02:23:01.440
broad the definition of diversity.
02:23:01.440 --> 02:23:03.070
And I'll just end by saying again,
02:23:03.070 --> 02:23:05.700
this is very personal for
me as a scholarship kid.
02:23:05.700 --> 02:23:09.122
I suffered from imposter
syndrome for a long time
02:23:09.122 --> 02:23:13.600
being the first in my
family to go to college.
02:23:13.600 --> 02:23:17.796
And as I grew my team
out here in the west
02:23:17.796 --> 02:23:22.110
from about five employees
to now, 20 doing,
02:23:22.110 --> 02:23:24.730
not just state legal and regulatory,
02:23:24.730 --> 02:23:26.070
but also local engagement,
02:23:26.070 --> 02:23:29.843
as we build out 5G across
California and our nation,
02:23:29.843 --> 02:23:31.820
it was super important.
02:23:31.820 --> 02:23:34.800
My motto was diversity and excellence,
02:23:34.800 --> 02:23:39.800
and I'm so proud that that the
overwhelming number of people
02:23:40.250 --> 02:23:43.763
that I hired onto my team fit
both of those characteristics.
02:23:46.290 --> 02:23:48.423
That's terrific, Rudy,
in your personal story
02:23:48.423 --> 02:23:52.393
is one to very much be proud of as well.
02:23:53.790 --> 02:23:57.020
Thank you, before we move
on to the second question,
02:23:57.020 --> 02:24:00.973
and given the richness and
thoroughness of your answers,
02:24:02.313 --> 02:24:05.810
this may be the last question
'cause I really want to turn,
02:24:05.810 --> 02:24:08.260
I know my fellow
Commissioners have questions
02:24:08.260 --> 02:24:09.470
that they'd like to pose to you
02:24:09.470 --> 02:24:11.866
and we are running behind today.
02:24:11.866 --> 02:24:13.997
So I just one point I wanna make,
02:24:13.997 --> 02:24:18.150
and I don't mean to call
people out negatively,
02:24:18.150 --> 02:24:23.150
but this on bonk this
day is about learning,
02:24:23.895 --> 02:24:25.930
learning from each other,
02:24:25.930 --> 02:24:29.893
learning from other
utilities within California,
02:24:30.870 --> 02:24:32.430
but Stephanie Green,
02:24:32.430 --> 02:24:37.430
our diverse supplier manager
earlier always calls out
02:24:37.896 --> 02:24:42.896
the utilities who have met all
three GO 156 goals in 2020.
02:24:44.030 --> 02:24:49.030
And they're 10 companies
that she has on that list.
02:24:50.890 --> 02:24:54.020
And the only one of all
of you that made the list,
02:24:54.020 --> 02:24:59.020
meaning that you reached
or succeeded the goals
02:25:00.619 --> 02:25:05.619
of minority spend,
and that was Frontier.
02:25:06.200 --> 02:25:11.200
So as a new CEO, you
can take that one to the bank,
02:25:11.400 --> 02:25:14.330
but I know all the rest of
you are gonna catch up.
02:25:14.330 --> 02:25:16.895
I know you are, I'm sure you are.
02:25:16.895 --> 02:25:19.633
And that kind of goes
to the next question.
02:25:20.471 --> 02:25:25.100
For the annual supplier diversity
reports to the Commission,
02:25:25.100 --> 02:25:26.460
which are very important,
02:25:26.460 --> 02:25:28.710
we have to have your data.
02:25:28.710 --> 02:25:33.070
The Commission's guidelines
specified that the utilities
02:25:33.070 --> 02:25:36.193
only include those
expenditures that were incurred
02:25:36.193 --> 02:25:39.460
in support of their
California operations.
02:25:39.460 --> 02:25:41.704
I think George was
mentioning that I'd get to this
02:25:41.704 --> 02:25:43.653
when you were speaking.
02:25:45.000 --> 02:25:49.184
So I'm sure your numbers
across the country are great.
02:25:49.184 --> 02:25:52.500
However, we wanna know California.
02:25:52.500 --> 02:25:55.365
We wanna know what
you're doing in California.
02:25:55.365 --> 02:25:58.640
So what methodology do you have in place
02:25:58.640 --> 02:26:01.340
to separate your company's expenditure
02:26:01.340 --> 02:26:03.380
for California operations?
02:26:03.380 --> 02:26:05.480
I, again, I'm sorry to point fingers,
02:26:05.480 --> 02:26:09.851
but Cox and Verizon do
not separate things out,
02:26:09.851 --> 02:26:14.733
their spend out for California,
AT&T and T-Mobile do.
02:26:14.733 --> 02:26:19.733
So what learnings, how does AT&T do it,
02:26:20.580 --> 02:26:22.730
and how does T-Mobile do it?
02:26:22.730 --> 02:26:27.730
So let me first turn, and I'm
gonna go out of order here,
02:26:28.880 --> 02:26:33.880
let me go to Jalayna
first to learn how you all
02:26:34.830 --> 02:26:39.490
separate out your California
spend from your other spend
02:26:39.490 --> 02:26:42.660
across the country,
because I think it can be done.
02:26:42.660 --> 02:26:44.480
I've been told, sorry,
02:26:44.480 --> 02:26:47.920
I've been told by the other
companies, it can't be done,
02:26:47.920 --> 02:26:49.243
but I think it can be.
02:26:50.570 --> 02:26:55.570
Sure, so we have a
very extensive tracking
02:26:56.079 --> 02:26:59.328
and payment system within AT&T.
02:26:59.328 --> 02:27:04.328
We've been doing this program
for 53 years now since 1968,
02:27:04.970 --> 02:27:09.580
with over $200 billion in
spend, I know that's a total spin,
02:27:09.580 --> 02:27:11.440
but in terms of California,
02:27:11.440 --> 02:27:14.090
we can slice and dice on
numbers, different ways.
02:27:14.090 --> 02:27:17.720
And ours is just really
derived based on the allocation,
02:27:17.720 --> 02:27:19.640
except for the money
directly contributed
02:27:19.640 --> 02:27:22.838
to the clearing house
or to advocacy groups.
02:27:22.838 --> 02:27:27.838
An allocation is based on
supplier standby AT&T subsidiary
02:27:27.918 --> 02:27:31.400
and that state specific revenues.
02:27:31.400 --> 02:27:34.338
So that's how we're able to segregate
02:27:34.338 --> 02:27:37.470
what is the California spend.
02:27:37.470 --> 02:27:42.470
Okay, and Stephanie,
if I may now turn to you,
02:27:43.037 --> 02:27:45.003
how do you at T-Mobile do it?
02:27:45.950 --> 02:27:47.863
Absolutely, well,
as I mentioned-
02:27:48.920 --> 02:27:50.050
Your merger as well.
02:27:50.050 --> 02:27:53.780
So just wanna make sure
we include that as well.
02:27:53.780 --> 02:27:55.840
Yes, as as mentioned, right?
02:27:55.840 --> 02:27:59.190
2020 was a year that
was not an apples to apples
02:27:59.190 --> 02:28:00.310
kind of a year for us.
02:28:00.310 --> 02:28:02.810
So we were challenged a bit.
02:28:02.810 --> 02:28:04.460
This year in term of our results,
02:28:04.460 --> 02:28:07.347
we decided to take a very
conservative approach.
02:28:07.347 --> 02:28:09.370
And overall, I think our number
02:28:09.370 --> 02:28:11.224
is slightly below the target,
02:28:11.224 --> 02:28:13.440
but I think what's more important
02:28:13.440 --> 02:28:15.960
is let me answer your specific question.
02:28:15.960 --> 02:28:17.780
How do we do that?
02:28:17.780 --> 02:28:19.492
I think we do something similar
02:28:19.492 --> 02:28:21.750
to what my colleague at AT&T said.
02:28:21.750 --> 02:28:23.752
We strive based on the data that we have
02:28:23.752 --> 02:28:26.340
to look at two factors first,
02:28:26.340 --> 02:28:29.330
pretty clear we can see
what amount of our spend is
02:28:29.330 --> 02:28:32.498
with California Certified Suppliers
02:28:32.498 --> 02:28:36.770
and following the guidelines
that the CPUC gives us.
02:28:36.770 --> 02:28:39.724
The second thing that
we do is we are able
02:28:39.724 --> 02:28:43.600
based on I'll call it
analytics and algorithms
02:28:43.600 --> 02:28:47.430
to get very precise on what
amount of our total sense
02:28:47.430 --> 02:28:50.780
can we attribute to our
customers in California.
02:28:50.780 --> 02:28:52.526
And two, I'll say infrastructure,
02:28:52.526 --> 02:28:55.530
capital investments in California
02:28:55.530 --> 02:28:57.040
for cell phone company, right?
02:28:57.040 --> 02:29:01.130
So we are making CapEx
investments throughout the state
02:29:01.130 --> 02:29:03.301
to support the traffic and our customer
02:29:03.301 --> 02:29:05.180
kind of activity there.
02:29:05.180 --> 02:29:06.450
So this gives us the ability
02:29:06.450 --> 02:29:10.430
to pretty precisely look at
what is that amount of spend
02:29:10.430 --> 02:29:12.300
in California and of that
02:29:12.300 --> 02:29:16.319
what's specifically
qualified (indistinct)
02:29:16.319 --> 02:29:18.507
So I hope that answers your question.
02:29:18.507 --> 02:29:19.340
[President Batjer] Okay,
02:29:19.340 --> 02:29:21.490
and in that I thank you, Stephanie.
02:29:21.490 --> 02:29:26.230
And then I called out Cox and Verizon,
02:29:26.230 --> 02:29:28.940
it's only fair that I
give you an opportunity
02:29:28.940 --> 02:29:31.100
to speak to this.
02:29:31.100 --> 02:29:35.640
And perhaps something
that was said either by Jalayna
02:29:35.640 --> 02:29:37.630
or by Stephanie.
02:29:37.630 --> 02:29:40.153
So George want to take a swing at it.
02:29:41.220 --> 02:29:43.321
Sure, I mean, basically
our simple answer
02:29:43.321 --> 02:29:45.097
and we do get on a call every year
02:29:45.097 --> 02:29:46.690
and go into quite a bit of detail
02:29:46.690 --> 02:29:47.870
with Stephanie and her team.
02:29:47.870 --> 02:29:49.631
And we're always
appreciative of her willingness
02:29:49.631 --> 02:29:51.870
to have that conversation with us.
02:29:51.870 --> 02:29:54.190
And we're certainly always
looking for those opportunities
02:29:54.190 --> 02:29:55.695
where we can do better,
02:29:55.695 --> 02:29:59.085
where we can see that
it enhances our program,
02:29:59.085 --> 02:30:00.830
but fundamentally we just,
02:30:00.830 --> 02:30:03.190
we don't have that
methodology that was described
02:30:03.190 --> 02:30:05.205
by either AT&T and T-Mobile.
02:30:05.205 --> 02:30:07.530
And there's a couple of reasons.
02:30:07.530 --> 02:30:09.650
First the telephone company,
02:30:09.650 --> 02:30:11.130
the technical telephone company
02:30:11.130 --> 02:30:14.219
that we have registered in
California doesn't buy anything.
02:30:14.219 --> 02:30:17.030
And so as a result,
02:30:17.030 --> 02:30:19.174
we don't have that direct connection.
02:30:19.174 --> 02:30:23.010
And from a company perspective,
02:30:23.010 --> 02:30:26.380
our focus is to be successful
with diverse suppliers
02:30:26.380 --> 02:30:28.010
across the nation.
02:30:28.010 --> 02:30:29.627
California is of course,
part of our footprint
02:30:29.627 --> 02:30:31.980
is certainly an important
part of our footprint
02:30:31.980 --> 02:30:36.010
that we do serve a lot of
markets across the entire country.
02:30:36.010 --> 02:30:38.361
And we've got consolidation hubs
02:30:38.361 --> 02:30:41.340
and things that cause that dynamic
02:30:41.340 --> 02:30:44.220
to make it very difficult
for us to figure out
02:30:44.220 --> 02:30:47.130
specifically what is
attributable to California.
02:30:47.130 --> 02:30:50.821
And I'm not sure that if I
understood what AT&T and T-Mobile
02:30:50.821 --> 02:30:54.180
were describing attributing total spend
02:30:54.180 --> 02:30:57.910
to California is not exactly
the same as are you spending it
02:30:57.910 --> 02:31:00.900
with the California supplier.
02:31:00.900 --> 02:31:01.830
But at the end of the day,
02:31:01.830 --> 02:31:04.977
our goal is to have a successful
supplier diversity program,
02:31:04.977 --> 02:31:06.700
across the nation.
02:31:06.700 --> 02:31:10.160
And we in fact are moving
probably in the other direction
02:31:10.160 --> 02:31:13.463
in the sense that one
is we just set a target
02:31:13.463 --> 02:31:16.328
sort of part of an overall idea,
02:31:16.328 --> 02:31:19.100
any program that the
company put in place
02:31:19.100 --> 02:31:23.012
that was picked off after
the George Floyd murders,
02:31:23.012 --> 02:31:26.820
that encompasses a whole
bunch of diversity items,
02:31:26.820 --> 02:31:28.130
not just supplier diversity,
02:31:28.130 --> 02:31:29.750
but in their supplier diversity,
02:31:29.750 --> 02:31:31.520
we have set ourselves a target
02:31:31.520 --> 02:31:34.595
of getting to a billion
dollars in spend,
02:31:34.595 --> 02:31:37.590
but we're actually gonna be
now doing it and measuring it
02:31:37.590 --> 02:31:39.140
across the entire enterprise.
02:31:39.140 --> 02:31:42.751
So Cox Communications is
a division of Cox Enterprises
02:31:42.751 --> 02:31:44.650
and we have a bunch of other businesses,
02:31:44.650 --> 02:31:47.100
and we just recently consolidated
02:31:47.100 --> 02:31:48.650
our supplier diversity program,
02:31:48.650 --> 02:31:50.387
and all of our supply
chain organizations
02:31:50.387 --> 02:31:52.500
into my organization.
02:31:52.500 --> 02:31:54.770
So it technically resides
in Cox Communications,
02:31:54.770 --> 02:31:56.910
but we're now supporting
our whole enterprise.
02:31:56.910 --> 02:31:58.970
And our view is actually
going in the other direction,
02:31:58.970 --> 02:32:02.040
which is we're not even
necessarily uniquely trying to focus
02:32:02.040 --> 02:32:03.984
on diverse supplier
diversity for communications.
02:32:03.984 --> 02:32:07.560
We want supplier diversity
across all businesses
02:32:07.560 --> 02:32:10.042
that Cox happens to be involved in.
02:32:10.042 --> 02:32:11.626
But again, I'd say.
02:32:11.626 --> 02:32:13.490
[President Batjer] I
didn't get to a place
02:32:13.490 --> 02:32:17.340
where we can see what
you spend in California
02:32:17.340 --> 02:32:19.850
on our small business folks.
02:32:19.850 --> 02:32:20.980
So appreciate it.
02:32:20.980 --> 02:32:23.170
But I hope you can get your methodology.
02:32:23.170 --> 02:32:25.168
Just a comment though.
02:32:25.168 --> 02:32:28.010
And I'd love to
understand whether it's now
02:32:28.010 --> 02:32:29.500
or maybe in a follow-up again,
02:32:29.500 --> 02:32:32.690
from what I just heard it
briefly with AT&T and T-Mobile,
02:32:32.690 --> 02:32:35.762
if that allocation
methodology is attributing,
02:32:35.762 --> 02:32:39.048
how much you buy in total
and then how much you have
02:32:39.048 --> 02:32:40.760
residing in California,
02:32:40.760 --> 02:32:42.870
that didn't sound necessarily to me,
02:32:42.870 --> 02:32:45.430
like it was exactly a
one for one with those,
02:32:45.430 --> 02:32:48.260
our suppliers residing in California,
02:32:48.260 --> 02:32:51.550
it sounded like it was
almost like a tier two allocation
02:32:51.550 --> 02:32:52.760
of the total spend.
02:32:52.760 --> 02:32:55.190
I'd love to understand
that a little better.
02:32:55.190 --> 02:32:58.010
So George, we'd
be happy to talk offline
02:32:58.010 --> 02:32:59.430
at another time about it.
02:32:59.430 --> 02:33:00.710
So why don't you reach out to me
02:33:00.710 --> 02:33:04.007
and we'll be able to walk
you through the methodology.
02:33:04.007 --> 02:33:04.923
All right, we'll do that.
02:33:04.923 --> 02:33:06.794
All right, I will.
02:33:06.794 --> 02:33:10.580
I'm gonna ask our manager,
Stephanie Green to do the same.
02:33:10.580 --> 02:33:12.810
We're gonna go to a
little bit deeper in this
02:33:12.810 --> 02:33:14.810
'cause that's extremely important, Rudy.
02:33:15.950 --> 02:33:20.297
Yeah, so again, thank
you, President Batjer.
02:33:22.156 --> 02:33:27.156
The staff guidance is to try
to segregate only expenditures
02:33:29.130 --> 02:33:32.630
that are for
California-specific operations.
02:33:32.630 --> 02:33:35.310
And we don't have a methodology
02:33:39.660 --> 02:33:43.770
for segregating only
California specific operations.
02:33:43.770 --> 02:33:47.580
However, we do provide
the Commission an estimate
02:33:50.563 --> 02:33:53.319
that is based on California information.
02:33:53.319 --> 02:33:55.357
So I wanted to make sure
that you were aware of that,
02:33:55.357 --> 02:33:56.704
and all the Commissioners
are aware of that.
02:33:56.704 --> 02:33:58.588
It's not like we provide
a national number.
02:33:58.588 --> 02:34:02.810
What we do provide is
we provide the amount
02:34:02.810 --> 02:34:06.120
of our diverse spend that
is connected to California
02:34:06.120 --> 02:34:09.140
by including all of
the payables remitted
02:34:09.140 --> 02:34:12.540
to California addresses by suppliers
02:34:12.540 --> 02:34:14.449
that are both in and
outside of California,
02:34:14.449 --> 02:34:19.449
who are certified by the
California supplier clearing house.
02:34:19.570 --> 02:34:24.570
So that's our best method
of coming up with a number
02:34:25.178 --> 02:34:27.094
that is related to California.
02:34:27.094 --> 02:34:29.109
Is it the perfect number?
02:34:29.109 --> 02:34:31.210
I'm sure it's not.
02:34:31.210 --> 02:34:34.060
I doubt that the other
competitors you mentioned
02:34:34.060 --> 02:34:36.102
have the perfect number either.
02:34:36.102 --> 02:34:39.900
And also you wanna be
able to count those suppliers
02:34:39.900 --> 02:34:41.527
who might be doing work out of state,
02:34:41.527 --> 02:34:45.910
but they are California
companies, right.
02:34:45.910 --> 02:34:47.360
Or vice versa.
02:34:47.360 --> 02:34:52.360
So we try our very best to
come up with with an assumption.
02:34:54.180 --> 02:34:56.293
And we're very transparent about it.
02:34:57.690 --> 02:34:59.320
Well, thank you, Rudy.
02:34:59.320 --> 02:35:01.370
We're gonna get to some granularity,
02:35:01.370 --> 02:35:04.220
hopefully on your side, all of you,
02:35:04.220 --> 02:35:06.230
as well as on our side is,
02:35:06.230 --> 02:35:11.087
as I think we can probably
hone down both the question
02:35:11.087 --> 02:35:12.630
and the responses.
02:35:12.630 --> 02:35:17.576
So we're 10 minutes over
time, we got started a little late.
02:35:17.576 --> 02:35:19.870
I'm going to shorten the lunch hour.
02:35:19.870 --> 02:35:22.584
So I'm gonna turn to my
fellow Commissioners now,
02:35:22.584 --> 02:35:26.230
and open it up for
any of their questions
02:35:26.230 --> 02:35:27.830
and just raise your hands.
02:35:27.830 --> 02:35:28.943
I can see you all.
02:35:31.250 --> 02:35:34.116
Yes, Commissioner
Rechtschaffen, please go ahead.
02:35:34.116 --> 02:35:35.530
I'm going to be quick.
02:35:35.530 --> 02:35:37.339
I just asked for a show of
hands on a couple of things.
02:35:37.339 --> 02:35:38.890
So I heard Nick,
02:35:38.890 --> 02:35:42.000
I think I heard you
say your internal goal
02:35:42.000 --> 02:35:46.666
is 50% diverse
procurement, is that correct?
02:35:46.666 --> 02:35:48.067
Yeah, that's correct.
02:35:48.067 --> 02:35:52.890
But we're actually 41.7, 8%, today.
02:35:52.890 --> 02:35:54.200
Right, you were
highlighted earlier.
02:35:54.200 --> 02:35:56.820
So show of hands, anyone else who wants,
02:35:56.820 --> 02:35:58.950
it's thinking of matching
you as an internal goal
02:35:58.950 --> 02:35:59.850
to match Frontier.
02:36:03.750 --> 02:36:06.841
Okay, anyone of the other
companies that has a goal
02:36:06.841 --> 02:36:10.150
to exceed the voluntary
targets that we've said
02:36:10.150 --> 02:36:12.463
in general order 156.
02:36:14.560 --> 02:36:18.520
Okay, three other, beautiful.
02:36:18.520 --> 02:36:22.430
And then secondly,
Stephanie talked about T-Mobile
02:36:22.430 --> 02:36:27.430
extending the fast payments
to all suppliers during COVID.
02:36:28.410 --> 02:36:32.630
How many of the other
companies here have done that
02:36:32.630 --> 02:36:34.503
or something similar.
02:36:37.573 --> 02:36:41.940
At the risk of
burning up any time,
02:36:41.940 --> 02:36:44.600
we had put a program in place years ago,
02:36:44.600 --> 02:36:48.410
that was any small diverse
vendors that required it,
02:36:48.410 --> 02:36:50.480
or we saw the
opportunities and offer it.
02:36:50.480 --> 02:36:53.437
We have had standard
net 15-day payment terms,
02:36:53.437 --> 02:36:55.970
and that goes on well before COVID,
02:36:55.970 --> 02:36:59.680
and I've always attributed
that aha moment, if you will,
02:36:59.680 --> 02:37:02.719
to one of the CPUC boards
that I was participating in,
02:37:02.719 --> 02:37:05.840
and very clear feedback,
even before COVID
02:37:05.840 --> 02:37:08.920
from small vendors that
capitalist the number one problem
02:37:08.920 --> 02:37:11.460
for diverse suppliers,
small diverse suppliers.
02:37:11.460 --> 02:37:13.213
And it seemed obvious
that that was the one thing
02:37:13.213 --> 02:37:14.850
that we could do very easily.
02:37:14.850 --> 02:37:17.890
So we've had a program
in place for many years
02:37:17.890 --> 02:37:21.519
that is offering them net
15-day payment terms.
02:37:21.519 --> 02:37:22.630
Okay, thank you.
02:37:22.630 --> 02:37:26.340
I don't know how many of
you were on her prior panel,
02:37:26.340 --> 02:37:29.680
but our panel of diverse chambers
02:37:29.680 --> 02:37:31.711
and other business
organizations identified that
02:37:31.711 --> 02:37:34.760
as the single biggest
challenge they face
02:37:34.760 --> 02:37:37.055
even more so during COVID.
02:37:37.055 --> 02:37:39.085
Thank you, President Batjer.
02:37:39.085 --> 02:37:39.918
Thank you, Cliff.
02:37:39.918 --> 02:37:43.896
Yes, I mentioned exactly
that to all of our panelists,
02:37:43.896 --> 02:37:46.530
that it was absolutely critical.
02:37:46.530 --> 02:37:47.570
We hear it every year,
02:37:47.570 --> 02:37:49.959
but COVID made it
absolutely that much more.
02:37:49.959 --> 02:37:52.310
Any other Commissioners, please?
02:37:52.310 --> 02:37:53.863
Any questions of our panel?
02:37:55.350 --> 02:37:56.663
Yes, Commissioner Shiroma.
02:37:57.510 --> 02:37:59.663
Thank you, a
comment and a question.
02:38:00.820 --> 02:38:01.870
First of all,
02:38:01.870 --> 02:38:04.274
all of your companies
are very sophisticated,
02:38:04.274 --> 02:38:08.893
and then you have
taught here billing systems,
02:38:10.421 --> 02:38:15.421
systems for contracting and
the various business units
02:38:17.640 --> 02:38:20.423
within your entire organizations.
02:38:21.910 --> 02:38:24.760
And so I'm wondering if,
02:38:24.760 --> 02:38:29.357
where we need to be
more specific in asking you
02:38:29.357 --> 02:38:32.644
the metrics for California.
02:38:32.644 --> 02:38:34.820
I mean, we're California,
02:38:34.820 --> 02:38:39.110
so we're asking you about
what are you doing to invest
02:38:39.110 --> 02:38:41.457
in small businesses,
on area and business,
02:38:41.457 --> 02:38:43.160
and so forth in California?
02:38:43.160 --> 02:38:45.950
So I plucked step
02:38:45.950 --> 02:38:50.860
and how you can't
clean out that information.
02:38:50.860 --> 02:38:53.190
Whether one of our
businesses in California
02:38:53.190 --> 02:38:54.623
may be doing something in another state.
02:38:54.623 --> 02:38:59.623
What have you, but meanwhile,
they're here in California,
02:39:00.290 --> 02:39:02.720
so you don't have to answer today,
02:39:02.720 --> 02:39:07.661
but I am wondering if that
is part of the thing here,
02:39:07.661 --> 02:39:11.040
as far as the standardizing, what it is,
02:39:11.040 --> 02:39:13.190
we are requiring you to tell us
02:39:13.190 --> 02:39:15.863
because otherwise it's
very, very perplexing.
02:39:16.810 --> 02:39:21.283
Now, my question
is, again for California,
02:39:24.935 --> 02:39:29.935
is there a specific action
plan, a specific work plan to,
02:39:31.800 --> 02:39:36.530
on the Frontier has exceeded
a lot of expectations on this.
02:39:38.020 --> 02:39:42.537
Do you all have an
actual core value plan
02:39:43.810 --> 02:39:48.810
for increasing your numbers
(indistinct) giving the skill,
02:39:51.980 --> 02:39:55.160
but still looking at the investment
02:39:55.160 --> 02:39:57.283
in California small businesses?
02:39:58.230 --> 02:40:03.230
Yeah, I would like to
take a stab at that one.
02:40:04.024 --> 02:40:06.900
We do very specifically, as I mentioned,
02:40:06.900 --> 02:40:08.922
we have this category of send approach.
02:40:08.922 --> 02:40:10.140
I lead procurement,
02:40:10.140 --> 02:40:12.237
which is where we have our supplier
02:40:12.237 --> 02:40:15.210
the ENI and supplier diversity issues
02:40:15.210 --> 02:40:18.410
because it's true, the
decisions that my team facilitates
02:40:18.410 --> 02:40:21.018
that we can most
directly impact this issue
02:40:21.018 --> 02:40:25.550
and through our process
of setting ENI targets
02:40:25.550 --> 02:40:27.130
for every spend category
02:40:27.130 --> 02:40:31.010
and also by extension
California, by the end of this year,
02:40:31.010 --> 02:40:34.501
we'll have that for 100%
of our spend categories,
02:40:34.501 --> 02:40:38.830
which I think will
contribute positively to that.
02:40:38.830 --> 02:40:41.250
I would just like to offer
also as a point of education,
02:40:41.250 --> 02:40:45.620
not to grant, but our team last year,
02:40:45.620 --> 02:40:47.574
or it might've been
at the start of COVID
02:40:47.574 --> 02:40:52.574
started at California
subcommittee focus on DE&I,
02:40:53.305 --> 02:40:56.140
and we found that to
be a very useful vehicle,
02:40:56.140 --> 02:41:00.147
to get information directly,
relative to California,
02:41:00.147 --> 02:41:04.060
the ENI issues, what's
happening, what are priorities,
02:41:04.060 --> 02:41:06.880
and to give us coaching
on our efforts there.
02:41:06.880 --> 02:41:08.863
So I would offer that up
as something we've learned
02:41:08.863 --> 02:41:10.890
a great deal from this year.
02:41:10.890 --> 02:41:11.965
Thank you, Stephanie.
02:41:11.965 --> 02:41:12.798
I'm going to turn to Nick.
02:41:12.798 --> 02:41:15.520
He had his (indistinct)
02:41:15.520 --> 02:41:16.505
Thank you, it's
a great question.
02:41:16.505 --> 02:41:17.800
Just don't answer directly.
02:41:17.800 --> 02:41:20.290
Yes, absolutely, we do
have specific programs,
02:41:20.290 --> 02:41:22.770
metrics, KPIs, and all the rest of it
02:41:22.770 --> 02:41:24.380
around what we're doing in California.
02:41:24.380 --> 02:41:26.620
California is one of our
most important markets.
02:41:26.620 --> 02:41:30.020
And I'll just remind that the patients
02:41:30.020 --> 02:41:32.508
that we've recently announced,
02:41:32.508 --> 02:41:35.280
one of the country's largest fiber bills
02:41:35.280 --> 02:41:37.940
and California features
very highly on that,
02:41:37.940 --> 02:41:40.690
both for rural and urban as well,
02:41:40.690 --> 02:41:43.770
where we're extending
networks to communities
02:41:43.770 --> 02:41:47.529
that will benefit from that
right across our footprint.
02:41:47.529 --> 02:41:49.170
So they answer said yes to the question.
02:41:49.170 --> 02:41:51.060
The second thing I just
need to say, unfortunately,
02:41:51.060 --> 02:41:52.500
is I need to drop off the call
02:41:52.500 --> 02:41:54.052
because I've got another meeting started
02:41:54.052 --> 02:41:55.640
at the top of the hour.
02:41:55.640 --> 02:41:58.853
And thank you once again
for recognizing the work
02:41:58.853 --> 02:42:01.338
that we've done on
the diversity 156 goals.
02:42:01.338 --> 02:42:03.020
We're very proud of that.
02:42:03.020 --> 02:42:06.581
Diversity is and will
continue to be at the core
02:42:06.581 --> 02:42:07.930
of everything we do.
02:42:07.930 --> 02:42:11.980
I personally believe in it
and personally will drive it.
02:42:11.980 --> 02:42:15.357
And so I'm very much looking
forward to working with you
02:42:15.357 --> 02:42:18.426
over the coming months
and hopefully years
02:42:18.426 --> 02:42:21.237
to continue to drive this is
important set of initiatives
02:42:21.237 --> 02:42:22.859
for up in California,
02:42:22.859 --> 02:42:24.590
and look forward to
collaborating with you
02:42:24.590 --> 02:42:26.650
on all aspects of that.
02:42:26.650 --> 02:42:28.670
Thank you very much,
Nick, for your participation.
02:42:28.670 --> 02:42:30.120
And because of time,
02:42:30.120 --> 02:42:32.791
I'm gonna ask that the
other companies answer
02:42:32.791 --> 02:42:36.820
Commissioner Shiroma's
question in a written form
02:42:36.820 --> 02:42:40.931
to Stephanie Green or
manager of supplier diversity.
02:42:40.931 --> 02:42:42.680
I don't want to cut everybody short,
02:42:42.680 --> 02:42:44.200
but we're way over time.
02:42:44.200 --> 02:42:47.103
So thank you all for
your participation today.
02:42:47.103 --> 02:42:51.520
Appreciate it, and it's
your 30-day plan down.
02:42:51.520 --> 02:42:55.600
These small businesses are
just needing cash so badly.
02:42:55.600 --> 02:42:56.783
So thank you all.
02:42:56.783 --> 02:43:00.853
And we will take a
30-minute lunch break.
02:43:01.800 --> 02:43:03.460
I have 12:03.
02:43:03.460 --> 02:43:06.517
Let's be back everyone at 12:35.
02:43:06.517 --> 02:43:08.393
Thank you all very much.
02:43:09.260 --> 02:43:10.093
Thank you.
02:43:11.894 --> 02:43:12.990
(indistinct)
Moderator.com
02:43:12.990 --> 02:43:14.468
will begin momentarily.
02:43:14.468 --> 02:43:16.083
Thank you for your patience.
02:43:26.693 --> 02:43:27.610
I'm back.
02:43:29.644 --> 02:43:33.811
Today, now for the, I'm
back on general order 156,
02:43:35.110 --> 02:43:38.106
thriving and surviving
during a pandemic.
02:43:38.106 --> 02:43:41.580
We've just finished a very first lunch.
02:43:41.580 --> 02:43:46.580
And our next panel is
our third panel of the day,
02:43:46.639 --> 02:43:50.390
and we'll be on the
energy and water panel,
02:43:50.390 --> 02:43:53.503
and it is moderated by
Commissioner Guzman Aceves.
02:43:54.430 --> 02:43:57.810
The panelists will discuss
the effects COVID has had
02:43:57.810 --> 02:44:00.073
on their supply chain.
02:44:00.073 --> 02:44:04.760
They will also address
questions regarding the rising cost
02:44:04.760 --> 02:44:06.610
of insurance premiums,
02:44:06.610 --> 02:44:11.610
expanding subcontracting
market trends, master contracts,
02:44:12.010 --> 02:44:13.750
and best practices.
02:44:13.750 --> 02:44:16.881
Oh, and you're all gonna
do this in like no time at all.
02:44:16.881 --> 02:44:18.821
(laughs)
02:44:18.821 --> 02:44:22.190
That is a lot of territory to cover,
02:44:22.190 --> 02:44:24.430
and I'm sure you'll
do it all beautifully.
02:44:24.430 --> 02:44:27.417
I will now turn it over to
Commissioner Guzman Aceves.
02:44:28.520 --> 02:44:29.353
Thank you, President Batjer.
02:44:29.353 --> 02:44:32.810
And let me just state
who's on the panel here
02:44:32.810 --> 02:44:35.190
and they'll jump
into the first question,
02:44:35.190 --> 02:44:36.987
but I want to thank Adam Wright,
02:44:36.987 --> 02:44:39.260
executive vice president operations
02:44:39.260 --> 02:44:43.070
and chief operating officer
for Pacific Gas and Electric,
02:44:43.070 --> 02:44:45.970
Caroline Winn, she's
the chief executive officer
02:44:45.970 --> 02:44:48.140
at San Diego Gas and Electric,
02:44:48.140 --> 02:44:50.665
Kevin Payne, she's
executive officer and president
02:44:50.665 --> 02:44:53.490
of Southern California Edison,
02:44:53.490 --> 02:44:56.420
Stuart Timson, the
director of procurement,
02:44:56.420 --> 02:44:59.380
for Liberty Park Water Utility.
02:44:59.380 --> 02:45:02.670
And I know that Scott
Drury will soon be joining us,
02:45:02.670 --> 02:45:06.260
chief executive officer for
Southern California Gas Company.
02:45:06.260 --> 02:45:08.900
So thank you first and
foremost for being here,
02:45:08.900 --> 02:45:10.660
I'm gonna adjust our
questions a little bit
02:45:10.660 --> 02:45:14.530
just based on the great
dialogue you've had this morning,
02:45:14.530 --> 02:45:17.490
and really no, the couple of questions.
02:45:17.490 --> 02:45:22.080
One of the things that we
heard from some of the suppliers
02:45:22.080 --> 02:45:24.842
this morning was really the relationship
02:45:24.842 --> 02:45:29.007
that they need to enhance
with the prime contractors
02:45:29.007 --> 02:45:30.887
and the role that you can provide
02:45:30.887 --> 02:45:34.470
in really ensuring that
they're doing more.
02:45:34.470 --> 02:45:36.501
Doing more on timely payments,
02:45:36.501 --> 02:45:39.930
doing more on greater outreach
for expanding procurement
02:45:39.930 --> 02:45:41.000
to diverse firms.
02:45:41.000 --> 02:45:45.440
So you could address what
is your organization doing
02:45:45.440 --> 02:45:48.141
to address this issue?
02:45:48.141 --> 02:45:51.590
So why don't you start in
the order of introduction?
02:45:51.590 --> 02:45:53.440
So I'm gonna go ahead and go to Adam.
02:45:55.600 --> 02:45:56.910
Thank you, Commissioner Guzman.
02:45:56.910 --> 02:45:59.027
Really appreciate you have enough here.
02:45:59.027 --> 02:46:01.340
Adam, your
voice is a little low.
02:46:01.340 --> 02:46:03.020
I'm sorry, if you could maybe.
02:46:03.020 --> 02:46:05.180
Thank you for telling me.
02:46:05.180 --> 02:46:08.163
How am I now?
Better.
02:46:09.950 --> 02:46:11.530
So thank you for
having us appreciate it.
02:46:11.530 --> 02:46:13.530
The opportunity to talk
about these important topics,
02:46:13.530 --> 02:46:15.690
could not agree more
with Commissioner Batjer.
02:46:15.690 --> 02:46:18.595
This is an area of focus for us.
02:46:18.595 --> 02:46:22.020
We do realize the
importance of better awareness
02:46:22.020 --> 02:46:24.084
with our prime contractors
02:46:24.084 --> 02:46:26.276
on the opportunities and the potential
02:46:26.276 --> 02:46:30.532
around hiring more
subcontractors that are diverse.
02:46:30.532 --> 02:46:33.286
One of our stands, we have five of them.
02:46:33.286 --> 02:46:36.210
I would say actually two of them.
02:46:36.210 --> 02:46:40.517
The first one is enjoyable
to work with and for PG&E,
02:46:40.517 --> 02:46:42.250
and the other stand we have
02:46:42.250 --> 02:46:45.426
is that our workshop create
prosperity for all customers.
02:46:45.426 --> 02:46:48.010
And when I look at that
and think through that,
02:46:48.010 --> 02:46:52.305
that really drives our behavior
in this space to make sure
02:46:52.305 --> 02:46:55.250
that subcontractors
and prime contractors
02:46:55.250 --> 02:46:57.330
buy the enjoyable to work for us.
02:46:57.330 --> 02:46:59.080
That means fewer disputes.
02:46:59.080 --> 02:47:00.670
That means better payment terms,
02:47:00.670 --> 02:47:01.827
that means working together to make sure
02:47:01.827 --> 02:47:06.250
that they have a pipeline
from a supply chain standpoint,
02:47:06.250 --> 02:47:11.180
that they can get their work
supply and perform it pursuant
02:47:11.180 --> 02:47:12.013
to the contract.
02:47:12.013 --> 02:47:13.360
So we are focused on this area.
02:47:13.360 --> 02:47:14.970
I think there's a big opportunity.
02:47:14.970 --> 02:47:17.701
I would say that our subcontractor spend
02:47:17.701 --> 02:47:22.310
with diverse suppliers is
623 million as of last year.
02:47:22.310 --> 02:47:27.310
That significant amount
our spend overall
02:47:27.370 --> 02:47:30.217
with diverse suppliers is $3.9 billion.
02:47:30.217 --> 02:47:33.227
And that is up 50% since 2017.
02:47:33.227 --> 02:47:35.620
And so we are enrolling
our prime contractors,
02:47:35.620 --> 02:47:38.870
and subcontractors to do work for us.
02:47:38.870 --> 02:47:42.133
And it's an area we
have to keep up with it on.
02:47:43.160 --> 02:47:44.970
Thank you, Adam, for
sharing these numbers.
02:47:44.970 --> 02:47:48.350
And maybe if you've been the
next speakers as we progressed.
02:47:48.350 --> 02:47:51.559
And I see Mr. Drury
Scott, thanks for joining us,
02:47:51.559 --> 02:47:54.023
(indistinct) this last discount.
02:47:55.778 --> 02:47:59.485
If you could please be more
specific about your practices
02:47:59.485 --> 02:48:01.532
that you're doing, as an example,
02:48:01.532 --> 02:48:04.460
one of the comments made this morning
02:48:04.460 --> 02:48:09.460
was that some companies
lacked a basic point of contact.
02:48:09.750 --> 02:48:11.560
So if you can really address
02:48:11.560 --> 02:48:13.563
how you're keeping clients accountable,
02:48:13.563 --> 02:48:18.563
whether it is having someone
that the subs can contact
02:48:18.915 --> 02:48:20.820
and things like that.
02:48:20.820 --> 02:48:24.567
Okay, so Caroline, I'm
gonna move to you, thank you.
02:48:24.567 --> 02:48:26.560
Okay, thank you, Commissioner.
02:48:26.560 --> 02:48:30.560
For us at FTG, our
subcontracting plan really includes
02:48:30.560 --> 02:48:33.070
collaboration with our prime suppliers,
02:48:33.070 --> 02:48:35.974
with our business units
and diverse suppliers.
02:48:35.974 --> 02:48:39.950
And it's just building on the
strong foundation and culture
02:48:39.950 --> 02:48:41.530
that we built at SDG&E.
02:48:41.530 --> 02:48:44.550
So we're building on
the strong foundation
02:48:44.550 --> 02:48:47.203
that is built on the
shoulders of many others
02:48:47.203 --> 02:48:48.570
that have come before me.
02:48:48.570 --> 02:48:50.260
But we've been able to demonstrate
02:48:50.260 --> 02:48:53.300
a really strong performance
in sub contracting
02:48:53.300 --> 02:48:54.947
with our diverse suppliers.
02:48:54.947 --> 02:48:56.721
And in 2022 specifically,
02:48:56.721 --> 02:49:01.580
I think we achieved almost
300 million or over 14%
02:49:01.580 --> 02:49:04.500
in supplier diversity's
sub contracting span.
02:49:04.500 --> 02:49:07.690
And that's an increase
of more than $100 million
02:49:07.690 --> 02:49:11.470
or nearly 60% in
subcontracting you've spent
02:49:11.470 --> 02:49:13.000
compared to 2019.
02:49:13.000 --> 02:49:16.160
I would say that doesn't
mean we're not stopping
02:49:16.160 --> 02:49:17.670
to find new and creative ways
02:49:17.670 --> 02:49:19.684
to bring in even more
diverse sub contracting.
02:49:19.684 --> 02:49:22.988
And when we contract with a prime,
02:49:22.988 --> 02:49:25.246
that's not a DBE,
02:49:25.246 --> 02:49:28.400
we're encouraging and
negotiate in during the process
02:49:28.400 --> 02:49:30.459
for them to commit
to a certain percentage
02:49:30.459 --> 02:49:33.556
of diverse span with the subcontracting.
02:49:33.556 --> 02:49:35.255
And I think those relationships
02:49:35.255 --> 02:49:38.110
and having that within the contract
02:49:38.110 --> 02:49:40.687
and the kind of approval to move forward
02:49:40.687 --> 02:49:42.704
is how we start our basis.
02:49:42.704 --> 02:49:44.477
I think additionally,
02:49:44.477 --> 02:49:48.000
our ambassadors are playing a major role
02:49:48.000 --> 02:49:49.392
in the success of this program
02:49:49.392 --> 02:49:52.850
and our ambassadors
are internal employees.
02:49:52.850 --> 02:49:55.120
So back, I don't know, in 2013,
02:49:55.120 --> 02:49:57.480
we had something like 12 ambassadors.
02:49:57.480 --> 02:50:00.070
Now we have around 300 ambassadors,
02:50:00.070 --> 02:50:02.660
and these are employees
that have lots of friends,
02:50:02.660 --> 02:50:05.250
not neighbors, they know people.
02:50:05.250 --> 02:50:09.540
And so they have really been
a great part of our building,
02:50:09.540 --> 02:50:13.080
more diverse suppliers and
more diverse subcontractors.
02:50:13.080 --> 02:50:17.130
And it's about bringing the
company into our company goals
02:50:17.130 --> 02:50:20.220
about making sure that
we have diverse suppliers
02:50:20.220 --> 02:50:22.631
that represent the
communities that we serve
02:50:22.631 --> 02:50:25.590
and the employees that
we have working at SDG&E.
02:50:25.590 --> 02:50:27.130
So I would tell you,
02:50:27.130 --> 02:50:29.800
in terms of the question around payment,
02:50:29.800 --> 02:50:32.294
we do have a supplier quick pay program,
02:50:32.294 --> 02:50:35.390
and that's paid net 15 days,
02:50:35.390 --> 02:50:40.390
no discounts for small diverse vendors
02:50:40.390 --> 02:50:42.140
that qualify in this area.
02:50:42.140 --> 02:50:44.070
And that's so important
given the comments
02:50:44.070 --> 02:50:47.210
that we've heard earlier
around being able to pay the bills,
02:50:47.210 --> 02:50:48.720
to hire more people.
02:50:48.720 --> 02:50:52.410
And that's been a success
for us and our customers
02:50:52.410 --> 02:50:53.680
and our suppliers.
02:50:53.680 --> 02:50:57.980
We have 88 or so suppliers
that participate in that program.
02:50:57.980 --> 02:50:59.790
And we're trying to grow that program
02:50:59.790 --> 02:51:01.434
and make sure that we'll get out.
02:51:01.434 --> 02:51:04.240
I would say maybe one
last thing that we're doing
02:51:04.240 --> 02:51:07.300
is we're working with our
community-based organizations.
02:51:07.300 --> 02:51:09.660
And we built quite strong relationships
02:51:09.660 --> 02:51:11.840
with our community-based organizations,
02:51:11.840 --> 02:51:14.340
not just for supplier diversity,
02:51:14.340 --> 02:51:16.700
but also for things like PSPS
02:51:16.700 --> 02:51:19.930
and helping us get the word
out to all of our constituents
02:51:19.930 --> 02:51:22.640
through channels that
they get information on.
02:51:22.640 --> 02:51:24.677
But specifically for diverse spend,
02:51:24.677 --> 02:51:28.240
we've been able to do
webinars with them on,
02:51:28.240 --> 02:51:29.906
how to thrive through the pandemic,
02:51:29.906 --> 02:51:34.906
and how to do business with
SDG&E, how to respond to RFPs.
02:51:35.820 --> 02:51:37.390
And then when we have RFPs,
02:51:37.390 --> 02:51:38.800
we're sending that information
02:51:38.800 --> 02:51:40.771
to our community-based organizations
02:51:40.771 --> 02:51:43.530
that they can get the word
out to their constituents.
02:51:43.530 --> 02:51:47.010
So we're doing a number of
things to try and make sure
02:51:47.010 --> 02:51:48.845
that our community is involved.
02:51:48.845 --> 02:51:50.891
We have a by-local campaign,
02:51:50.891 --> 02:51:55.120
we spent $100 million
just with local vendors
02:51:55.120 --> 02:51:58.870
within the region of San
Diego Gas Electric, SDGE
02:51:58.870 --> 02:52:00.170
And we're continuing that,
02:52:00.170 --> 02:52:02.600
but certainly more work to be done,
02:52:02.600 --> 02:52:04.660
but that proud of the progress.
02:52:04.660 --> 02:52:06.963
And we're gonna keep
increasing that number.
02:52:08.350 --> 02:52:09.810
Thank you so much, Caroline.
02:52:09.810 --> 02:52:13.710
And just as a quick,
follow-up, do your prime pledge
02:52:13.710 --> 02:52:16.013
to the quick pay program as well?
02:52:17.077 --> 02:52:18.690
Now, the quick pay program
02:52:18.690 --> 02:52:22.180
is only for certain qualified suppliers.
02:52:22.180 --> 02:52:25.970
So it's generally our smaller suppliers,
02:52:25.970 --> 02:52:30.070
Commissioner large with 25 FTEs or less,
02:52:30.070 --> 02:52:32.890
or maybe they do less
than $5 million in business.
02:52:32.890 --> 02:52:36.320
So we specifically targeted
that because we knew
02:52:36.320 --> 02:52:37.300
that was so important,
02:52:37.300 --> 02:52:40.357
especially for our
smaller diverse suppliers.
02:52:40.357 --> 02:52:42.990
Yes, I appreciate
that direct contracting
02:52:42.990 --> 02:52:45.740
is very important and is
there any requirements
02:52:45.740 --> 02:52:49.570
such as that with your primes
on what their subs look like,
02:52:49.570 --> 02:52:53.400
what kind of payment
timeline or they are paying
02:52:53.400 --> 02:52:54.273
to their sub?
02:52:55.861 --> 02:52:58.278
(indistinct)
02:52:59.180 --> 02:53:01.100
Yeah, for our primes,
02:53:01.100 --> 02:53:05.747
I think our general
contracting terms is net 45.
02:53:05.747 --> 02:53:09.680
I don't have the answer in
terms of the exact relationship
02:53:09.680 --> 02:53:13.459
in terms of how that
translates to the subcontractors.
02:53:13.459 --> 02:53:17.130
But I do know the subcontractors
that we're dealing with
02:53:17.130 --> 02:53:20.430
particularly can apply
to the quick pay program
02:53:20.430 --> 02:53:23.280
if their company qualifies for that.
02:53:23.280 --> 02:53:24.507
Okay, thank you.
02:53:24.507 --> 02:53:26.837
And certainly would
appreciate any follow-up
02:53:26.837 --> 02:53:28.530
in the future on that.
02:53:28.530 --> 02:53:31.113
Okay, let's turn to Mr. Payne Kevin.
02:53:34.110 --> 02:53:35.857
Kevin, I think you're muted.
02:53:39.104 --> 02:53:40.907
Yeah, it's my
comp, I'm not muted.
02:53:40.907 --> 02:53:42.093
There you go.
02:53:43.161 --> 02:53:44.763
You can hear me now?
02:53:45.600 --> 02:53:48.470
Yeah.
All right (indistinct)
02:53:48.470 --> 02:53:49.770
So appreciate this question.
02:53:49.770 --> 02:53:51.360
This is actually been an ongoing issue
02:53:51.360 --> 02:53:53.795
for a number of years, I
think as all of you know,
02:53:53.795 --> 02:53:57.710
and we do quite a bit
in this area of influence
02:53:57.710 --> 02:53:58.990
our prime contractors.
02:53:58.990 --> 02:54:02.630
So we fundamentally,
we share our commitment
02:54:02.630 --> 02:54:04.990
and expectations or this
02:54:04.990 --> 02:54:07.460
with our prime
suppliers and (indistinct)
02:54:07.460 --> 02:54:10.250
and we make them
accountable to it for results.
02:54:10.250 --> 02:54:13.170
So specifically our prime suppliers
02:54:13.170 --> 02:54:16.350
all submit a DVD subcontracting pledge,
02:54:16.350 --> 02:54:18.750
and we monitor their
progress every month.
02:54:18.750 --> 02:54:21.769
And any primes that are underperforming
02:54:21.769 --> 02:54:24.130
against their pledges have to provide
02:54:24.130 --> 02:54:25.680
a corrective action plan to us.
02:54:26.690 --> 02:54:28.810
We also, when we award contracts,
02:54:28.810 --> 02:54:31.180
we award points to prime contractors
02:54:31.180 --> 02:54:33.460
for the tier two pledges that they make.
02:54:33.460 --> 02:54:37.080
So they get an advantage
if they make a specific
02:54:37.080 --> 02:54:39.350
and significant tier two pledges.
02:54:39.350 --> 02:54:42.870
And so also, as we
have done for many years,
02:54:42.870 --> 02:54:46.329
we take steps to connect
our subcontractors with primes
02:54:46.329 --> 02:54:47.930
to increase opportunities.
02:54:47.930 --> 02:54:51.610
So we try to get them to have interface
02:54:51.610 --> 02:54:54.610
with all of our primes so
that they can see opportunity.
02:54:54.610 --> 02:54:58.316
We meet the primes of
that, and other things like that.
02:54:58.316 --> 02:55:00.160
I think this approach,
02:55:00.160 --> 02:55:02.940
which really is about goal
setting and accountability
02:55:02.940 --> 02:55:04.815
has been pretty effective.
02:55:04.815 --> 02:55:05.850
And last year,
02:55:05.850 --> 02:55:09.350
our diverse subcontracting
was, was at 25%,
02:55:09.350 --> 02:55:10.873
which was over $600 million.
02:55:11.760 --> 02:55:13.871
So we're pleased
with the kind of results
02:55:13.871 --> 02:55:15.883
that it's producing.
02:55:15.883 --> 02:55:18.070
On the topic that you mentioned quickly
02:55:18.070 --> 02:55:21.496
about having a point of contact.
02:55:21.496 --> 02:55:23.810
Every one of our contractors,
02:55:23.810 --> 02:55:26.470
whether they're a prime or
sub has the point of contact
02:55:26.470 --> 02:55:27.800
with our supplier diversity team.
02:55:27.800 --> 02:55:30.230
So they can always get to
whoever they need to get to
02:55:30.230 --> 02:55:31.400
in the company.
02:55:31.400 --> 02:55:34.690
And one thing that's a
bit of a philosophy of ours
02:55:34.690 --> 02:55:36.349
around subcontracting is that,
02:55:36.349 --> 02:55:40.320
we fully expect that
today's subcontractors
02:55:40.320 --> 02:55:42.230
may be prime contractors in the future.
02:55:42.230 --> 02:55:45.841
And so we treat our
whole set of contractors
02:55:45.841 --> 02:55:48.560
in a way where we can
help them grow and advance
02:55:48.560 --> 02:55:51.503
and do business with
us in different ways.
02:55:52.647 --> 02:55:55.470
Thank you, and it sounds
like the pledge process
02:55:55.470 --> 02:55:58.730
has worked really for
increasing the pool of the diverse.
02:55:58.730 --> 02:56:01.550
So maybe as we move
along in the conversation,
02:56:01.550 --> 02:56:05.530
we can continue to examine
how to keep the timeliness
02:56:05.530 --> 02:56:07.420
of payments that you ever able to do
02:56:07.420 --> 02:56:10.770
to your smaller diverse
firms and build that
02:56:10.770 --> 02:56:12.980
into the prime pledge.
02:56:12.980 --> 02:56:16.560
Okay, I'm gonna move over to Mr. Timson.
02:56:16.560 --> 02:56:18.167
Sure, thank you.
02:56:18.167 --> 02:56:20.303
Thank you for firstly
for the opportunity
02:56:20.303 --> 02:56:22.062
to participate today.
02:56:22.062 --> 02:56:25.230
So obviously I'm
representing Liberty Utilities.
02:56:25.230 --> 02:56:27.964
We're one of the smaller
utilities within the program.
02:56:27.964 --> 02:56:30.749
have been voted for
electric utility services
02:56:30.749 --> 02:56:35.700
in the California side of
Lake Tahoe and water utilities
02:56:35.700 --> 02:56:38.730
for Apple Valley and
parts of Los Angeles.
02:56:38.730 --> 02:56:42.490
So over the last three
years, since I arrived,
02:56:42.490 --> 02:56:43.390
we've been really working
02:56:43.390 --> 02:56:44.558
on our professional procurement approach
02:56:44.558 --> 02:56:46.328
in our Tahoe operations.
02:56:46.328 --> 02:56:49.037
And that's led to some drastic increases
02:56:49.037 --> 02:56:52.870
in the way that we actually
have attracted diverse vendors.
02:56:52.870 --> 02:56:54.760
And we've attracted a
number of new primes.
02:56:54.760 --> 02:56:58.396
The sub-contract and is an
area that's still in progress,
02:56:58.396 --> 02:57:00.783
but we now have standard templates
02:57:00.783 --> 02:57:03.620
when we issue our bits out.
02:57:03.620 --> 02:57:06.630
That includes subcontracting
plans from our primes.
02:57:06.630 --> 02:57:09.620
I will be honest that we
haven't got in an efficient
02:57:09.620 --> 02:57:12.810
tracking methodology and we
are working on that right now,
02:57:12.810 --> 02:57:15.690
but it's a program that
really has been in its infancy
02:57:15.690 --> 02:57:17.870
and is growing, growing rapidly.
02:57:17.870 --> 02:57:19.550
But we've also,
02:57:19.550 --> 02:57:22.960
we've attracted a number of
new problems that are diverse.
02:57:22.960 --> 02:57:27.420
And as such, we starting to
educate them on the requirements
02:57:27.420 --> 02:57:30.220
for sub-contracts and as
well as our existing problems
02:57:30.220 --> 02:57:32.420
or other non diverse price.
02:57:32.420 --> 02:57:35.090
In our downing Apple Valley operations,
02:57:35.090 --> 02:57:36.710
we've been a bit
more effective than that
02:57:36.710 --> 02:57:38.891
because the program has
been established a bit longer.
02:57:38.891 --> 02:57:42.069
And we work with our
colleagues in the CWA
02:57:42.069 --> 02:57:44.950
on a number of meet
the prime type events
02:57:44.950 --> 02:57:49.950
and working with our plans to
promote diverse subcontracting
02:57:50.515 --> 02:57:53.580
that's grown over the
last couple of years.
02:57:53.580 --> 02:57:54.890
We still have a long way to go.
02:57:54.890 --> 02:57:58.187
It's not the numbers that
the major utilities have,
02:57:58.187 --> 02:58:01.270
but we are working
actively with our primes
02:58:01.270 --> 02:58:05.300
and move our internal
stakeholders to drive that approach
02:58:05.300 --> 02:58:08.763
and encourage more
partnership, especially in this time.
02:58:10.215 --> 02:58:11.770
Okay, thank you, Stuart.
02:58:11.770 --> 02:58:15.590
It sounds like maybe Caroline
and Kevin have a good pledge,
02:58:15.590 --> 02:58:19.503
a format that you could borrow
from to give to your prime,
02:58:19.503 --> 02:58:22.796
and maybe Adams as well.
02:58:22.796 --> 02:58:26.600
Okay, so Mr. Drury, Scott,
thank you for being here
02:58:26.600 --> 02:58:27.760
just to catch you up.
02:58:27.760 --> 02:58:29.779
I don't know if you caught
the question at the outset,
02:58:29.779 --> 02:58:32.134
but a big part of the
discussion this morning
02:58:32.134 --> 02:58:35.573
has been around accountability of primes
02:58:35.573 --> 02:58:37.612
and really in two areas,
02:58:37.612 --> 02:58:41.192
one is the growth of
diversity in their subs,
02:58:41.192 --> 02:58:45.083
as well as the, what seems
to be a perennial issue
02:58:45.083 --> 02:58:46.535
of timely payments,
02:58:46.535 --> 02:58:48.498
that from the primes to the subs,
02:58:48.498 --> 02:58:52.590
and how you are really
working with the primes
02:58:52.590 --> 02:58:53.983
to get that performance.
02:58:55.409 --> 02:58:56.287
Thank you very
much, Commissioner,
02:58:56.287 --> 02:58:58.940
and I apologize for being
a moment or two late.
02:58:58.940 --> 02:59:00.410
I was having trouble with my email,
02:59:00.410 --> 02:59:02.733
which was ironic
because I was on earlier
02:59:02.733 --> 02:59:05.340
for some of the earlier
panels and I had no problem.
02:59:05.340 --> 02:59:07.850
And then a little bit of a
technical problem on my end,
02:59:07.850 --> 02:59:10.032
but thank you for understanding.
02:59:10.032 --> 02:59:13.572
This is an issue that's not new.
02:59:13.572 --> 02:59:16.470
It's been something that
we've all continued to work on
02:59:16.470 --> 02:59:17.726
over a long period of time.
02:59:17.726 --> 02:59:19.980
I think most of you
know, this is a space
02:59:19.980 --> 02:59:23.056
that I have some direct
experience in earlier in my career,
02:59:23.056 --> 02:59:24.700
and it's an area
02:59:24.700 --> 02:59:26.807
that I'm really particularly
passionate about.
02:59:26.807 --> 02:59:30.590
And I'm very pleased
with the overall progress
02:59:30.590 --> 02:59:33.543
that we've made at SoCalGas
over a long period of time.
02:59:34.891 --> 02:59:37.560
Last year was the 28th consecutive year
02:59:37.560 --> 02:59:40.726
in which we exceeded
the goals of GO 156.
02:59:40.726 --> 02:59:44.215
I know there were discussions
earlier about aspirations
02:59:44.215 --> 02:59:46.209
of going beyond the requirements.
02:59:46.209 --> 02:59:51.209
And we were at almost double
the requirements of GO 156.
02:59:51.910 --> 02:59:56.530
And that's the result of a
long history of leadership
02:59:56.530 --> 02:59:59.050
in this area that transcends
me and many others.
02:59:59.050 --> 03:00:01.430
And I think through that leadership,
03:00:01.430 --> 03:00:06.430
we've had some success
in this subcontract area.
03:00:07.776 --> 03:00:10.660
And I think it sort of gets
down to Kevin Newsome
03:00:10.660 --> 03:00:13.077
might've said that this
sort of, what do you expect
03:00:13.077 --> 03:00:15.070
and what do you hold
people accountable for?
03:00:15.070 --> 03:00:17.560
So we wanna lead in this space.
03:00:17.560 --> 03:00:19.000
We don't want to just lead California.
03:00:19.000 --> 03:00:22.010
SoCalGas wanna lead
the country in this space
03:00:22.010 --> 03:00:24.838
and we wanna be doing
work with like-minded people
03:00:24.838 --> 03:00:26.470
that share our values.
03:00:26.470 --> 03:00:29.850
So in order for us to achieve
what we want to achieve,
03:00:29.850 --> 03:00:32.150
we need business partners
that are gonna help us.
03:00:32.150 --> 03:00:36.810
And so we're very clear about
the expectations that we have
03:00:36.810 --> 03:00:38.780
for our prime contractors.
03:00:38.780 --> 03:00:41.672
We have plenty of processes to incense,
03:00:41.672 --> 03:00:46.033
their performance
around sub-contracting.
03:00:47.530 --> 03:00:51.910
We have a process where
our procurement executive,
03:00:51.910 --> 03:00:54.010
not just our supplier
diversity executives
03:00:54.010 --> 03:00:55.300
meets with those primes,
03:00:55.300 --> 03:00:57.666
including with the operating
leaders of the company
03:00:57.666 --> 03:00:59.390
that use them to make sure
03:00:59.390 --> 03:01:02.308
that there's like complete
alignment in the organization
03:01:02.308 --> 03:01:04.620
around what we required.
03:01:04.620 --> 03:01:05.843
It's not the supplier
diversity team over here.
03:01:05.843 --> 03:01:10.060
Although we have a great
team with Joe and others,
03:01:10.060 --> 03:01:11.980
it's our collective responsibility
03:01:11.980 --> 03:01:14.777
to make sure that these
large companies understand
03:01:14.777 --> 03:01:16.520
what we need from them.
03:01:16.520 --> 03:01:18.380
And we've had some success,
03:01:18.380 --> 03:01:21.490
there are certainly areas
that we can do better.
03:01:21.490 --> 03:01:23.812
And folks that have
not met our expectations
03:01:23.812 --> 03:01:27.620
and we've taken action,
whether it's a meeting
03:01:27.620 --> 03:01:30.204
with the operating officer,
03:01:30.204 --> 03:01:32.790
I've had a couple of
meetings myself with folks
03:01:32.790 --> 03:01:33.910
to make sure that they understand
03:01:33.910 --> 03:01:35.570
what we're trying to get done.
03:01:35.570 --> 03:01:38.280
We've tried to support their success
03:01:38.280 --> 03:01:41.213
by connecting them to
high quality subcontractors.
03:01:41.213 --> 03:01:43.590
We've done a lot of matchmaking events.
03:01:43.590 --> 03:01:48.590
So we've got probably one
third of all of our DVBE suppliers
03:01:50.320 --> 03:01:54.380
are working in a (indistinct)
contracting capacity.
03:01:54.380 --> 03:01:58.674
So we had 800 or some odd firms,
03:01:58.674 --> 03:02:01.890
a good number of those are sub.
03:02:01.890 --> 03:02:04.960
And someone made this point
earlier about growing the subs
03:02:04.960 --> 03:02:06.840
into prime contractors.
03:02:06.840 --> 03:02:09.487
And there's real opportunity here.
03:02:09.487 --> 03:02:14.487
1515 of our 25 largest
contractors are diverse firms,
03:02:16.860 --> 03:02:18.130
and not all of them,
03:02:18.130 --> 03:02:22.580
but many of them have
started as subs, right?
03:02:22.580 --> 03:02:25.477
So we just have to
continue to leave a space.
03:02:25.477 --> 03:02:28.294
And then on the quick pay issue,
03:02:28.294 --> 03:02:31.040
I think your point about the opportunity
03:02:31.040 --> 03:02:34.790
to look at what we can
do a level or two down
03:02:34.790 --> 03:02:36.190
in the supply chain.
03:02:36.190 --> 03:02:38.525
For SoCalGas we have
the same quick pay program
03:02:38.525 --> 03:02:40.650
that Caroline talked about.
03:02:40.650 --> 03:02:44.917
It is limited to a subset
of small diverse suppliers.
03:02:44.917 --> 03:02:48.891
I think we can look at how
we extend the concept of that.
03:02:48.891 --> 03:02:51.330
Even if it looks a little bit different
03:02:51.330 --> 03:02:53.663
into our a subcontract departments.
03:02:55.250 --> 03:02:56.083
Yes, thank you.
03:02:56.083 --> 03:02:58.010
And we, especially as we are continuing
03:02:58.010 --> 03:03:00.640
in the recovery stage and COVID-19,
03:03:00.640 --> 03:03:03.210
I think the expansion
of that to the subs
03:03:03.210 --> 03:03:05.000
is particularly important.
03:03:05.000 --> 03:03:06.770
I wanna acknowledge that many of you
03:03:06.770 --> 03:03:08.467
through your user programs
03:03:08.467 --> 03:03:10.850
and the leadership of
Commissioner Shiroma
03:03:10.850 --> 03:03:14.110
even went beyond that
and not just a quick pay,
03:03:14.110 --> 03:03:15.870
but a forward pay.
03:03:15.870 --> 03:03:17.835
So maybe that's
something you can consider
03:03:17.835 --> 03:03:21.670
as you look at really the success
03:03:21.670 --> 03:03:22.640
that you've all talked about,
03:03:22.640 --> 03:03:25.920
about building the capacity of
these subs to become prime.
03:03:25.920 --> 03:03:28.680
Okay, I'm gonna move on
to another question here.
03:03:28.680 --> 03:03:31.280
And this is gonna be a two-part
03:03:31.280 --> 03:03:33.390
that I'm gonna start
with the general one,
03:03:33.390 --> 03:03:37.060
and that is our climate
and our aging infrastructure.
03:03:37.060 --> 03:03:41.690
We are often dealing with
many of the challenges of course,
03:03:41.690 --> 03:03:43.662
with whether it's the old pipelines
03:03:43.662 --> 03:03:47.491
or old distribution or transmission,
03:03:47.491 --> 03:03:51.105
what's the impact of drought
and floods and so forth.
03:03:51.105 --> 03:03:53.970
And one of the question
03:03:53.970 --> 03:03:56.060
that we want to really highlight here
03:03:56.060 --> 03:03:58.986
is amidst all of these challenges,
03:03:58.986 --> 03:04:02.440
what are the opportunities that you see
03:04:02.440 --> 03:04:07.063
for some of these diverse
contractors to really fill in?
03:04:07.063 --> 03:04:10.960
What are the various that
you're seeing as maybe a gap
03:04:10.960 --> 03:04:13.220
or an area of service
that you anticipate
03:04:13.220 --> 03:04:15.103
is going to greatly expand?
03:04:16.550 --> 03:04:18.610
Why don't I go a little
different order here
03:04:18.610 --> 03:04:20.100
and start with the Waterside,
03:04:20.100 --> 03:04:23.348
particularly given the immense
amount of infrastructure
03:04:23.348 --> 03:04:28.163
that we know is in
need of desperate repair.
03:04:29.090 --> 03:04:34.090
Yeah, so on the Waterside
with Liberty, at least,
03:04:35.586 --> 03:04:40.270
there are opportunities we
have existing diverse vendors.
03:04:40.270 --> 03:04:43.012
And obviously what we're
looking at is potentially increased
03:04:43.012 --> 03:04:47.100
capital expenditure, new technologies.
03:04:47.100 --> 03:04:49.445
One of the things that
we have been investigating
03:04:49.445 --> 03:04:52.630
is obviously advanced
meter infrastructure.
03:04:52.630 --> 03:04:56.220
We're not there yet in terms
of having that case approved,
03:04:56.220 --> 03:04:59.380
but across the rest of the company
03:04:59.380 --> 03:05:01.220
where it has been in included,
03:05:01.220 --> 03:05:05.460
I actually worked with our
prime and we have subcontractors
03:05:05.460 --> 03:05:07.200
already in place that are diverse
03:05:07.200 --> 03:05:09.290
and qualified in California
03:05:09.290 --> 03:05:11.010
that are actually performing that work,
03:05:11.010 --> 03:05:14.810
which would be about 30% of
that overall program expenditure
03:05:14.810 --> 03:05:16.311
across the company.
03:05:16.311 --> 03:05:21.311
But as I say, I mean,
increase in expenditure,
03:05:21.350 --> 03:05:23.453
it means there's increasing opportunity.
03:05:23.453 --> 03:05:26.180
Not just on the Waterside,
we've seen them
03:05:26.180 --> 03:05:30.520
also for Calpico with
wildfire mitigation,
03:05:30.520 --> 03:05:32.870
replacing infrastructure.
03:05:32.870 --> 03:05:35.290
We brought on I think in the last year,
03:05:35.290 --> 03:05:36.160
we're a lot smaller.
03:05:36.160 --> 03:05:38.140
We don't have the billion dollar spend,
03:05:38.140 --> 03:05:42.510
but our spend was gone
from like 26 million to 42 million
03:05:42.510 --> 03:05:43.690
in two years.
03:05:43.690 --> 03:05:48.063
But our diversity support
went from 19% up to 36 1/2%
03:05:48.063 --> 03:05:52.090
by bringing in diverse
vendors for materials,
03:05:52.090 --> 03:05:54.620
for engineering and construction.
03:05:54.620 --> 03:05:56.340
And in fact, in the
last couple of weeks,
03:05:56.340 --> 03:05:59.560
we issued our first EPC style contract,
03:05:59.560 --> 03:06:02.377
but (indistinct) winning
bidder was actually ATB.
03:06:03.440 --> 03:06:06.110
So there are opportunities.
03:06:06.110 --> 03:06:08.605
It's one of the things we
are constantly working on
03:06:08.605 --> 03:06:11.870
is how can we get that
better forward forecast
03:06:11.870 --> 03:06:15.180
of many of the community
business organizations talk about.
03:06:15.180 --> 03:06:19.602
So where we have established
human structure now in Tahoe,
03:06:19.602 --> 03:06:22.700
we're working with them on
getting a better forward forecast
03:06:22.700 --> 03:06:25.360
for next year's construction
and the following year.
03:06:25.360 --> 03:06:28.750
So we can start engaging
and letting those organizations
03:06:28.750 --> 03:06:32.285
and their supply base underneath
them establish that capital
03:06:32.285 --> 03:06:34.430
that will enable them to better bid.
03:06:34.430 --> 03:06:35.890
We have some issues up in target
03:06:35.890 --> 03:06:38.100
because of its Geographical location.
03:06:38.100 --> 03:06:40.450
So a lot of the times we
have mobilization costs
03:06:40.450 --> 03:06:43.200
are a lot higher. So if we
can get that forward forecast,
03:06:43.200 --> 03:06:45.587
that actually creates a lot
more opportunities as well.
03:06:45.587 --> 03:06:48.740
And that's kind of the approach
that we've taken for Tahoe
03:06:48.740 --> 03:06:51.590
but also, as we centralize
our procurement approach
03:06:51.590 --> 03:06:54.270
across the industry, across the company,
03:06:54.270 --> 03:06:55.840
across the US and Canada,
03:06:55.840 --> 03:06:57.540
that's kind of one of the philosophies
03:06:57.540 --> 03:06:59.822
we are building into the
procurement approaches
03:06:59.822 --> 03:07:03.770
to get that in there
and give diversifies
03:07:03.770 --> 03:07:04.707
not just in California,
03:07:04.707 --> 03:07:08.886
but across the organization
more auction is. (indistinct)
03:07:08.886 --> 03:07:10.459
Great, thank you.
03:07:10.459 --> 03:07:11.292
Thank you, sir.
03:07:11.292 --> 03:07:12.582
Let me go on now to Scott.
03:07:12.582 --> 03:07:13.960
And just as a reminder,
03:07:13.960 --> 03:07:17.600
it is great to hear about
before and forecasting for sure,
03:07:17.600 --> 03:07:20.077
but let's think about
those opportunities
03:07:20.077 --> 03:07:22.640
and very interesting, the AMI one,
03:07:22.640 --> 03:07:24.600
what are the ones in your world Scott,
03:07:24.600 --> 03:07:26.117
that you're seeing as the opportunities
03:07:26.117 --> 03:07:28.153
for these diverse vendors?
03:07:29.020 --> 03:07:31.960
Yeah, I think there's
plenty of opportunity
03:07:31.960 --> 03:07:34.322
in our infrastructure integrity
management programs,
03:07:34.322 --> 03:07:38.460
our PCEP programs and the
whole portfolio of those programs.
03:07:38.460 --> 03:07:40.500
And we take an approach
they're much like we do
03:07:40.500 --> 03:07:41.470
for the total spend,
03:07:41.470 --> 03:07:44.420
where we try to look at what
do we think the supply market
03:07:44.420 --> 03:07:46.820
opportunity is gonna
be over a period of time,
03:07:46.820 --> 03:07:48.216
over a couple of year period, right?
03:07:48.216 --> 03:07:49.950
In a segment.
03:07:49.950 --> 03:07:53.020
And then segment of the
business, not a segment of pipe,
03:07:53.020 --> 03:07:57.293
and then identify
through our CBO partners
03:07:57.293 --> 03:08:00.860
and some of the
chambers who are the folks
03:08:00.860 --> 03:08:02.810
that could participate in those
03:08:02.810 --> 03:08:05.348
and how do we bring them together?
03:08:05.348 --> 03:08:11.170
So in April of last year,
we did a broad CBO event
03:08:11.170 --> 03:08:13.000
where we brought the operating leaders
03:08:13.000 --> 03:08:14.386
from different parts of the company
03:08:14.386 --> 03:08:16.061
to talk about what the opportunities
03:08:16.061 --> 03:08:18.270
in their space would be.
03:08:18.270 --> 03:08:21.500
And so I think there
continues to be big opportunity
03:08:21.500 --> 03:08:25.780
in sort of traditional utility
infrastructure projects,
03:08:25.780 --> 03:08:28.030
whether that's the logistics support
03:08:28.030 --> 03:08:30.590
to the actual construction work.
03:08:30.590 --> 03:08:32.360
I think that's an opportunity.
03:08:32.360 --> 03:08:34.320
I think, as we continue to work
03:08:34.320 --> 03:08:36.820
on like clean energy innovations,
03:08:36.820 --> 03:08:40.810
and we think about things
around the energy system
03:08:40.810 --> 03:08:42.530
of the future, we have to,
03:08:42.530 --> 03:08:44.720
someone said earlier
about kind of looking ahead,
03:08:44.720 --> 03:08:47.760
don't come to me and tell
me you have something today.
03:08:47.760 --> 03:08:50.090
If I knew a year from now,
that's where it was going.
03:08:50.090 --> 03:08:53.190
I could have been better
positioned to prepare.
03:08:53.190 --> 03:08:56.640
So my takeaway from that
is a lot of the RD&D work,
03:08:56.640 --> 03:08:57.797
the demonstration projects,
03:08:57.797 --> 03:09:01.350
we're doing some of the
applications that we have.
03:09:01.350 --> 03:09:04.620
We should be bringing
people in at that point in time,
03:09:04.620 --> 03:09:05.710
not at the point in time
03:09:05.710 --> 03:09:08.560
in which you all sort
of render a decision.
03:09:08.560 --> 03:09:11.190
And then I think we can always do better
03:09:11.190 --> 03:09:14.230
in the areas of professional services
03:09:14.230 --> 03:09:16.370
that have been like
a historical challenge.
03:09:16.370 --> 03:09:19.720
And so we're gonna
continue to push on that as well
03:09:19.720 --> 03:09:21.260
as try to line people up where we think
03:09:21.260 --> 03:09:22.660
there's lots of opportunity.
03:09:24.510 --> 03:09:26.187
[President Batjer]
Thank you, Kevin.
03:09:29.720 --> 03:09:32.230
Yes, climate and
aging infrastructure
03:09:32.230 --> 03:09:33.314
is what you mentioned.
03:09:33.314 --> 03:09:36.990
And I'll add maybe one or
two things to that in addition.
03:09:36.990 --> 03:09:39.242
But I think the obvious
thing here is that growth
03:09:39.242 --> 03:09:42.940
in the amount of work that we
do always brings opportunities
03:09:42.940 --> 03:09:44.073
for new entrance.
03:09:44.925 --> 03:09:48.220
We've seen that significantly
over the last several years
03:09:48.220 --> 03:09:50.462
with a wildfire, mitigation work,
03:09:50.462 --> 03:09:54.010
veggie management and
some of the aging replacements
03:09:54.010 --> 03:09:56.702
that we've been doing for
quite a number of years now.
03:09:56.702 --> 03:10:00.170
And they all present significant
needs for new capacity
03:10:00.170 --> 03:10:01.583
among our contractors.
03:10:01.583 --> 03:10:05.200
I would just add to that
kind of looking a bit forward
03:10:05.200 --> 03:10:07.208
electrification opportunities
03:10:07.208 --> 03:10:09.533
as we build towards
the clean energy future
03:10:09.533 --> 03:10:11.840
both in terms of
building electrification
03:10:11.840 --> 03:10:14.403
and charging infrastructure.
03:10:14.403 --> 03:10:18.287
Those I think are growing fast
and will be needed much more
03:10:18.287 --> 03:10:19.250
in the future,
03:10:19.250 --> 03:10:22.063
and they also represent
significant new opportunities
03:10:22.063 --> 03:10:25.440
with some of the new
work that we've added there.
03:10:25.440 --> 03:10:27.210
Transformation of the electric system,
03:10:27.210 --> 03:10:29.400
as I think we all
recognize needs to happen
03:10:29.400 --> 03:10:31.070
to meet California's goals.
03:10:31.070 --> 03:10:32.642
It's gonna require new approaches,
03:10:32.642 --> 03:10:35.400
new capacity, and new suppliers.
03:10:35.400 --> 03:10:37.150
And so I just see the growth
03:10:37.150 --> 03:10:39.170
of the overall amount of work going on,
03:10:39.170 --> 03:10:40.470
and the different types of work
03:10:40.470 --> 03:10:42.172
as being a significant opportunity
03:10:42.172 --> 03:10:44.670
for new suppliers to step in.
03:10:44.670 --> 03:10:48.310
And so we're working with
our existing and future suppliers
03:10:48.310 --> 03:10:50.797
to figure out how we
match those things up
03:10:50.797 --> 03:10:54.453
and who we can introduce
into this growing body of work.
03:10:56.036 --> 03:10:58.753
[President Batjer] Thank
you, very interesting, Caroline.
03:11:00.570 --> 03:11:03.160
Well, I'd have to agree
with what Scott and Kevin
03:11:03.160 --> 03:11:05.677
has talked about for
us at SDG&E certainly
03:11:05.677 --> 03:11:08.740
when we think about climate resiliency
03:11:08.740 --> 03:11:11.045
and the clean energy transition,
03:11:11.045 --> 03:11:14.528
we're doing a lot of
work in wildfire mitigation,
03:11:14.528 --> 03:11:17.853
electric vehicle,
infrastructure, charging,
03:11:18.820 --> 03:11:21.210
hydrogen decarbonized natural gas,
03:11:21.210 --> 03:11:23.730
as well as energy storage.
03:11:23.730 --> 03:11:27.010
I would say that there are
tremendous opportunities
03:11:27.010 --> 03:11:30.440
as our business continues
to expand into different areas
03:11:30.440 --> 03:11:32.170
or diverse businesses.
03:11:32.170 --> 03:11:34.870
As I think just about the
climate resiliency work
03:11:34.870 --> 03:11:38.970
that utilities have been working on,
03:11:38.970 --> 03:11:41.247
especially around wildfire mitigation.
03:11:41.247 --> 03:11:43.960
In the last couple of
years, last few years,
03:11:43.960 --> 03:11:47.170
we spent 43% of our
spending wildfire mitigation
03:11:47.170 --> 03:11:49.027
with diverse suppliers,
03:11:49.027 --> 03:11:51.210
and we're using the same approach
03:11:51.210 --> 03:11:53.810
for all of the other newer
cleaner technologies.
03:11:53.810 --> 03:11:57.180
And we look at our
projects really holistically
03:11:57.180 --> 03:11:59.540
in terms of breaking apart scope
03:11:59.540 --> 03:12:03.850
so that diverse businesses can bid into
03:12:03.850 --> 03:12:05.270
and have opportunities in their job.
03:12:05.270 --> 03:12:07.660
For example, some of the civil work
03:12:07.660 --> 03:12:10.310
and the trenching
and traffic control work,
03:12:10.310 --> 03:12:12.970
and even the project
management and logistic work
03:12:12.970 --> 03:12:16.170
are great opportunities
for diverse businesses
03:12:16.170 --> 03:12:18.970
to ensure contractors of various sizes,
03:12:18.970 --> 03:12:21.380
of various backgrounds and capabilities
03:12:21.380 --> 03:12:24.240
really have the
opportunity to participate
03:12:24.240 --> 03:12:26.450
in some of our largest bodies of spend
03:12:26.450 --> 03:12:29.090
and they can meet all the requirements.
03:12:29.090 --> 03:12:32.090
And I think that's certainly something
03:12:32.090 --> 03:12:35.130
we're taking into our
clean energy transition work
03:12:35.130 --> 03:12:36.700
because that model is working.
03:12:36.700 --> 03:12:40.760
And we've had lots of
success with diverse contractors
03:12:40.760 --> 03:12:44.372
in the civil construction
area, in project management,
03:12:44.372 --> 03:12:47.575
in supplies and logistics,
and the lay down yards
03:12:47.575 --> 03:12:50.030
and the land surveying.
03:12:50.030 --> 03:12:52.370
I think another area is really working
03:12:52.370 --> 03:12:56.530
with diverse suppliers in
technology and innovation, right?
03:12:56.530 --> 03:13:00.020
We have in our drone
program for wildfire mitigation,
03:13:00.020 --> 03:13:01.732
we have an LGBT business.
03:13:01.732 --> 03:13:04.920
That's a big partner and
a Black-owned business.
03:13:04.920 --> 03:13:08.230
So we're planning in this expanded world
03:13:08.230 --> 03:13:10.840
of trying to use more
artificial intelligence,
03:13:10.840 --> 03:13:13.750
trying to break into the
clean energy transition,
03:13:13.750 --> 03:13:15.270
that there's great success
03:13:15.270 --> 03:13:17.508
with some of the diverse suppliers
03:13:17.508 --> 03:13:20.670
and really trying to
make that opportunity
03:13:20.670 --> 03:13:21.503
by kind of looking at some
03:13:21.503 --> 03:13:23.863
of these big projects holistically.
03:13:25.550 --> 03:13:26.400
Thank you, Caroline,
03:13:26.400 --> 03:13:29.770
for that great example
in the threshold of 43%,
03:13:29.770 --> 03:13:32.657
I think it'd be great to see
that in the electrification
03:13:32.657 --> 03:13:34.513
and clean energy space.
03:13:35.710 --> 03:13:36.543
Okay, Adam.
03:13:37.988 --> 03:13:40.440
And I will circle back to
the first question very quickly.
03:13:40.440 --> 03:13:42.840
We have similar
programs where we connect
03:13:42.840 --> 03:13:44.150
with community-based organizations.
03:13:44.150 --> 03:13:47.330
We have a point of contact
for all of our diverse suppliers.
03:13:47.330 --> 03:13:48.991
We have director level task force
03:13:48.991 --> 03:13:51.607
that's focused on
matchmaking and all those things
03:13:51.607 --> 03:13:54.320
we wanted to clean that up
for you just to leave no doubt
03:13:54.320 --> 03:13:57.570
that we are equally engaged
as my colleagues on the panel.
03:13:57.570 --> 03:13:58.960
And then I would agree with Scott.
03:13:58.960 --> 03:14:00.880
I think professional services is a space
03:14:00.880 --> 03:14:02.840
that we can do much better in,
03:14:02.840 --> 03:14:05.049
I don't think we've had the
type of focus we need to there.
03:14:05.049 --> 03:14:07.943
I agree that with our
general infrastructure projects
03:14:07.943 --> 03:14:09.860
that we have and the amount of capital
03:14:09.860 --> 03:14:12.730
that we need to deploy to
make the grid more resilient
03:14:12.730 --> 03:14:15.872
as we electrify grow our
(indistinct) infrastructure.
03:14:15.872 --> 03:14:18.050
But I think for us more than anything,
03:14:18.050 --> 03:14:19.970
and it's sort of in the wildfire space,
03:14:19.970 --> 03:14:22.310
but it's undergrounding.
03:14:22.310 --> 03:14:24.259
We have a tremendous
program in front of us
03:14:24.259 --> 03:14:26.090
to underground 10,000 miles
03:14:26.090 --> 03:14:27.940
in our high fire threat district.
03:14:27.940 --> 03:14:30.340
That's been provides a great entry point
03:14:30.340 --> 03:14:34.280
for a lot of diverse businesses
and suppliers and vendors
03:14:34.280 --> 03:14:36.782
to break up the work like
Caroline mentioned as well,
03:14:36.782 --> 03:14:38.330
where they can do more civil work
03:14:38.330 --> 03:14:39.580
and focus on those aspects.
03:14:39.580 --> 03:14:41.530
But I do think there's
gonna be a great opportunity
03:14:41.530 --> 03:14:44.343
on more of the high
scale technical level work
03:14:44.343 --> 03:14:45.540
that we're gonna need,
03:14:45.540 --> 03:14:49.752
'cause it's gonna be a very
large long-term program
03:14:49.752 --> 03:14:52.483
that's gonna take as
many people as we can get
03:14:52.483 --> 03:14:54.462
to help us accomplish that.
03:14:54.462 --> 03:14:57.017
And there's gonna be great
opportunities and open doors
03:14:57.017 --> 03:14:59.817
for us to grow our
diverse supplier base.
03:14:59.817 --> 03:15:01.087
What a great example.
03:15:01.087 --> 03:15:03.260
And I certainly hope
you can meet that rule.
03:15:03.260 --> 03:15:06.240
I think we've heard from
different utilities today,
03:15:06.240 --> 03:15:09.200
even on our last panel, the 50% goal.
03:15:09.200 --> 03:15:11.890
And that would be a
fantastic set of projects
03:15:11.890 --> 03:15:14.430
to be able to gain that.
03:15:14.430 --> 03:15:17.810
I wanted to follow up on one
section that we talked about
03:15:17.810 --> 03:15:19.745
actually in our last two on box,
03:15:19.745 --> 03:15:22.777
and that has to do with
wildfire mitigation work.
03:15:22.777 --> 03:15:27.510
And as you know, this is
largely on the energy side,
03:15:27.510 --> 03:15:30.664
although it has also been
some drone work in the water
03:15:30.664 --> 03:15:32.884
and telco side as well.
03:15:32.884 --> 03:15:36.690
But unfortunately what
we heard again last year
03:15:36.690 --> 03:15:37.939
from the previous year,
03:15:37.939 --> 03:15:40.859
is just grown limitation
for some of the,
03:15:40.859 --> 03:15:43.930
even some of the primes that we heard it
03:15:43.930 --> 03:15:46.507
from a different association.
03:15:46.507 --> 03:15:48.900
I heard a most recently when I went
03:15:48.900 --> 03:15:50.910
to the top tribal conference
03:15:50.910 --> 03:15:54.252
and they spoke about
the insurance premiums.
03:15:54.252 --> 03:15:57.680
And if you could help us understand
03:15:57.680 --> 03:16:00.660
what you're doing to
mitigate those barriers
03:16:00.660 --> 03:16:02.410
to such high premiums,
03:16:02.410 --> 03:16:04.360
or maybe if there are solutions
03:16:04.360 --> 03:16:06.850
that are required beyond your control
03:16:06.850 --> 03:16:07.717
to feel free to share those,
03:16:07.717 --> 03:16:11.174
but really want to hear
about how you're really
03:16:11.174 --> 03:16:13.850
trying to solve for just
so that we can continue
03:16:13.850 --> 03:16:17.340
with such a high target as
Caroline, you mentioned,
03:16:17.340 --> 03:16:21.240
and maybe I'll let you start
since you have been successful
03:16:21.240 --> 03:16:24.513
on (indistinct) issue such high premium.
03:16:26.440 --> 03:16:29.190
Yeah, I mean it
certainly, again,
03:16:29.190 --> 03:16:30.583
taking that holistic approach,
03:16:30.583 --> 03:16:33.790
I think has helped us be more inclusive
03:16:33.790 --> 03:16:35.520
of our diverse suppliers,
03:16:35.520 --> 03:16:38.264
given the requirements of
insurance as you mentioned
03:16:38.264 --> 03:16:40.590
in the high fire threat areas.
03:16:40.590 --> 03:16:44.527
So we tend to let the prime contractors
03:16:44.527 --> 03:16:48.040
work in our HSDD that had the insurance
03:16:48.040 --> 03:16:50.190
are able to meet their
insurance requirements.
03:16:50.190 --> 03:16:52.150
And there we're kind
of splitting up the jobs
03:16:52.150 --> 03:16:54.500
so that diverse businesses that could do
03:16:54.500 --> 03:16:59.200
some of the civil workers
some of the traffic control
03:16:59.200 --> 03:17:00.710
or other types of work.
03:17:00.710 --> 03:17:02.567
So that's how we've been able to achieve
03:17:02.567 --> 03:17:07.223
the 43% within the
wildfire mitigation plan.
03:17:07.223 --> 03:17:10.840
We're also working with
our prime contractors,
03:17:10.840 --> 03:17:12.782
as many as said to
really create opportunities
03:17:12.782 --> 03:17:15.776
for them to connect
and learn the capabilities
03:17:15.776 --> 03:17:19.843
of diverse firms and who can
become their subcontractors.
03:17:19.843 --> 03:17:24.170
And we even have some
diverse prime contractors
03:17:24.170 --> 03:17:26.124
who are working in our
welfare mitigation plan
03:17:26.124 --> 03:17:28.190
who have developed diverse business
03:17:28.190 --> 03:17:30.909
subcontracting commitment,
so a diverse business,
03:17:30.909 --> 03:17:34.592
creating more diverse
businesses that he subcontract
03:17:34.592 --> 03:17:36.850
and kind of bring into
this whole process,
03:17:36.850 --> 03:17:38.071
I think really full circle.
03:17:38.071 --> 03:17:42.153
And I think I just thought
thing maybe that I mentioned
03:17:42.153 --> 03:17:44.553
is that I think companies
who do business with us,
03:17:44.553 --> 03:17:47.380
they know that we
prioritize the importance
03:17:47.380 --> 03:17:48.740
of doing business with companies
03:17:48.740 --> 03:17:52.177
that really reflect the diverse
communities that we serve.
03:17:52.177 --> 03:17:54.357
And I just remain encouraged
that we're gonna continue
03:17:54.357 --> 03:17:57.710
to attract qualify
businesses that can help us
03:17:57.710 --> 03:17:59.964
with our aggressive
supplier diversity goals.
03:17:59.964 --> 03:18:02.910
And again, they know that
that's part of doing business
03:18:02.910 --> 03:18:06.263
with SDG&E, and that's only
gonna continue to get stronger.
03:18:08.200 --> 03:18:10.050
Okay, thank you, Caroline.
03:18:10.050 --> 03:18:11.460
Maybe Kevin I'll turn to you.
03:18:11.460 --> 03:18:13.840
It sounds like Caroline, your strategy
03:18:13.840 --> 03:18:15.857
has been to really
break up the work there.
03:18:15.857 --> 03:18:19.150
And I recall very, very
generally in our last year
03:18:19.150 --> 03:18:21.223
that you spoke about a more direct role
03:18:21.223 --> 03:18:24.439
that Addison was
having to try to alleviate
03:18:24.439 --> 03:18:26.890
some of the insurance premium costs.
03:18:26.890 --> 03:18:31.304
If you could, have you
progress in that effort or evolve.
03:18:31.304 --> 03:18:33.777
Yeah, I'd be happy to
provide a summary of that.
03:18:33.777 --> 03:18:35.545
So I think it starts with,
03:18:35.545 --> 03:18:38.560
our objective has been
to nevertheless insurance
03:18:38.560 --> 03:18:40.248
requirements preclude the company,
03:18:40.248 --> 03:18:43.435
or prevent the company from
hiring a qualified suppliers.
03:18:43.435 --> 03:18:47.157
So one evidence of that
is over the last five years,
03:18:47.157 --> 03:18:49.770
our insurance requirements for suppliers
03:18:49.770 --> 03:18:53.923
of wildfire mitigation services
has decreased by over 50%.
03:18:53.923 --> 03:18:56.807
We look at individual insurance options
03:18:56.807 --> 03:18:58.740
for different suppliers
03:18:58.740 --> 03:19:00.847
based on the type of
services they're providing
03:19:00.847 --> 03:19:03.370
and the volume of the
services that they're providing.
03:19:03.370 --> 03:19:04.700
So that for example,
03:19:04.700 --> 03:19:06.212
the insurance requirement
doesn't overwhelm
03:19:06.212 --> 03:19:09.055
the size of the contract
and make it just in feasible
03:19:09.055 --> 03:19:11.604
for them to get that kind of insurance.
03:19:11.604 --> 03:19:15.002
One example might be one of
our management contractors.
03:19:15.002 --> 03:19:19.500
We worked with them to lower
their insurance requirement
03:19:19.500 --> 03:19:20.761
recently by $10 million.
03:19:20.761 --> 03:19:23.470
And so we look at each one individually,
03:19:23.470 --> 03:19:26.100
we try to work with them
and we try to not let insurance
03:19:26.100 --> 03:19:26.933
get in the way
03:19:26.933 --> 03:19:30.950
of an otherwise qualified
supplier relationship.
03:19:30.950 --> 03:19:34.993
Now, we of course have
also had significant increases
03:19:34.993 --> 03:19:37.910
in our premiums and
deductibles over the last five years.
03:19:37.910 --> 03:19:39.260
So I just would note
03:19:39.260 --> 03:19:41.532
that lowering the insurance
requirements for suppliers,
03:19:41.532 --> 03:19:45.300
it does translate directly
into greater uninsured,
03:19:45.300 --> 03:19:46.920
wild service for SCE.
03:19:46.920 --> 03:19:47.880
So that's an impact,
03:19:47.880 --> 03:19:51.710
but I think the importance
of the other piece
03:19:51.710 --> 03:19:54.580
that I talked about and
not letting it get in the way
03:19:54.580 --> 03:19:58.190
of otherwise qualified
supplier relationships
03:19:58.190 --> 03:20:00.657
is more important at this stage.
03:20:00.657 --> 03:20:02.002
The only other thing I would note
03:20:02.002 --> 03:20:05.320
is that we're actually
evaluating the feasibility
03:20:05.320 --> 03:20:10.320
of establishing a program
where SDE and our groups
03:20:10.400 --> 03:20:13.030
of our suppliers could
jointly obtain wildfire
03:20:13.030 --> 03:20:15.160
liability insurance in a
more cost effective way.
03:20:15.160 --> 03:20:18.270
And I would say this is kind
of early in the discussion,
03:20:18.270 --> 03:20:20.428
but I think these are
the kinds of situations
03:20:20.428 --> 03:20:23.237
where we all have to get
creative about how we do this.
03:20:23.237 --> 03:20:25.750
And we don't wanna overburden suppliers.
03:20:25.750 --> 03:20:27.890
We don't wanna overburden
the company with risks,
03:20:27.890 --> 03:20:30.410
and we need to find ways
to do it more cost-effectively.
03:20:30.410 --> 03:20:33.970
So that's been our approach
to try to work through it
03:20:33.970 --> 03:20:36.109
and to try to not let it get in the way,
03:20:36.109 --> 03:20:40.140
and to look for more
cost-effective ways to get everybody
03:20:40.140 --> 03:20:41.490
in the insurance they need.
03:20:43.100 --> 03:20:45.370
Thank you, and I'm just gonna
have Adam be the last one.
03:20:45.370 --> 03:20:48.660
to answer this question
because I'm taking a look
03:20:48.660 --> 03:20:50.240
at the clock here and I wanna make sure
03:20:50.240 --> 03:20:51.770
we get to my fellow Commissioner.
03:20:51.770 --> 03:20:54.670
So Adam, did you wanna
add to these strategies?
03:20:54.670 --> 03:20:56.673
Yes, I agree with
everything that's been said.
03:20:56.673 --> 03:20:58.912
We do have a technical
assistance program
03:20:58.912 --> 03:21:01.910
that we can provide
some education awareness
03:21:01.910 --> 03:21:04.370
on how to acquire the
right level of assurance.
03:21:04.370 --> 03:21:05.900
But I do think to Kevin's point,
03:21:05.900 --> 03:21:07.987
just the creativity taking more time,
03:21:07.987 --> 03:21:10.550
and we're looking at the type of work
03:21:10.550 --> 03:21:12.693
that we're gonna have a diverse supplier
03:21:12.693 --> 03:21:14.650
or vendor to provide for us,
03:21:14.650 --> 03:21:16.088
and really to try to match that up.
03:21:16.088 --> 03:21:18.125
I think a lot of times, unfortunately,
03:21:18.125 --> 03:21:20.550
because of the volume of work, again,
03:21:20.550 --> 03:21:22.016
our risk averse nature,
03:21:22.016 --> 03:21:25.100
we tend to have a blanket
standard for everything
03:21:25.100 --> 03:21:26.910
and everybody, and
it doesn't always fit.
03:21:26.910 --> 03:21:29.326
So having tailored requirements
when we see the need arise,
03:21:29.326 --> 03:21:31.670
but we have done work
where we've cut down the filling
03:21:31.670 --> 03:21:33.530
that we have in place,
03:21:33.530 --> 03:21:35.400
we've cut it down by more than half
03:21:35.400 --> 03:21:37.357
when we used to have
for backpack requirements,
03:21:37.357 --> 03:21:39.932
exits of a hundred
billion new vessels down
03:21:39.932 --> 03:21:42.740
at 50 to $25 million in some cases,
03:21:42.740 --> 03:21:43.573
but we have more work to do
03:21:43.573 --> 03:21:45.760
in that space education awareness.
03:21:45.760 --> 03:21:48.480
I do think if we spend a
little more time understanding
03:21:48.480 --> 03:21:49.670
and matching up again,
03:21:49.670 --> 03:21:51.630
the risk profile with the type of work
03:21:51.630 --> 03:21:53.290
with insurance requirements,
03:21:53.290 --> 03:21:54.610
we can do a much better job
03:21:54.610 --> 03:21:57.060
with really just the
sharper pencil to be honest.
03:21:58.680 --> 03:22:00.390
Well, I think we're
gonna look forward
03:22:00.390 --> 03:22:02.470
to being more engaged
with you on that topic
03:22:02.470 --> 03:22:05.210
and maybe building
on both of the strategies
03:22:05.210 --> 03:22:07.921
that you've talked about
today on both Caroline,
03:22:07.921 --> 03:22:11.914
the kind of breaking up
approach and Kevin and Adam,
03:22:11.914 --> 03:22:15.470
really (indistinct) step,
company by company
03:22:15.470 --> 03:22:18.536
approach of bringing down the premiums.
03:22:18.536 --> 03:22:22.970
Okay, I'm going to now turn
to my fellow Commissioners
03:22:22.970 --> 03:22:24.603
for any questions.
03:22:27.580 --> 03:22:29.270
Commissioner Rechtschaffen.
03:22:30.480 --> 03:22:33.870
Thank you, this morning, we
heard from Marquita Thomas,
03:22:33.870 --> 03:22:36.666
of the Los Angeles Gay and
Lesbian Chamber of Commerce
03:22:36.666 --> 03:22:41.666
talking about the multiple
barriers that gay and lesbian
03:22:41.670 --> 03:22:46.670
and other diverse suppliers
are having an impact,
03:22:46.870 --> 03:22:51.870
particularly she said
that that hurt members
03:22:52.670 --> 03:22:55.410
are finding that utilities
03:22:55.410 --> 03:22:58.783
are not welcoming to LGBT businesses.
03:22:58.783 --> 03:23:02.390
And there was a lack of
engagement with their contacts
03:23:02.390 --> 03:23:06.580
and that there, she
disputed that the assertion
03:23:06.580 --> 03:23:08.740
that there aren't qualified vendors,
03:23:08.740 --> 03:23:11.910
she said, there's a lot of
them that proceed significantly
03:23:11.910 --> 03:23:14.370
through the process, but are rejected.
03:23:14.370 --> 03:23:18.870
So I'm wondering if any
of you care to comment
03:23:18.870 --> 03:23:23.523
on how you're addressing the
concerns that Marquita raised.
03:23:28.200 --> 03:23:29.163
I'll take that.
03:23:30.210 --> 03:23:31.260
Yeah, I'll think that, Commissioner,
03:23:31.260 --> 03:23:32.240
I appreciate the question.
03:23:32.240 --> 03:23:34.129
I think this is, first of all,
03:23:34.129 --> 03:23:38.027
I want Marquita and everyone
else to know our door is open
03:23:38.027 --> 03:23:42.190
and we are accessible and
we're gonna do everything we can
03:23:42.190 --> 03:23:44.230
to help her constituents
03:23:44.230 --> 03:23:46.460
and the other diverse
businesses succeed.
03:23:46.460 --> 03:23:48.990
We have a very thoughtful,
03:23:48.990 --> 03:23:51.577
very well-resourced team to work in.
03:23:51.577 --> 03:23:54.106
And I wanna make sure that
we're connecting that team
03:23:54.106 --> 03:23:58.620
and our business
people to her constituents.
03:23:58.620 --> 03:24:03.220
We are trying to connect
our business leaders
03:24:03.220 --> 03:24:05.039
as well as our supplier
diversity leaders
03:24:05.039 --> 03:24:07.032
together and have them pair
03:24:07.032 --> 03:24:11.510
to connect with Marquita
and others, right?
03:24:11.510 --> 03:24:15.158
So it's not just a connection
to the supplier diversity team
03:24:15.158 --> 03:24:17.814
that supplier diversity
team should open up access
03:24:17.814 --> 03:24:21.000
to more contacts in the company.
03:24:21.000 --> 03:24:22.730
That's largely what it's about.
03:24:22.730 --> 03:24:25.800
And I think we've all
got more work to do
03:24:25.800 --> 03:24:26.940
all focus specifically on SoCalGas,
03:24:26.940 --> 03:24:29.210
but I think we've got more work to do
03:24:29.210 --> 03:24:34.210
in directly engaging in
that community and mining it
03:24:34.500 --> 03:24:39.500
for more high, potential
high viability businesses.
03:24:41.158 --> 03:24:43.330
I'm sure they're there,
03:24:43.330 --> 03:24:46.010
and I think it's like many
of the other dimensions
03:24:46.010 --> 03:24:49.309
of supplier diversity that
we've all been on this journey
03:24:49.309 --> 03:24:53.936
is when we focus on it and commit to it,
03:24:53.936 --> 03:24:56.437
we'll make progress on it.
03:24:56.437 --> 03:24:58.050
And it's I would say it's in,
03:24:58.050 --> 03:25:01.400
it's sort of the early
phases of that journey.
03:25:01.400 --> 03:25:04.730
You all are looking at some
things from a policy standpoint,
03:25:04.730 --> 03:25:05.740
as well as part of that.
03:25:05.740 --> 03:25:10.033
And I just want her and others
to know that we're committed
03:25:10.033 --> 03:25:12.670
to making sure that that dimension
03:25:12.670 --> 03:25:15.984
of our supplier diversity
program is as successful
03:25:15.984 --> 03:25:18.590
as the other dimensions,
the part program.
03:25:18.590 --> 03:25:20.740
And you can hold me
accountable to do that.
03:25:22.830 --> 03:25:25.350
I'll just add onto
my colleague, Scott
03:25:25.350 --> 03:25:27.090
comments around that.
03:25:27.090 --> 03:25:32.090
Last year we spent a half a
percent with LGBTQ suppliers
03:25:32.550 --> 03:25:35.489
and we're committed to growing up.
03:25:35.489 --> 03:25:39.423
And so I know there's an
open proceeding on this,
03:25:39.423 --> 03:25:42.140
where there's more being discussed.
03:25:42.140 --> 03:25:46.120
And we look forward to learning
more about more suppliers
03:25:46.120 --> 03:25:46.953
in this area.
03:25:46.953 --> 03:25:50.780
And it's got said, I think our
company sets tough goals
03:25:50.780 --> 03:25:53.070
and we figured out ways
to get to meet those goals.
03:25:53.070 --> 03:25:55.483
So our doors are always open to talking
03:25:55.483 --> 03:25:57.969
to more diverse suppliers.
03:25:57.969 --> 03:26:02.113
And especially in this
area that is a focus for us.
03:26:03.920 --> 03:26:06.400
I would excel up first and
look into it here at PG&E,
03:26:06.400 --> 03:26:10.340
but I know we've been very,
very strong in this space,
03:26:10.340 --> 03:26:12.480
going back to 2012,
03:26:12.480 --> 03:26:14.870
we've been recognized by
that community several times
03:26:14.870 --> 03:26:16.620
and different magazines.
03:26:16.620 --> 03:26:19.038
Our spend has doubled since 2018.
03:26:19.038 --> 03:26:22.638
If you go back and look
number $17 million last year,
03:26:22.638 --> 03:26:27.638
we've encouraged several
LGBT BE business owners
03:26:29.110 --> 03:26:30.920
to register with the CPUC.
03:26:30.920 --> 03:26:34.120
And we've seen four new
ones to their last couple of years.
03:26:34.120 --> 03:26:36.400
So we're very active and engaged,
03:26:36.400 --> 03:26:38.012
and I will look into
it just to make sure
03:26:38.012 --> 03:26:39.663
that rumors not true for us.
03:26:42.800 --> 03:26:44.530
Yep, if I could just
make a quick comment,
03:26:44.530 --> 03:26:45.598
I won't repeat what others have said.
03:26:45.598 --> 03:26:49.550
And Greta Scott gave us a
pretty good accounting of this.
03:26:49.550 --> 03:26:52.380
I agree with I'd be, I
wasn't able to be on,
03:26:52.380 --> 03:26:53.972
unfortunately to hear
her comments earlier,
03:26:53.972 --> 03:26:58.844
Commissioner Rechtschaffen,
but I would be very surprised
03:26:58.844 --> 03:27:02.160
to find out that they
were specifically related
03:27:02.160 --> 03:27:03.450
to Edison's program.
03:27:03.450 --> 03:27:05.081
And I would sure love
to know if they are,
03:27:05.081 --> 03:27:08.830
we have a designated person
on our supplier diversity team
03:27:08.830 --> 03:27:11.506
that deals with the LGBTQ community.
03:27:11.506 --> 03:27:14.630
We absolutely embraced doing
business with that community.
03:27:14.630 --> 03:27:18.490
There are some areas where
we probably are struggling
03:27:18.490 --> 03:27:20.254
to find enough suppliers
in the clearing house.
03:27:20.254 --> 03:27:22.010
So we've acknowledged that,
03:27:22.010 --> 03:27:25.540
but we do support in
the GO 156 proceeding.
03:27:25.540 --> 03:27:27.979
We've said that we support
a goal of a half a percent,
03:27:27.979 --> 03:27:30.777
and we look forward
to working to meet that.
03:27:30.777 --> 03:27:34.040
So anything that she
can provide to us directly
03:27:34.040 --> 03:27:36.892
that will help us make
this more effective,
03:27:36.892 --> 03:27:38.343
we would love to hear.
03:27:39.598 --> 03:27:42.210
And then lastly, very briefly,
03:27:42.210 --> 03:27:45.030
we've had a bit of a change
in personnel and Liberty,
03:27:45.030 --> 03:27:48.860
but any of the diverse CBOs
can reach out directly to me,
03:27:48.860 --> 03:27:50.397
I'm responsible for procurement
03:27:50.397 --> 03:27:52.236
for California, Arizona, and Texas.
03:27:52.236 --> 03:27:55.330
And I will make sure that put in touch
03:27:55.330 --> 03:27:56.863
with the relevant teams.
03:27:57.921 --> 03:28:02.520
I also know working with my
fellow colleagues of the CWA
03:28:02.520 --> 03:28:04.400
and also the Jordan utilities
03:28:04.400 --> 03:28:07.650
where all of the
supplier diversity program
03:28:07.650 --> 03:28:08.870
leads get together.
03:28:08.870 --> 03:28:11.150
There's a big focus on
this and working together.
03:28:11.150 --> 03:28:15.240
And I believe that the
joint utilities put forward
03:28:15.240 --> 03:28:18.967
a very thoughtful and for our
suggestion and recommendations
03:28:18.967 --> 03:28:21.853
to the utility in terms
of approach to this.
03:28:23.767 --> 03:28:27.009
Okay, I see President
Batjer is wrapping us up here.
03:28:27.009 --> 03:28:28.980
No, no, I really wasn't.
03:28:28.980 --> 03:28:30.397
I wanted to just add a comment
03:28:30.397 --> 03:28:33.020
to Commissioner Rechtschaffen's comment,
03:28:33.020 --> 03:28:38.020
and that is all of you are
very open to input increasing
03:28:40.710 --> 03:28:44.383
your business with the LGBTQ community.
03:28:44.383 --> 03:28:48.040
And one of the real
downsides for us not being able
03:28:48.040 --> 03:28:49.560
to be in the room together
03:28:49.560 --> 03:28:52.592
is you're not able to
literally talk with each other,
03:28:52.592 --> 03:28:57.250
and talk to some of
the people that we have
03:28:57.250 --> 03:28:58.320
on our panel this morning.
03:28:58.320 --> 03:29:01.270
So that's a downside to this,
03:29:01.270 --> 03:29:04.004
but hopefully instead of you saying,
03:29:04.004 --> 03:29:06.815
and I welcome that you said
that you have an open door,
03:29:06.815 --> 03:29:10.141
I would reach out to her.
03:29:10.141 --> 03:29:14.770
And she made some very
strong statements this morning
03:29:14.770 --> 03:29:17.320
on the panel as Commissioner
Rechtschaffen says.
03:29:17.320 --> 03:29:19.920
So pick up the phone and call her.
03:29:19.920 --> 03:29:22.493
I think that would
be very, very positive.
03:29:27.930 --> 03:29:30.460
Martha I've given up our breaks.
03:29:30.460 --> 03:29:33.830
So you might, some of
the other Commissioners
03:29:33.830 --> 03:29:35.787
may have at least one more question.
03:29:35.787 --> 03:29:38.943
Okay, let's see if
we will take one more.
03:29:40.267 --> 03:29:42.390
Commissioner Shiroma,
Commissioner Houck,
03:29:42.390 --> 03:29:44.140
Commissioner Shiroma.
03:29:47.260 --> 03:29:49.610
Well, I think folks are aware
03:29:49.610 --> 03:29:53.000
that I have the energy efficiency
03:29:53.000 --> 03:29:57.373
proceeding and the chair
for each a proceeding.
03:29:58.210 --> 03:30:03.210
The contractors who work
in both of those speak to that.
03:30:05.650 --> 03:30:09.934
We are at a point of
some big hurt on changes,
03:30:09.934 --> 03:30:14.343
some ramping up of
focus on what have you.
03:30:15.560 --> 03:30:20.560
I mean my question is to the
point of outreach education.
03:30:22.124 --> 03:30:24.473
Somebody had mentioned the webinars,
03:30:24.473 --> 03:30:29.473
really walking contractors
through how to do business
03:30:30.557 --> 03:30:33.420
with your utilities.
03:30:33.420 --> 03:30:36.850
And as you talk through the day,
03:30:36.850 --> 03:30:40.680
it tends to kind of vary poor.
03:30:40.680 --> 03:30:43.008
The energy and water utilities
03:30:43.008 --> 03:30:45.456
should be more experienced at this.
03:30:45.456 --> 03:30:47.880
You've got longer term relationships
03:30:47.880 --> 03:30:49.610
established your headquarters
03:30:49.610 --> 03:30:52.028
for the most part in California,
03:30:52.028 --> 03:30:56.450
but anything to share
during this pandemic
03:30:56.450 --> 03:31:00.990
that you're doing beyond what
usually two to allay the fears
03:31:00.990 --> 03:31:02.840
of small contractors,
03:31:02.840 --> 03:31:07.422
women owned this
disabled veterans and so forth
03:31:07.422 --> 03:31:12.080
on navigating this pandemic environment
03:31:12.080 --> 03:31:14.780
to compete for contracts.
03:31:14.780 --> 03:31:16.780
And to see ahead that forecast it,
03:31:16.780 --> 03:31:18.480
some of you had mentioned as well.
03:31:20.430 --> 03:31:22.180
Commissioner Shiroma,
maybe I would just add
03:31:22.180 --> 03:31:24.034
to my comments about doing webinars,
03:31:24.034 --> 03:31:28.320
our team specifically in
response to COVID-19 last year,
03:31:28.320 --> 03:31:30.283
they had seven series webinars
03:31:30.283 --> 03:31:33.565
in terms of how to survive
and thrive during the pandemic.
03:31:33.565 --> 03:31:36.810
And some of the topics they talked about
03:31:36.810 --> 03:31:38.730
is access to working capital,
03:31:38.730 --> 03:31:43.560
or non-profits helping small
businesses during COVID-19
03:31:43.560 --> 03:31:47.630
or technology and the
power of social media
03:31:47.630 --> 03:31:49.020
to responding to kind of RFP.
03:31:49.020 --> 03:31:52.560
So it really was kind
of trying to make sure
03:31:52.560 --> 03:31:56.597
that our small businesses
could thrive through this pandemic
03:31:56.597 --> 03:31:59.273
and many have, and I'm proud of the work
03:31:59.273 --> 03:32:02.000
that the team has done
with the community,
03:32:02.000 --> 03:32:06.594
but we're also reaching out to
our economic development EDCs
03:32:06.594 --> 03:32:09.152
and our chambers,
03:32:09.152 --> 03:32:12.230
our state and Regional
Chamber of Commerce,
03:32:12.230 --> 03:32:14.831
the Central Black Chamber of Commerce
03:32:14.831 --> 03:32:18.560
to do these types of meet
and greets and webinars
03:32:18.560 --> 03:32:23.560
and helping them understand
how to respond to a utility bid
03:32:24.490 --> 03:32:25.550
or a corporation bid.
03:32:25.550 --> 03:32:29.150
So I think many of these
techniques have been helpful
03:32:29.150 --> 03:32:32.048
in expanding our reach
and amplifying our voice
03:32:32.048 --> 03:32:35.740
and showing them that
it's not as big and scary
03:32:35.740 --> 03:32:37.000
to start out.
03:32:37.000 --> 03:32:39.408
And as the, I think
Kevin mentioned earlier,
03:32:39.408 --> 03:32:42.864
many of these small companies
do continue to just thrive
03:32:42.864 --> 03:32:46.750
and get bigger, and then
they there than the prime now.
03:32:46.750 --> 03:32:48.842
So it really is gratifying to see that
03:32:48.842 --> 03:32:50.763
over the course of time.
03:32:53.758 --> 03:32:58.049
I could offer a comment
on COVID-19 specifically
03:32:58.049 --> 03:33:01.863
when we looked back at
the last year and a half, plus.
03:33:03.249 --> 03:33:06.700
It actually through a series of measures
03:33:06.700 --> 03:33:07.533
we've put into place,
03:33:07.533 --> 03:33:09.650
not unlike what we did with
two thirds of our employees,
03:33:09.650 --> 03:33:12.052
when we sent them home
and have them working virtually,
03:33:12.052 --> 03:33:15.655
we've adopted similar virtual
processes with our suppliers.
03:33:15.655 --> 03:33:20.060
And actually we had our
highest DBE spins in history
03:33:20.060 --> 03:33:22.999
of our company at $2.4 billion in 2020.
03:33:22.999 --> 03:33:27.510
And actually our highest
overall spend as well.
03:33:27.510 --> 03:33:30.620
So it hasn't gotten in the way,
03:33:30.620 --> 03:33:32.320
but I will say that there were a lot
03:33:32.320 --> 03:33:34.543
of just as it was running
our company from the inside
03:33:34.543 --> 03:33:37.747
lots of measures that had to
be taken in order to do that.
03:33:37.747 --> 03:33:41.174
And again, we spent a lot
of time with our suppliers,
03:33:41.174 --> 03:33:43.550
and if there are things
that get in the way
03:33:43.550 --> 03:33:44.640
or things that are confusing,
03:33:44.640 --> 03:33:46.580
we wanna make sure we get that handled
03:33:46.580 --> 03:33:48.010
as quickly as possible.
03:33:48.010 --> 03:33:49.917
In the end, we only had
a few minor materials
03:33:49.917 --> 03:33:51.682
and services delays,
03:33:51.682 --> 03:33:53.740
and Commissioner Guzman Aceves,
03:33:53.740 --> 03:33:56.680
you asked me to weave in
and I'll do this very quickly,
03:33:56.680 --> 03:34:00.131
the payment question from
the very first round of questions,
03:34:00.131 --> 03:34:03.350
We did make changes to
payment terms to help cash flow
03:34:03.350 --> 03:34:04.993
for some of the smaller DVDs.
03:34:04.993 --> 03:34:08.740
We do that with smaller
DVDs that are our primes,
03:34:08.740 --> 03:34:10.240
and we work with each one of them.
03:34:10.240 --> 03:34:13.100
We even did quite a number
of same day payments,
03:34:13.100 --> 03:34:15.731
where that was necessary
to keep cash flow moving.
03:34:15.731 --> 03:34:19.409
And although we can't necessarily
intervene and require that
03:34:19.409 --> 03:34:21.770
with subcontractors in the prime,
03:34:21.770 --> 03:34:23.990
we reach out to the primes
whenever there's an issue
03:34:23.990 --> 03:34:27.710
and influence them to
adopt similar policies.
03:34:27.710 --> 03:34:32.360
So basically the set of virtual
meetings and accommodations
03:34:32.360 --> 03:34:34.460
that we've done to take
our business more virtual,
03:34:34.460 --> 03:34:38.253
we're successful with
our contractors as well.
03:34:40.130 --> 03:34:42.230
And that would be
very similar for SoCalGas,
03:34:42.230 --> 03:34:45.320
the blend of what Caroline
and Kevin talked about.
03:34:45.320 --> 03:34:48.390
And I think we actually
delivered more services
03:34:48.390 --> 03:34:53.260
to diverse suppliers in 2020
than we had in any other year,
03:34:53.260 --> 03:34:55.690
in terms of the number
of people participating
03:34:55.690 --> 03:34:58.539
in the different technical
assistance workshops
03:34:58.539 --> 03:35:01.990
and all the innovation
that was deployed there.
03:35:01.990 --> 03:35:03.476
And one of the measures that I look at
03:35:03.476 --> 03:35:08.179
was we added 135 new
diverse suppliers in 2020.
03:35:08.179 --> 03:35:11.300
And so it's not just about
the number of events
03:35:11.300 --> 03:35:13.390
that you hold or that you
go to, or who shows up,
03:35:13.390 --> 03:35:16.370
it's what happens from
those things over time?
03:35:16.370 --> 03:35:18.310
And I think it's definitely
made it more challenging,
03:35:18.310 --> 03:35:20.834
and we're all very eager
to get back in person.
03:35:20.834 --> 03:35:24.900
But I don't think that
I think the innovation
03:35:24.900 --> 03:35:27.300
that's been deployed across the industry
03:35:27.300 --> 03:35:29.895
across the companies
has helped us sustain
03:35:29.895 --> 03:35:33.323
a pretty high level of
performance across the board.
03:35:35.391 --> 03:35:37.530
I say the same for
(indistinct) as well,
03:35:37.530 --> 03:35:41.266
up 10% year over year,
and not spend in that area,
03:35:41.266 --> 03:35:43.620
lots of outreach that they can play
03:35:44.816 --> 03:35:49.640
probably don't work with
690 total diverse suppliers
03:35:49.640 --> 03:35:52.210
in our network, all
performing extremely well.
03:35:52.210 --> 03:35:55.273
I think our engagement
in our increase in spending
03:35:55.273 --> 03:35:57.870
and demonstrates a
continued through this pandemic
03:35:57.870 --> 03:36:00.807
to make sure that they
have opportunities with them.
03:36:02.254 --> 03:36:04.090
Well, thank you all very much.
03:36:04.090 --> 03:36:07.120
It's really interesting
to see the distinction
03:36:07.120 --> 03:36:09.700
and the overall trend, unfortunately,
03:36:09.700 --> 03:36:13.094
that went down while some
of you were the best ever.
03:36:13.094 --> 03:36:16.570
And I think it goes through
your foundational commitment
03:36:16.570 --> 03:36:19.044
as institutions to this.
03:36:19.044 --> 03:36:22.135
So let's, I think we're
gonna have to wrap it up,
03:36:22.135 --> 03:36:24.372
but I want to thank
you all for your time,
03:36:24.372 --> 03:36:28.157
and for your innovation
over the last couple of years.
03:36:28.157 --> 03:36:30.560
And I look forward to all of us
03:36:30.560 --> 03:36:33.850
working through some of
these still challenging issues
03:36:33.850 --> 03:36:36.956
and some of the innovation
that you put in place.
03:36:36.956 --> 03:36:39.106
President Batjer,
(indistinct) back to you.
03:36:40.760 --> 03:36:44.050
Thank you so much,
Commissioner Guzman Aceves,
03:36:44.050 --> 03:36:49.050
excellent panel, excellent
questions, and great responses.
03:36:49.340 --> 03:36:50.173
Thank you all.
03:36:50.173 --> 03:36:51.560
Have a very good afternoon
03:36:51.560 --> 03:36:54.859
and hope you can continue to listen in.
03:36:54.859 --> 03:36:55.983
Okey-doke.
03:36:56.860 --> 03:37:01.860
We are now moving on to
our fourth panel of the afternoon,
03:37:02.530 --> 03:37:07.530
and this will be on the
Community Choice Aggregators,
03:37:09.469 --> 03:37:12.490
the CCAs, and it will be moderated
03:37:12.490 --> 03:37:15.670
by Commissioner Rechtschaffen.
03:37:15.670 --> 03:37:18.150
The panelists will provide an update
03:37:18.150 --> 03:37:20.030
on how community choice aggregators
03:37:20.030 --> 03:37:22.340
are incorporating supplier diversity
03:37:22.340 --> 03:37:25.493
into their organization business model.
03:37:26.350 --> 03:37:29.357
Representatives will provide
updates on outreach efforts,
03:37:29.357 --> 03:37:31.730
challenges, and best practices
03:37:31.730 --> 03:37:34.387
to encourage participation in GO 156.
03:37:35.441 --> 03:37:38.098
Rechtschaffen, over to you.
03:37:38.098 --> 03:37:42.450
Thank you, and I see
that we have our panelists.
03:37:42.450 --> 03:37:45.253
I'd like to welcome everybody.
03:37:45.253 --> 03:37:49.310
Our panelists today are Stephanie Chan,
03:37:49.310 --> 03:37:52.560
senior policy counsel
from Marin Clean Energy,
03:37:52.560 --> 03:37:54.705
Carole Hakstian, senior risk officer
03:37:54.705 --> 03:37:57.510
for Sonoma Clean Power Authority,
03:37:57.510 --> 03:38:02.510
Vanessa Gerber, operations,
East Bay Community Energy.
03:38:03.610 --> 03:38:04.583
I put your title,
03:38:04.583 --> 03:38:08.351
I guess your director
of operations, apologies.
03:38:08.351 --> 03:38:11.090
And Matt Langer, who is
the chief operating officer
03:38:11.090 --> 03:38:13.336
with Clean Power Alliance.
03:38:13.336 --> 03:38:18.336
Welcome your organizations
are all new formal participants
03:38:18.377 --> 03:38:23.377
to the supplier diversity
program and is by SD 255,
03:38:23.660 --> 03:38:26.290
as we've heard earlier, we do appreciate
03:38:26.290 --> 03:38:27.580
that some of you have been involved
03:38:27.580 --> 03:38:31.848
in prior on box and
supplier diversity efforts
03:38:31.848 --> 03:38:33.396
as Stephanie Green noted.
03:38:33.396 --> 03:38:36.897
This was the first year
of reporting for CPAs.
03:38:36.897 --> 03:38:40.690
And the collective
reporting was about 0.01%.
03:38:42.949 --> 03:38:45.560
Although as Stephanie pointed out
03:38:47.756 --> 03:38:50.870
that includes energy expenditures.
03:38:50.870 --> 03:38:53.770
And when we look at spending
on just goods and services,
03:38:53.770 --> 03:38:58.048
the numbers are higher,
closer to 2%, and I understand
03:38:58.048 --> 03:39:01.530
that's gonna be reported
differently going forward.
03:39:01.530 --> 03:39:03.690
All four of you filed reports,
03:39:03.690 --> 03:39:08.690
which I commend to people
listening very, very informative.
03:39:10.048 --> 03:39:14.150
They note, all note that
CPAs is public entities
03:39:14.150 --> 03:39:17.171
are in a very different
position than private utilities.
03:39:17.171 --> 03:39:22.160
You are precluded from prop
by prop 209 from setting targets
03:39:22.160 --> 03:39:25.327
based on race or gender or ethnicity.
03:39:25.327 --> 03:39:29.701
You do not request nor do
you know the status of suppliers
03:39:29.701 --> 03:39:32.046
and whether the diverse
businesses have certified
03:39:32.046 --> 03:39:37.046
with the clearing until
after contracts are executed.
03:39:38.860 --> 03:39:42.040
Given this, you as CCH states,
03:39:42.040 --> 03:39:43.682
a different set of
challenges than other utilities,
03:39:43.682 --> 03:39:48.170
along with some of the
ones we've identified today,
03:39:48.170 --> 03:39:50.150
we're very interested in
hearing how the first year
03:39:50.150 --> 03:39:53.780
of your program participation
went, lessons you've learned,
03:39:53.780 --> 03:39:56.423
and how you can make
progress going forward.
03:39:58.980 --> 03:40:01.150
There's a series of
questions I'm gonna ask,
03:40:01.150 --> 03:40:03.600
and ask all the panelists to respond.
03:40:03.600 --> 03:40:05.450
They know these questions.
03:40:05.450 --> 03:40:08.700
I'm gonna ask you to
limit your response to each,
03:40:08.700 --> 03:40:10.260
to about a minute and a half
03:40:10.260 --> 03:40:12.544
so that we can get
through all five or six
03:40:12.544 --> 03:40:15.120
or all four panelists.
03:40:15.120 --> 03:40:16.140
We don't have a lot of time,
03:40:16.140 --> 03:40:20.330
but I think we can do
that and if we do that well,
03:40:20.330 --> 03:40:23.000
I think we'll hit on all the
themes you want to hit on.
03:40:23.000 --> 03:40:24.710
But before we do that,
03:40:24.710 --> 03:40:26.360
I thought it would be helpful to start
03:40:26.360 --> 03:40:28.323
with a little bit of level-setting.
03:40:29.489 --> 03:40:33.250
In addition to compliance with Prop 209
03:40:33.250 --> 03:40:36.428
PCAs are differently
situated than other utilities
03:40:36.428 --> 03:40:40.640
with respect to General
Order 156 in other ways.
03:40:40.640 --> 03:40:42.930
And Stephanie Chan,
03:40:42.930 --> 03:40:45.206
if you could just describe
some for the group,
03:40:45.206 --> 03:40:48.863
some of these key differences,
why they're significant.
03:40:50.660 --> 03:40:51.989
Absolutely, thanks
so much Commissioner
03:40:51.989 --> 03:40:54.630
and I welcome my
colleagues here on the panel
03:40:54.630 --> 03:40:56.810
to chime in as well.
03:40:56.810 --> 03:40:59.540
The one that you noted of
course is the elephant in the room
03:40:59.540 --> 03:41:00.690
around Prop 209
03:41:00.690 --> 03:41:03.237
so we won't spend too
much additional time here.
03:41:03.237 --> 03:41:05.811
But one of the things that I
noticed some earlier today
03:41:05.811 --> 03:41:10.480
is they mentioned that GO 156
has been around for 35 years,
03:41:10.480 --> 03:41:11.880
which is excellent
03:41:11.880 --> 03:41:14.839
and that time has afforded
many of the reporting companies,
03:41:14.839 --> 03:41:16.839
a lot of time to build relationships
03:41:16.839 --> 03:41:19.250
and practices and teams and programs
03:41:19.250 --> 03:41:22.180
that really support the
numbers that you see
03:41:22.180 --> 03:41:23.530
in their reports.
03:41:23.530 --> 03:41:26.360
By contrast MCE is sort
of the elder statesmen
03:41:26.360 --> 03:41:27.610
of the CCA community
03:41:27.610 --> 03:41:30.040
and we've been around for 11 years.
03:41:30.040 --> 03:41:32.800
There are probably
folks in the audience here
03:41:32.800 --> 03:41:37.370
who were born after GO
156 was implemented.
03:41:37.370 --> 03:41:39.680
So just by virtue of of time,
03:41:39.680 --> 03:41:42.220
we've got a little bit of
catching up to do here
03:41:42.220 --> 03:41:44.835
and we're committed to doing so.
03:41:44.835 --> 03:41:48.920
Another big difference
here is that DCAs,
03:41:48.920 --> 03:41:51.560
we have created to buy and sell power,
03:41:51.560 --> 03:41:52.800
the actual electricity,
03:41:52.800 --> 03:41:54.290
the juice that flows through the lines,
03:41:54.290 --> 03:41:57.710
and more than 90% of our
annual operating budgets
03:41:57.710 --> 03:41:59.530
are spent buying power.
03:41:59.530 --> 03:42:01.320
And as has been noted,
03:42:01.320 --> 03:42:02.964
this is a sector that
has not historically
03:42:02.964 --> 03:42:07.478
been terribly diverse,
either for CCAs or for IOU.
03:42:07.478 --> 03:42:11.194
Much of for example the
spend that was discussed
03:42:11.194 --> 03:42:14.600
in the last panel around
wildfire mitigation,
03:42:14.600 --> 03:42:16.450
all of that happens on the distribution
03:42:16.450 --> 03:42:19.161
and transmission side
of the electric sector,
03:42:19.161 --> 03:42:21.510
the poles and wires and substations
03:42:21.510 --> 03:42:24.230
that get the juice
from point A to point B
03:42:24.230 --> 03:42:28.245
and all of that procurement
still resides with the IOU.
03:42:28.245 --> 03:42:30.440
So that's a significant difference,
03:42:30.440 --> 03:42:32.830
as well as a significant
opportunity for CCAs
03:42:32.830 --> 03:42:36.100
to really lean into the
generation side of things.
03:42:36.100 --> 03:42:38.580
And then the last
thing I'll note is that,
03:42:38.580 --> 03:42:40.552
most if not all of the companies
03:42:40.552 --> 03:42:44.740
that you're hearing from today
are a lot larger than CCAs.
03:42:44.740 --> 03:42:48.423
Some of us are multi
county CCAs like MCE,
03:42:49.360 --> 03:42:51.650
but many of us just
serve a single county
03:42:51.650 --> 03:42:52.960
or a single city.
03:42:52.960 --> 03:42:57.380
And that may mean that we have
fewer procurement opportunity
03:42:57.380 --> 03:42:59.890
than smaller dollar
procurement opportunities,
03:42:59.890 --> 03:43:02.320
but that also creates some
opportunities, for example,
03:43:02.320 --> 03:43:05.650
to really partner with our
local small businesses,
03:43:05.650 --> 03:43:09.850
which is one of the main
areas of focus for all of us.
03:43:09.850 --> 03:43:12.380
So we may be small,
but we are very mighty
03:43:12.380 --> 03:43:15.887
and we are looking forward
to demonstrating to you all
03:43:15.887 --> 03:43:17.230
and to the diverse
supplier to community,
03:43:17.230 --> 03:43:19.233
what we can really do in this space.
03:43:21.800 --> 03:43:23.030
Thank you very much, Stephanie,
03:43:23.030 --> 03:43:25.328
that's a very helpful
overview level setting.
03:43:25.328 --> 03:43:28.660
So let's turn to this past year.
03:43:28.660 --> 03:43:30.670
I'm gonna ask each of you to again,
03:43:30.670 --> 03:43:33.620
if you can limit yourself to
about a minute and a half,
03:43:33.620 --> 03:43:34.900
just describe at a high level,
03:43:34.900 --> 03:43:38.460
your outreach education and
technical assistance efforts.
03:43:38.460 --> 03:43:40.330
We know it's an unusual
year 'cause of COVID
03:43:40.330 --> 03:43:43.132
in any particular
success as strikes you.
03:43:43.132 --> 03:43:44.893
Matt let me start with you.
03:43:50.540 --> 03:43:52.312
Thank you, Commissioner.
03:43:52.312 --> 03:43:55.623
I'd say that just maybe
touching a little bit
03:43:55.623 --> 03:43:58.703
on the first question
does lead into that.
03:43:58.703 --> 03:44:01.530
So I think one of the
big things for CPAs,
03:44:01.530 --> 03:44:03.510
we're about three years old.
03:44:03.510 --> 03:44:06.510
So this is all a new effort for us
03:44:06.510 --> 03:44:09.780
and really everything we
do is a new effort for us
03:44:09.780 --> 03:44:12.230
and it's been a really
great learning experience.
03:44:13.160 --> 03:44:16.120
And I'd say as we've
gone through the process
03:44:16.120 --> 03:44:16.953
in the last year,
03:44:16.953 --> 03:44:19.440
it's one of the big, big
things we've uncovered
03:44:19.440 --> 03:44:23.560
as we've dug deeper is that
we have some existing suppliers
03:44:23.560 --> 03:44:26.010
who are GO 156 eligible.
03:44:26.010 --> 03:44:27.900
It just needs to be
helped through the process
03:44:27.900 --> 03:44:29.560
of getting certified.
03:44:29.560 --> 03:44:31.880
And I think everybody out there
03:44:31.880 --> 03:44:34.243
has had a similar
experience in that space.
03:44:35.210 --> 03:44:37.517
So that's a pleasant surprise
when we found that out
03:44:37.517 --> 03:44:39.514
and it's something that I think
03:44:39.514 --> 03:44:41.830
changes our thinking a little bit
03:44:41.830 --> 03:44:44.216
about the importance of our outreach
03:44:44.216 --> 03:44:46.770
and the importance really of providing
03:44:46.770 --> 03:44:50.100
that technical support
for folks to get registered
03:44:50.100 --> 03:44:52.940
if they're not otherwise registered.
03:44:52.940 --> 03:44:55.311
The other thing that's come
to our attention through this,
03:44:55.311 --> 03:44:57.910
along those same lines is that
03:44:57.910 --> 03:44:59.960
there's certain vendors
who have participated
03:44:59.960 --> 03:45:04.190
in other supplier
certification once for example,
03:45:04.190 --> 03:45:06.530
we work closely with
the county of Los Angeles
03:45:06.530 --> 03:45:09.880
who has a separate
certification that they use.
03:45:09.880 --> 03:45:11.912
And so I think identifying folks
03:45:11.912 --> 03:45:14.333
and businesses that are participating
03:45:14.333 --> 03:45:16.456
in this other certifications
03:45:16.456 --> 03:45:19.845
and trying to get them
onto the GO 156 certification
03:45:19.845 --> 03:45:22.993
is a real opportunity that
has come to our attention
03:45:22.993 --> 03:45:25.200
as we've looked at this more deeply
03:45:25.200 --> 03:45:27.283
and so we gonna pursue it further.
03:45:29.420 --> 03:45:33.200
Carole, Sonoma Clean
Powers in probably around longer,
03:45:33.200 --> 03:45:35.080
second longest after Marin Clean Energy.
03:45:35.080 --> 03:45:37.143
Can you describe your outreach
03:45:37.143 --> 03:45:40.630
educational technical
assistance this year?
03:45:40.630 --> 03:45:43.160
Yes, sure thank
you Commissioner.
03:45:43.160 --> 03:45:44.961
So, I would say our biggest
03:45:44.961 --> 03:45:47.700
outreach success story this year
03:45:47.700 --> 03:45:51.800
is the opening of the
Advanced Energy Center
03:45:51.800 --> 03:45:54.220
in Downtown Santa Rosa.
03:45:54.220 --> 03:45:57.530
The center was for those
who may not be familiar
03:45:57.530 --> 03:46:00.150
with the center where
we welcome everyone
03:46:00.150 --> 03:46:02.923
to come down and check it out.
03:46:03.860 --> 03:46:08.710
It was partially funded by the
CEC Electric Research Program
03:46:08.710 --> 03:46:11.915
and the way we can,
I can describe it best
03:46:11.915 --> 03:46:16.915
is that it's a hub for education,
for outreach, for events,
03:46:17.676 --> 03:46:19.950
for contractor networking,
03:46:19.950 --> 03:46:22.732
and really a place where
to learn about products
03:46:22.732 --> 03:46:25.040
that promote electrification.
03:46:25.040 --> 03:46:29.062
So not just for the customers,
but also for developers
03:46:29.062 --> 03:46:30.763
and for contractors.
03:46:31.760 --> 03:46:35.808
So at the center we offer
technical training to contractors,
03:46:35.808 --> 03:46:39.625
suppliers in Spanish and in English.
03:46:39.625 --> 03:46:40.850
And then through the center,
03:46:40.850 --> 03:46:45.850
we also partner with local
and diverse suppliers that,
03:46:45.960 --> 03:46:50.960
and contractors who
we promote their work
03:46:51.160 --> 03:46:55.650
and try to get customers to contact them
03:46:55.650 --> 03:46:57.323
and work closely with them.
03:46:58.190 --> 03:47:01.290
So that's our, probably
our largest outreach
03:47:02.130 --> 03:47:03.943
opportunity this year.
03:47:04.810 --> 03:47:07.890
Another success story would be,
03:47:07.890 --> 03:47:10.569
we actually have been very
eagerly spreading the word
03:47:10.569 --> 03:47:15.185
about the benefits
of GO 156 certification
03:47:15.185 --> 03:47:20.160
to our current
contractors and suppliers.
03:47:20.160 --> 03:47:24.640
So we've been actively
encouraging them to go to the website
03:47:24.640 --> 03:47:29.353
and helping them fill out
the certification, the forms.
03:47:30.460 --> 03:47:35.460
So we have secured an
additional five certified vendors
03:47:36.001 --> 03:47:38.483
this year, and that may not be,
03:47:38.483 --> 03:47:40.640
we have one more on the
way, that may not sound like a lot
03:47:40.640 --> 03:47:44.000
that's actually double
what we had last year,
03:47:44.000 --> 03:47:47.550
so we're up to 12 from six last year.
03:47:47.550 --> 03:47:49.096
So we're very happy about that.
03:47:49.096 --> 03:47:52.970
And we realized we still
have a long way to go,
03:47:52.970 --> 03:47:55.736
but we're working hard to
find ways to increase diversity
03:47:55.736 --> 03:47:57.343
in our procurement.
03:48:03.495 --> 03:48:07.290
And next is East Bay
Community Energy.
03:48:07.290 --> 03:48:09.070
Yes, thank you, Commissioner.
03:48:09.070 --> 03:48:12.930
So I think briefly in response to
03:48:12.930 --> 03:48:16.120
having to do things differently
in response to the pandemic,
03:48:16.120 --> 03:48:17.570
we all had to had to pivot
03:48:17.570 --> 03:48:20.360
and some of our
community outreach efforts
03:48:20.360 --> 03:48:25.042
and communications like
everyone we had to pivot as well,
03:48:25.042 --> 03:48:26.850
but we are really
proud that we were able
03:48:26.850 --> 03:48:30.470
to quickly pull together and strategize,
03:48:30.470 --> 03:48:34.410
distribute $2.2 million to
community relief grants
03:48:34.410 --> 03:48:38.420
in efforts in our service
area in Alameda County
03:48:38.420 --> 03:48:39.700
and the City of Tracy,
03:48:39.700 --> 03:48:41.850
and one of the grant
recipients through our
03:48:42.870 --> 03:48:47.180
oversubscribed grant
process, just given the needs.
03:48:47.180 --> 03:48:51.950
Ended up being a
certified diverse supplier,
03:48:51.950 --> 03:48:53.390
and I was even an I&R.
03:48:53.390 --> 03:48:54.990
And so that was again,
03:48:54.990 --> 03:48:57.520
something that we're
grateful to be able to see
03:48:57.520 --> 03:49:00.550
and report in our 2020 report.
03:49:00.550 --> 03:49:04.150
In terms of our outreach
and education efforts in 2020,
03:49:04.150 --> 03:49:06.743
as we've all alluded to really building
03:49:06.743 --> 03:49:09.010
the foundation of our programs,
03:49:09.010 --> 03:49:11.938
we found that even just the act of
03:49:11.938 --> 03:49:15.250
sending out our
questionnaire to our contractors
03:49:15.250 --> 03:49:18.459
helps us really gather a
lot of level-setting data.
03:49:18.459 --> 03:49:21.140
Really building a baseline
of who our contractors are,
03:49:21.140 --> 03:49:23.170
because of course we
don't gather that information
03:49:23.170 --> 03:49:26.190
until after we have
contracted with them.
03:49:26.190 --> 03:49:30.399
And in that we also identified
a number of contractors
03:49:30.399 --> 03:49:33.610
that were eligible,
but not yet certified
03:49:33.610 --> 03:49:37.270
and so just this questionnaire,
sending an information,
03:49:37.270 --> 03:49:41.810
sending process, was
incredibly informative
03:49:41.810 --> 03:49:43.000
to many of our vendors
03:49:44.050 --> 03:49:46.240
and we're continuing
to use that information
03:49:46.240 --> 03:49:47.740
to build programming efforts
03:49:47.740 --> 03:49:52.325
as we've learned more
about our cohorts and vendors
03:49:52.325 --> 03:49:56.970
in regards to their
eligibility or certified status.
03:49:56.970 --> 03:49:59.540
Otherwise we've
incorporated standard language
03:49:59.540 --> 03:50:01.320
into our solicitation materials
03:50:02.330 --> 03:50:06.467
and are also building out
partnerships with local ethnic
03:50:06.467 --> 03:50:08.190
and diverse chambers of commerce
03:50:08.190 --> 03:50:10.220
and so a lot of this will continue
03:50:10.220 --> 03:50:13.850
to build upon the beginnings
of our work in 2020
03:50:13.850 --> 03:50:15.591
going forward.
03:50:15.591 --> 03:50:18.800
And in terms of technical
assistance in the questionnaire
03:50:19.720 --> 03:50:22.291
sending process and the
follow-up with those eligible,
03:50:22.291 --> 03:50:23.886
but not yet certified vendors,
03:50:23.886 --> 03:50:26.520
we also offer technical assistance.
03:50:26.520 --> 03:50:29.030
That's something that
we're proud to be able to offer
03:50:29.030 --> 03:50:32.110
and plan to continue to
make that exceedingly clear
03:50:32.110 --> 03:50:33.550
to our vendors.
03:50:33.550 --> 03:50:34.790
The last thing I'll note
03:50:34.790 --> 03:50:37.240
is in terms of this particular success,
03:50:37.240 --> 03:50:39.890
is that we did find in this first year
03:50:39.890 --> 03:50:41.960
kinda gathering information
through the questionnaires
03:50:41.960 --> 03:50:46.150
that our local businesses
are often diverse businesses.
03:50:46.150 --> 03:50:48.890
We had seven certified
businesses in 2020,
03:50:48.890 --> 03:50:50.810
three of those are
local to our service area,
03:50:50.810 --> 03:50:54.443
which supports our local
first procurement process.
03:50:54.443 --> 03:50:56.649
Three others were in support
03:50:56.649 --> 03:50:58.447
and surrounding bay area counties
03:50:58.447 --> 03:51:00.530
and the last one was
also California business.
03:51:00.530 --> 03:51:04.610
So, we think that that's
very supportive data
03:51:04.610 --> 03:51:07.423
to support our local first
procurement approach.
03:51:09.110 --> 03:51:11.860
Thank you, Stephanie,
I'm gonna turn to you now
03:51:11.860 --> 03:51:15.500
and since we're gonna,
the next question after this
03:51:15.500 --> 03:51:18.054
was gonna be, what are you
gonna do differently next year?
03:51:18.054 --> 03:51:20.540
I'll ask you to answer both questions.
03:51:20.540 --> 03:51:22.710
The first one, what
did you do this year?
03:51:22.710 --> 03:51:24.410
What were your successes?
03:51:24.410 --> 03:51:27.360
And then what are you plan
to do differently next year?
03:51:27.360 --> 03:51:29.660
And then we'll turn
to the other panelists
03:51:29.660 --> 03:51:31.555
for their different plans.
03:51:31.555 --> 03:51:34.470
I do wanna ask you all in your answer
03:51:34.470 --> 03:51:35.720
to this next question
03:51:37.114 --> 03:51:38.130
if you've been listening,
03:51:38.130 --> 03:51:41.180
you've heard today
that major impediments
03:51:41.180 --> 03:51:43.697
for diverse suppliers
especially small ones
03:51:43.697 --> 03:51:44.830
who prop payment.
03:51:44.830 --> 03:51:47.050
So I'm wondering if you could also just,
03:51:47.050 --> 03:51:49.290
if you do offer prompt payment
03:51:49.290 --> 03:51:50.970
and if not, if you plan to offer it?
03:51:50.970 --> 03:51:54.880
So, Stephanie you have a
compound question there.
03:51:54.880 --> 03:51:56.391
What have you done this year?
03:51:56.391 --> 03:51:57.224
What are you plan to
do differently next year?
03:51:57.224 --> 03:52:00.380
And then we'll turn to the others plans,
03:52:00.380 --> 03:52:01.880
different plans for next year?
03:52:03.380 --> 03:52:04.560
Absolutely, thanks
Commissioner.
03:52:04.560 --> 03:52:05.893
I hope I get all of those.
03:52:06.850 --> 03:52:08.139
In terms of outreach and education
03:52:08.139 --> 03:52:10.790
in addition to the kinds of efforts
03:52:10.790 --> 03:52:12.600
that many of my colleagues
here have mentioned,
03:52:12.600 --> 03:52:16.068
I wanna highlight MCEs,
Certify & Amplify event,
03:52:16.068 --> 03:52:20.130
which we will be hosting
for the fourth time next year.
03:52:20.130 --> 03:52:23.210
And this is an event
that encourages suppliers
03:52:23.210 --> 03:52:26.960
who are eligible but
not yet certified to certify.
03:52:26.960 --> 03:52:28.610
Provide some technical assistance
03:52:28.610 --> 03:52:30.930
and encourages by promoting the benefits
03:52:30.930 --> 03:52:33.390
of getting certified.
03:52:33.390 --> 03:52:36.820
In the past, we have had
representatives from the CPUC,
03:52:36.820 --> 03:52:38.320
from the Clearinghouse,
03:52:38.320 --> 03:52:40.930
as well as some PG&E
supplier diversity team
03:52:40.930 --> 03:52:44.930
and our own local and
diverse suppliers participate
03:52:44.930 --> 03:52:46.040
in this event.
03:52:46.040 --> 03:52:48.302
And, one of the silver linings
03:52:48.302 --> 03:52:52.390
resulting from the
pandemic was that in 2020
03:52:52.390 --> 03:52:55.040
Certify & Amplify went
virtual for the first time,
03:52:55.040 --> 03:52:56.860
which meant that we
had a much broader reach
03:52:56.860 --> 03:52:58.260
and a much broader audience.
03:52:58.260 --> 03:53:00.280
And it turned out that our attendees,
03:53:00.280 --> 03:53:03.410
we had more attendees from
outside of MCEs service area
03:53:03.410 --> 03:53:06.200
than we did from within
MCEs service area,
03:53:06.200 --> 03:53:07.570
which we actually consider a win
03:53:07.570 --> 03:53:09.740
when it comes to sort
of spreading the word
03:53:09.740 --> 03:53:12.362
about the benefits of certification
03:53:12.362 --> 03:53:16.570
and answering some questions
about how to get certified.
03:53:16.570 --> 03:53:18.711
To the question of prompt payment,
03:53:18.711 --> 03:53:22.940
I am pleased to report that
MCE standard contract terms
03:53:22.940 --> 03:53:25.970
for non-energy contracts are Net 30
03:53:25.970 --> 03:53:28.770
and that's for all non-energy contracts.
03:53:28.770 --> 03:53:30.434
And particularly for
our small businesses,
03:53:30.434 --> 03:53:34.118
we often pay those
invoices in less than 30 days
03:53:34.118 --> 03:53:35.800
in recognition in part,
03:53:35.800 --> 03:53:39.917
because we know that
that cashflow is a challenge.
03:53:39.917 --> 03:53:42.820
I will also go beyond that and say that
03:53:42.820 --> 03:53:47.140
for some of our contracts
where we're able to do so,
03:53:47.140 --> 03:53:50.210
we will waive some of our
liability insurance requirements
03:53:50.210 --> 03:53:52.280
on contracts for sole proprietors
03:53:52.280 --> 03:53:53.652
or with sole proprietors,
03:53:53.652 --> 03:53:56.351
so that they're not disqualified
from holding a contract
03:53:56.351 --> 03:53:59.740
with us simply because they
can't hold an insurance policy
03:53:59.740 --> 03:54:03.910
as high as what we might
ask for in an standard contract.
03:54:03.910 --> 03:54:06.033
Which of course can
significantly reduce barriers
03:54:06.033 --> 03:54:07.953
to entry for sole proprietors
03:54:07.953 --> 03:54:09.872
where that insurance
requirement doesn't need
03:54:09.872 --> 03:54:11.878
to be quite that high.
03:54:11.878 --> 03:54:14.730
In terms of efforts next
year I think the thing
03:54:14.730 --> 03:54:16.880
that we're really gonna be
doubling down on next year,
03:54:16.880 --> 03:54:19.237
which we've already
planted the seeds for this year
03:54:19.237 --> 03:54:21.116
is trying to spread the word
03:54:21.116 --> 03:54:23.780
to our renewable development partners
03:54:23.780 --> 03:54:26.410
about the importance
of incorporating diversity
03:54:26.410 --> 03:54:28.400
into their own supply chain.
03:54:28.400 --> 03:54:29.233
And it's a bit challenging
03:54:29.233 --> 03:54:32.670
because that's, that all of
the diverse subcontracting
03:54:32.670 --> 03:54:34.420
or all of the subcontracting
03:54:34.420 --> 03:54:37.310
where many of the
diverse suppliers can play
03:54:37.310 --> 03:54:40.230
happens before the facility comes online
03:54:40.230 --> 03:54:41.960
and starts delivering power
03:54:41.960 --> 03:54:43.540
but nonetheless, those are dollars
03:54:43.540 --> 03:54:48.540
that are flowing into local
businesses, small businesses,
03:54:48.600 --> 03:54:49.680
diverse businesses
03:54:49.680 --> 03:54:52.740
and we wanna make sure
that our renewable suppliers
03:54:52.740 --> 03:54:55.430
understand those value of considering
03:54:55.430 --> 03:54:57.240
and incorporating supplier diversity
03:54:57.240 --> 03:54:58.820
into their own operations.
03:54:58.820 --> 03:55:00.930
So we'll really be looking forward
03:55:00.930 --> 03:55:03.270
to working with our developer partners
03:55:03.270 --> 03:55:05.080
both next year and in the coming years
03:55:05.080 --> 03:55:07.523
to really start to make
some progress there.
03:55:09.120 --> 03:55:11.003
Thank you, Vanessa
can you talk about
03:55:11.003 --> 03:55:13.005
what you gonna do differently next year
03:55:13.005 --> 03:55:15.463
and prompt payment?
03:55:16.440 --> 03:55:18.320
Yeah, absolutely.
03:55:18.320 --> 03:55:19.153
In terms of next year,
03:55:19.153 --> 03:55:21.190
we are actively in the process
03:55:21.190 --> 03:55:24.080
should be in the coming week or two,
03:55:24.080 --> 03:55:26.880
having a dedicated
web page on our website
03:55:26.880 --> 03:55:31.310
about supplier diversity to
have a constant resource
03:55:31.310 --> 03:55:36.310
available for vendors,
03:55:36.720 --> 03:55:39.223
whether EDC vendors or not
03:55:39.223 --> 03:55:42.070
to have information access to
03:55:42.070 --> 03:55:44.420
supplier diversity
program as well as our offer
03:55:45.470 --> 03:55:47.090
for technical assistance.
03:55:47.090 --> 03:55:50.580
We'll also on there highlight the value
03:55:50.580 --> 03:55:53.790
of the supplier
Clearinghouse for contractors
03:55:53.790 --> 03:55:56.194
who may have their own
supplier diversity programs
03:55:56.194 --> 03:55:59.900
and may want to source certified leads
03:55:59.900 --> 03:56:02.450
for their subcontractors
03:56:02.450 --> 03:56:05.072
and being able to also
provide technical assistance
03:56:05.072 --> 03:56:08.240
for folks to navigate that
process should they need it,
03:56:08.240 --> 03:56:11.830
that technical assistance
that we offered includes that
03:56:11.830 --> 03:56:14.033
as well as the certification process.
03:56:14.930 --> 03:56:16.390
I think something I mentioned earlier,
03:56:16.390 --> 03:56:18.847
really building those
relationships with some of our local
03:56:18.847 --> 03:56:21.102
ethnic and diverse chambers
03:56:21.102 --> 03:56:23.510
is going to be key as we continue
03:56:23.510 --> 03:56:28.210
to build a really broad
and holistic network
03:56:28.210 --> 03:56:30.460
of the business community
and our service area
03:56:30.460 --> 03:56:31.850
and surrounding area
03:56:31.850 --> 03:56:36.850
and working on potentially
doing some more events,
03:56:37.197 --> 03:56:38.700
if that's helpful, if not,
03:56:38.700 --> 03:56:41.330
absolutely continuing to
promote MCEs wonderful
03:56:41.330 --> 03:56:44.293
Certify & Amplify event every year,
03:56:44.293 --> 03:56:46.343
it's a fantastic resource.
03:56:47.680 --> 03:56:50.350
And in terms of prompt payment
03:56:51.460 --> 03:56:55.053
our standard contract is Net 45,
03:56:55.930 --> 03:56:59.600
but we are consistent in providing that.
03:56:59.600 --> 03:57:01.500
So I think for this year going forward,
03:57:01.500 --> 03:57:05.070
it's continuing to build
upon our processes
03:57:05.070 --> 03:57:07.692
and really building
very strong relationships
03:57:07.692 --> 03:57:10.433
that continue to grow
throughout our service area.
03:57:12.500 --> 03:57:14.423
Carole, Sonoma Clean Power.
03:57:18.930 --> 03:57:22.120
Sure, thank you Commissioner.
03:57:22.120 --> 03:57:24.020
So I'll start with the prompt payment.
03:57:26.772 --> 03:57:29.950
We have a couple of programs
where we pay in advance.
03:57:31.730 --> 03:57:34.430
We pay, we have an advanced
energy rebuild partnership
03:57:34.430 --> 03:57:36.684
with PG&E and in that program,
03:57:36.684 --> 03:57:39.700
we pay the admin costs upfront
03:57:39.700 --> 03:57:42.330
and in PG&E later processes
the portion of the payment
03:57:42.330 --> 03:57:44.580
from Energy Efficiency Fund.
03:57:44.580 --> 03:57:48.990
We also have the extra
program self-generation,
03:57:48.990 --> 03:57:53.460
the solar program where
we pay the full incentive
03:57:53.460 --> 03:57:55.240
to contractors upfront,
03:57:55.240 --> 03:58:00.230
and then they submit the
SG publication on their behalf,
03:58:00.230 --> 03:58:01.310
and then that amount of state
03:58:01.310 --> 03:58:04.170
that those dollars are paid back.
03:58:04.170 --> 03:58:08.374
So we're nimble in our payments.
03:58:08.374 --> 03:58:11.180
We feel like we have a great way
03:58:11.180 --> 03:58:15.483
to reduce the number of days and make,
03:58:16.580 --> 03:58:21.300
have opportunities for
our customers to engage
03:58:21.300 --> 03:58:22.930
and participate in programs
03:58:22.930 --> 03:58:25.530
through this kind of support.
03:58:25.530 --> 03:58:30.530
As far as changes for
next year we actually,
03:58:31.000 --> 03:58:34.640
this year have begun
adding language in our RFOs
03:58:34.640 --> 03:58:36.780
to encourage diverse businesses
03:58:36.780 --> 03:58:39.210
to respond to our solicitation.
03:58:39.210 --> 03:58:44.210
And so in our RFOs we
consider qualitative measures,
03:58:44.475 --> 03:58:46.643
so we can assess whether contractors
03:58:46.643 --> 03:58:49.330
are contributing to the local workforce
03:58:49.330 --> 03:58:52.880
and the local economy
by supporting local small
03:58:52.880 --> 03:58:55.233
and underrepresented contractors.
03:58:56.200 --> 03:59:01.200
So we have recently
submitted an RFO for the local,
03:59:01.840 --> 03:59:04.128
for our local resource plan.
03:59:04.128 --> 03:59:09.128
This is a, it's one to 10
megawatt size development.
03:59:10.565 --> 03:59:14.633
So, small scale, local
renewable storage resource,
03:59:15.810 --> 03:59:17.160
where we had that language
03:59:17.160 --> 03:59:21.200
and we submitted an RFP
just a couple of weeks ago
03:59:21.200 --> 03:59:24.727
for contractors to provide
technical assistance
03:59:24.727 --> 03:59:27.300
and energy audits to
commercial customers.
03:59:27.300 --> 03:59:29.780
Then that RFP we
encouraged minority-owned
03:59:29.780 --> 03:59:32.370
and women-owned businesses to respond.
03:59:32.370 --> 03:59:34.960
So these are some of the
changes we're making this year
03:59:34.960 --> 03:59:38.480
based on our experience last year,
03:59:38.480 --> 03:59:42.483
and trying to figure out
ways to increase participation.
03:59:45.420 --> 03:59:49.583
Thank you and Matt over to
you for Clean Power Alliance.
03:59:51.160 --> 03:59:52.260
Thanks, there's
a number of things
03:59:52.260 --> 03:59:55.160
that we're looking the different
leads finishing out 2021,
03:59:55.160 --> 03:59:58.620
and then looking into 2022.
03:59:58.620 --> 04:00:01.200
First of all in our
power procurement area
04:00:01.200 --> 04:00:03.800
we've added questions
in our solicitations
04:00:03.800 --> 04:00:06.507
about GO 156 eligibility.
04:00:06.507 --> 04:00:08.130
It just so happens that today
04:00:08.130 --> 04:00:10.700
we launched our
midterm reliability article
04:00:10.700 --> 04:00:12.800
for new reliability resources,
04:00:12.800 --> 04:00:15.650
and we had our bitters
conference for that
04:00:15.650 --> 04:00:19.200
and we had a discussion as part of that
04:00:19.200 --> 04:00:22.830
there's conference about
supplier diversity in GO 156
04:00:22.830 --> 04:00:26.550
eligibility and our interest
in seeing diverse suppliers
04:00:26.550 --> 04:00:28.783
and subcontractors stand as well.
04:00:29.910 --> 04:00:31.610
In addition to that,
04:00:31.610 --> 04:00:34.400
I think one of the big things
as we talk about this for us,
04:00:34.400 --> 04:00:36.560
and one of the big lessons
learned looking back
04:00:36.560 --> 04:00:39.437
at the first part of 2021,
04:00:39.437 --> 04:00:42.920
and back in 2022 and
2020 in the early year,
04:00:42.920 --> 04:00:44.640
is that it's not enough for us
04:00:44.640 --> 04:00:46.550
to just be here spending money
04:00:46.550 --> 04:00:49.820
to necessarily attract
the groups suppliers.
04:00:49.820 --> 04:00:52.350
We really need to make
up a much more hands-on
04:00:52.350 --> 04:00:54.810
outreach effort, and
that means partnering
04:00:54.810 --> 04:00:57.636
with the diverse chambers of commerce,
04:00:57.636 --> 04:01:01.830
other industry organizations
04:01:01.830 --> 04:01:04.385
and affinity groups that are out there
04:01:04.385 --> 04:01:06.779
representing all of
the different segments
04:01:06.779 --> 04:01:10.930
of the diverse economy to
try to get our name out there,
04:01:10.930 --> 04:01:14.390
to try to advertise the
procurements that we're doing,
04:01:14.390 --> 04:01:17.280
to try to get more folks
knowing who's clean power line,
04:01:17.280 --> 04:01:18.730
and understanding
that we're actually doing
04:01:18.730 --> 04:01:22.230
a lot of procurement
in a lot of different areas
04:01:22.230 --> 04:01:24.210
and that there's really
a lot of opportunities
04:01:24.210 --> 04:01:25.180
to do business with us.
04:01:25.180 --> 04:01:28.230
So I think that to me the
biggest lesson learned,
04:01:28.230 --> 04:01:29.063
and I'll probably come back to it
04:01:29.063 --> 04:01:30.405
on some of the other questions
04:01:30.405 --> 04:01:32.390
is do we really need to get out there
04:01:32.390 --> 04:01:35.010
and do the hand sell about CCA
04:01:35.010 --> 04:01:37.050
and understand how
does everybody understand
04:01:37.050 --> 04:01:39.133
that the diversity is a priority
04:01:39.133 --> 04:01:41.545
in our procurement activities.
04:01:41.545 --> 04:01:46.340
On the question of payment timings,
04:01:46.340 --> 04:01:50.380
we have standard terms of Net 30.
04:01:50.380 --> 04:01:53.203
Which we (indistinct),
pretty reasonable.
04:01:54.785 --> 04:01:58.080
But as we listen to the comments
04:01:58.080 --> 04:01:59.700
on some of the other
panels earlier today,
04:01:59.700 --> 04:02:01.205
I think we're open to having discussions
04:02:01.205 --> 04:02:04.380
if there's other versions
of payments flexibility,
04:02:04.380 --> 04:02:07.010
or past payments that
we need to introduce
04:02:07.010 --> 04:02:09.049
to be a more attractive business partner
04:02:09.049 --> 04:02:10.433
for getting the suppliers.
04:02:11.770 --> 04:02:15.160
That'd be very helpful
as you probably heard,
04:02:15.160 --> 04:02:17.620
especially for smaller firms
04:02:17.620 --> 04:02:21.029
and a lot of diverse firms
tend to be smaller payment,
04:02:21.029 --> 04:02:24.170
sooner progress payments within 15 days,
04:02:24.170 --> 04:02:27.620
full payments within 30
days is the gold standard.
04:02:27.620 --> 04:02:32.570
So I very much appreciate
your willingness to look into it,
04:02:32.570 --> 04:02:36.758
and hopefully the other
panelists will as well.
04:02:36.758 --> 04:02:38.470
I'm gonna stay with you, Matt,
04:02:38.470 --> 04:02:40.533
you back in the hot seat
04:02:40.533 --> 04:02:43.730
and ask you another question.
04:02:43.730 --> 04:02:45.780
All of you have indicated,
04:02:45.780 --> 04:02:48.380
and these are the new
reports that Prop 209
04:02:48.380 --> 04:02:50.600
prevents you from setting targets
04:02:50.600 --> 04:02:53.790
based on race, ethnicity, and gender.
04:02:53.790 --> 04:02:55.066
We talked about that,
04:02:55.066 --> 04:02:58.340
I'd like to ask you what
type of procurement targets
04:02:58.340 --> 04:03:01.270
do you currently set in
fact given that limitation,
04:03:01.270 --> 04:03:02.520
what others are you considering?
04:03:02.520 --> 04:03:05.593
So back to you, Matt,
to start off that answer.
04:03:07.210 --> 04:03:11.790
Sure, so a couple of
things to think about here.
04:03:11.790 --> 04:03:15.040
So, in terms of procurement targets,
04:03:15.040 --> 04:03:16.662
where we have procurement targets
04:03:16.662 --> 04:03:18.513
those around local procurement.
04:03:19.360 --> 04:03:22.100
So we have a number
of different programs,
04:03:22.100 --> 04:03:23.990
including the disadvantaged communities,
04:03:23.990 --> 04:03:24.920
green tariff and community,
04:03:24.920 --> 04:03:28.860
solar green tariff that is,
that we're administering
04:03:28.860 --> 04:03:33.680
with Commission
(indistinct) allowance funds,
04:03:33.680 --> 04:03:35.380
that's focused on local procurement
04:03:35.380 --> 04:03:38.434
and we also have a number
of a number of other initiatives
04:03:38.434 --> 04:03:41.420
where we have focused
on local procurement.
04:03:41.420 --> 04:03:46.420
But really I think the
important thing here
04:03:46.421 --> 04:03:49.883
and within the restrictions
that we have in Prop 209
04:03:51.120 --> 04:03:52.809
it's about getting more participation
04:03:52.809 --> 04:03:57.809
and solicitation from a diverse
cross section of suppliers.
04:03:58.220 --> 04:04:01.120
I think when we see those
diverse suppliers come in
04:04:01.120 --> 04:04:03.063
with the little send that the tenants
04:04:03.063 --> 04:04:04.260
have been able to achieve,
04:04:04.260 --> 04:04:06.310
but some of the
successes that we've had.
04:04:08.350 --> 04:04:10.328
I don't see it as a
problem of competitiveness
04:04:10.328 --> 04:04:12.377
for these small suppliers
04:04:12.377 --> 04:04:14.580
and we're able to do
business with those suppliers
04:04:14.580 --> 04:04:15.413
when they come in.
04:04:15.413 --> 04:04:18.100
So that's why I keep harping
on used to do better outreach
04:04:18.100 --> 04:04:20.140
to get those folks in front of us,
04:04:20.140 --> 04:04:25.140
and I think we're going to
naturally see those firms compete
04:04:26.190 --> 04:04:28.380
and do well.
04:04:28.380 --> 04:04:30.730
One thing I will mention specifically
04:04:30.730 --> 04:04:34.140
in our energy procurement
that we do have a preference for
04:04:34.140 --> 04:04:37.100
is for projects in
disadvantaged communities.
04:04:37.100 --> 04:04:38.562
And that's not a one-to-one match
04:04:38.562 --> 04:04:41.620
between doing business in
disadvantaged communities
04:04:41.620 --> 04:04:45.020
and doing business with diverse firms.
04:04:45.020 --> 04:04:46.569
But I think in many cases,
04:04:46.569 --> 04:04:48.680
there's an alignment there
04:04:48.680 --> 04:04:52.990
where when we focus our spend
on disadvantaged communities,
04:04:52.990 --> 04:04:55.740
we're having a positive
impact on those communities
04:04:55.740 --> 04:04:59.600
and we also have an increased
number of opportunities
04:04:59.600 --> 04:05:01.090
to do business with the first firms.
04:05:01.090 --> 04:05:04.490
So that's another area
that we consider this,
04:05:04.490 --> 04:05:08.000
but for us given the
constraints that we have,
04:05:08.000 --> 04:05:10.195
it's not so much about hard targets
04:05:10.195 --> 04:05:14.627
as a matter of trying to get
as much diverse participation
04:05:14.627 --> 04:05:17.209
and diverse spend as we can get.
04:05:17.209 --> 04:05:20.310
And I think we have a lot of progress
04:05:20.310 --> 04:05:24.301
that we can make for
having specific targets
04:05:24.301 --> 04:05:26.113
is gonna be the limiting factor.
04:05:28.810 --> 04:05:31.733
Thank you, lets go to Carol
for Sonoma Clean Power.
04:05:35.500 --> 04:05:36.730
Great, thank you, Commissioner.
04:05:36.730 --> 04:05:38.393
So we do have,
04:05:39.380 --> 04:05:43.090
we had a board adopted
procurement targets
04:05:43.090 --> 04:05:45.838
for small one megawatt projects.
04:05:45.838 --> 04:05:48.047
We call these our profit projects.
04:05:48.047 --> 04:05:53.047
We had six of these are
target with six megawatts
04:05:53.530 --> 04:05:58.530
these are all local projects
in our service territory,
04:05:59.690 --> 04:06:02.830
and we've developed all six megawatts.
04:06:02.830 --> 04:06:06.810
So now we're moving
on to a larger project.
04:06:06.810 --> 04:06:10.767
The board recently adopted
the local resource plan
04:06:10.767 --> 04:06:15.540
for slightly larger, up
to 10 megawatts of solar
04:06:15.540 --> 04:06:17.820
and 10 megawatts of battery.
04:06:17.820 --> 04:06:20.950
Again, in our service territory,
04:06:20.950 --> 04:06:23.130
we issued the RFO.
04:06:23.130 --> 04:06:27.093
We received a number of
responses from local businesses,
04:06:27.093 --> 04:06:30.690
and we've shortlisted that to three
04:06:30.690 --> 04:06:34.240
and we'll soon be selecting selecting
04:06:34.240 --> 04:06:36.303
one of the respondents.
04:06:37.640 --> 04:06:40.080
So that's something we're working on.
04:06:40.080 --> 04:06:43.530
We also have targets,
we have targeted programs
04:06:44.820 --> 04:06:46.440
such as the,
04:06:46.440 --> 04:06:51.282
we have a targeted electric
vehicle and charging program
04:06:51.282 --> 04:06:55.175
where we offer rebates in
low-income and disadvantaged
04:06:55.175 --> 04:06:57.590
rural underserved areas to encourage
04:06:57.590 --> 04:07:00.653
the infrastructure investments
in those communities.
04:07:01.960 --> 04:07:04.953
And then we also have targeted,
04:07:06.578 --> 04:07:08.210
(indistinct) incentive program
04:07:08.210 --> 04:07:11.460
where we've targeted
low-income and care fair customers
04:07:11.460 --> 04:07:13.970
that were offering rebates there.
04:07:13.970 --> 04:07:16.708
Another area where we have established
04:07:16.708 --> 04:07:21.343
a board adopted targets
is our community giving.
04:07:22.600 --> 04:07:27.600
So this, we've the board
adopted an allocation of 50%
04:07:30.780 --> 04:07:32.250
of all our community giving
04:07:32.250 --> 04:07:37.250
is now being distributed
to nonprofit organizations,
04:07:37.590 --> 04:07:42.250
to advance justice
and racial equity issues
04:07:42.250 --> 04:07:43.650
in marginalized communities.
04:07:44.630 --> 04:07:49.330
And then another 25% to
support small businesses
04:07:49.330 --> 04:07:51.740
and workers affected by COVID-19.
04:07:51.740 --> 04:07:56.740
So we have in the last
25%, it's for fire relief efforts.
04:07:57.145 --> 04:07:58.850
So those are some of the areas
04:07:58.850 --> 04:08:01.326
where we have board adopted targets,
04:08:01.326 --> 04:08:05.933
and we look forward to
continuing to progress with that.
04:08:07.400 --> 04:08:09.270
I appreciate that
we're most interested
04:08:09.270 --> 04:08:11.010
in the procurement targets, Carole,
04:08:11.010 --> 04:08:14.040
not that those are not
incredibly worthwhile programs,
04:08:14.040 --> 04:08:18.690
but that's the focus of
our discussion today.
04:08:18.690 --> 04:08:21.763
I'm gonna turn to Stephanie
now from Meridian Clean Energy.
04:08:23.600 --> 04:08:25.721
Sure, so our
approach is very similar
04:08:25.721 --> 04:08:27.900
to my colleagues here.
04:08:27.900 --> 04:08:30.130
We have for several years operated
04:08:30.130 --> 04:08:32.098
under our board approved
sustainable workforce
04:08:32.098 --> 04:08:35.620
and economic development
policy, which directs us to buy
04:08:35.620 --> 04:08:38.493
from local businesses wherever possible.
04:08:38.493 --> 04:08:43.190
We also have established
preferences in our procurement,
04:08:43.190 --> 04:08:45.780
in our RFOs for disabled veterans,
04:08:45.780 --> 04:08:48.840
which Prop 209 does not
preclude us from doing.
04:08:48.840 --> 04:08:50.500
And similar to what Matt mentioned
04:08:50.500 --> 04:08:53.289
we also have established
preferences for businesses
04:08:53.289 --> 04:08:57.140
that not only are located
in EJ communities
04:08:57.140 --> 04:08:59.310
identified by the current viral screen,
04:08:59.310 --> 04:09:01.590
but also that are doing
the majority of their hiring
04:09:01.590 --> 04:09:02.840
in those communities.
04:09:02.840 --> 04:09:05.080
Again, here we know
that that's not necessarily
04:09:05.080 --> 04:09:06.490
a one-to-one match,
04:09:06.490 --> 04:09:09.310
but particularly with that
hiring component in there,
04:09:09.310 --> 04:09:12.924
we feel confident that
we're hopefully able to create
04:09:12.924 --> 04:09:15.428
some positive economic
impact in the communities
04:09:15.428 --> 04:09:16.620
where we're working,
04:09:16.620 --> 04:09:19.907
even if it's not a community
that we happen to serve
04:09:19.907 --> 04:09:21.723
with our electric supply.
04:09:23.990 --> 04:09:26.930
Thank
you, and then Vanessa.
04:09:26.930 --> 04:09:27.763
Yep, thank you.
04:09:27.763 --> 04:09:29.837
So I think a lot has been been covered
04:09:29.837 --> 04:09:32.110
in terms of small and local.
04:09:32.110 --> 04:09:35.600
Those are the preferences
that we currently have
04:09:35.600 --> 04:09:39.350
we do not currently set
any procurement targets.
04:09:39.350 --> 04:09:40.750
We do have those preferences
04:09:40.750 --> 04:09:44.540
in our administrative
procurement policies
04:09:44.540 --> 04:09:46.630
for small and local.
04:09:46.630 --> 04:09:48.870
And following Stephanie's comments
04:09:48.870 --> 04:09:51.840
regarding disabled
veteran-owned businesses.
04:09:51.840 --> 04:09:54.670
We're working to
finalize our understanding
04:09:54.670 --> 04:09:56.730
of the legality of preferences.
04:09:56.730 --> 04:09:58.590
We understand that MCE does it,
04:09:58.590 --> 04:10:00.950
many state agencies in California do it.
04:10:00.950 --> 04:10:03.932
So we are planning to
bring this too onboard
04:10:03.932 --> 04:10:07.300
and that would then be
upon approval incorporated
04:10:07.300 --> 04:10:09.840
into our administrative
procurement preferences
04:10:09.840 --> 04:10:12.883
alongside our local labor preferences.
04:10:15.020 --> 04:10:15.877
Thank you very much.
04:10:15.877 --> 04:10:19.230
I'm gonna ask one more
question before I turn it over
04:10:19.230 --> 04:10:22.850
to my fellow Commissioners,
all of your reports,
04:10:22.850 --> 04:10:25.960
talk about your internal
efforts to improve diversity
04:10:25.960 --> 04:10:28.650
of significant length.
04:10:28.650 --> 04:10:31.520
Very helpful to have that information.
04:10:31.520 --> 04:10:34.780
I'm wondering if any of you
can provide us with figures
04:10:34.780 --> 04:10:37.521
on the diversity of your workforce,
04:10:37.521 --> 04:10:39.680
and or of your governing body.
04:10:39.680 --> 04:10:42.380
And we'll note that I saw no reports
04:10:42.380 --> 04:10:45.210
that Clean Power
Alliance indicated it intends
04:10:45.210 --> 04:10:47.896
to conduct a survey of
board members this year.
04:10:47.896 --> 04:10:50.839
So let me start with you, Vanessa.
04:10:50.839 --> 04:10:52.770
I don't know if I called it new first.
04:10:52.770 --> 04:10:56.180
I don't think I'm talking
to be fair, but in any case,
04:10:56.180 --> 04:10:58.830
do you have information on
the diversity of your workforce
04:10:58.830 --> 04:11:00.393
and your governing bodies?
04:11:01.460 --> 04:11:02.441
Sure, thanks, Commissioner.
04:11:02.441 --> 04:11:07.070
So in regards to our
workforce, our staff in 2021,
04:11:07.070 --> 04:11:08.580
our HR did issue
04:11:08.580 --> 04:11:11.330
the equal employment
opportunity Commission, EEOC,
04:11:11.330 --> 04:11:14.260
voluntary self-identification
form to staff.
04:11:14.260 --> 04:11:16.930
It's now a standard
process and onboarding
04:11:16.930 --> 04:11:18.206
for all new staff members.
04:11:18.206 --> 04:11:19.544
I think for everyone,
04:11:19.544 --> 04:11:23.210
not just CCA the public
agencies that is voluntary.
04:11:23.210 --> 04:11:25.250
So we have a staff of around 40.
04:11:25.250 --> 04:11:28.140
Now we have a response
rate of about 31%.
04:11:28.140 --> 04:11:31.460
So I don't have a full data set
04:11:31.460 --> 04:11:32.890
to fully answer the question,
04:11:32.890 --> 04:11:36.130
but we do have that data.
04:11:36.130 --> 04:11:37.734
And we'll continue to be gathering that
04:11:37.734 --> 04:11:40.637
from new hires going forward.
04:11:40.637 --> 04:11:43.630
And we do have a staff
from a variety of backgrounds,
04:11:43.630 --> 04:11:45.361
demographics, and communities.
04:11:45.361 --> 04:11:47.470
We're also putting significant effort
04:11:47.470 --> 04:11:49.690
into ensuring that recruitment process
04:11:49.690 --> 04:11:52.113
is reaching an increasingly
broad and diverse network,
04:11:52.113 --> 04:11:55.010
as well as thinking about
how we can provide mentorship
04:11:55.010 --> 04:11:56.950
for students of all backgrounds
04:11:56.950 --> 04:11:58.140
who are interested in energy,
04:11:58.140 --> 04:12:01.406
careers to support effectively
the rising generations
04:12:01.406 --> 04:12:03.533
of energy professionals.
04:12:04.650 --> 04:12:06.060
In regards to our board,
04:12:06.060 --> 04:12:08.537
we have not to date collected this EOC,
04:12:08.537 --> 04:12:13.530
self-identification information,
but who already do so,
04:12:13.530 --> 04:12:15.490
we followed the same process of staff
04:12:15.490 --> 04:12:16.893
sending them that form.
04:12:17.990 --> 04:12:22.040
And this is true for all CCAs,
and our board members
04:12:22.040 --> 04:12:24.350
are elected officials, of course.
04:12:24.350 --> 04:12:27.330
And so that's a product
of our local elections
04:12:27.330 --> 04:12:31.170
and it's a product
of the local elections.
04:12:31.170 --> 04:12:32.510
We can collect the information,
04:12:32.510 --> 04:12:36.443
but of course cannot influence
the makeup of our boards.
04:12:37.810 --> 04:12:40.970
Understood it, that
you're in a different position
04:12:40.970 --> 04:12:43.640
than the board appointed
in a private utility.
04:12:43.640 --> 04:12:46.763
Carole, a question for you
for Sonoma Clean Power.
04:12:48.820 --> 04:12:50.130
Thank you.
04:12:50.130 --> 04:12:55.120
So we do look at our staff
composition, and in 2021,
04:12:56.320 --> 04:12:58.100
the diversity of our workforce
04:12:58.100 --> 04:13:02.160
reflected exactly the
demographics of our service territory,
04:13:02.160 --> 04:13:04.906
which is Sonoma County
and Mendocino County.
04:13:04.906 --> 04:13:09.906
24% of our staff self
identified as Latino or Hispanic.
04:13:10.190 --> 04:13:15.190
And that our 25% of our territory
04:13:16.340 --> 04:13:19.490
is of Latino or Hispanic origin
04:13:19.490 --> 04:13:21.793
based on the 2020 census data.
04:13:22.840 --> 04:13:27.540
Since mid-year, we've
lost a couple of staff
04:13:27.540 --> 04:13:31.830
of Latino origin who
actually went to other CCA.
04:13:31.830 --> 04:13:34.117
So they stayed in the CCA family,
04:13:34.117 --> 04:13:38.010
and so we're now our
numbers are a little bit lower.
04:13:38.010 --> 04:13:40.233
We're hoping to regain that balance.
04:13:41.120 --> 04:13:42.960
We have currently we're hiring
04:13:42.960 --> 04:13:47.300
a bilingual customer
service representative.
04:13:47.300 --> 04:13:52.300
Another step we took is
we're encouraging applications.
04:13:53.590 --> 04:13:55.490
We're encouraging diverse applications
04:13:57.760 --> 04:14:01.840
by changing some language
in our job descriptions.
04:14:01.840 --> 04:14:04.610
So that rather than requiring
04:14:04.610 --> 04:14:09.480
a four-year degree, for
instance for some positions,
04:14:09.480 --> 04:14:12.460
we're looking at, we're not
requiring a college degree,
04:14:12.460 --> 04:14:15.741
and we're looking at a
combination of experience
04:14:15.741 --> 04:14:19.910
and training, and we're finding that,
04:14:19.910 --> 04:14:24.550
so it's a way to improve
access to skilled employees,
04:14:24.550 --> 04:14:28.210
skilled workers who may not
have had economic privileges
04:14:28.210 --> 04:14:30.729
in their early school years.
04:14:30.729 --> 04:14:35.729
So we're working on getting
backed up to that 24, 25%,
04:14:36.760 --> 04:14:39.430
which we had earlier this year.
04:14:39.430 --> 04:14:41.398
As far as our board composition,
04:14:41.398 --> 04:14:45.550
as was just mentioned by Vanessa,
04:14:45.550 --> 04:14:47.910
or board made up of elected officials
04:14:47.910 --> 04:14:52.854
who were not in a position
to select our governing board,
04:14:52.854 --> 04:14:55.860
the individuals are
selected by their constituents
04:14:57.110 --> 04:15:01.080
and which differs from
IOU's as you know,
04:15:01.080 --> 04:15:03.710
where IOU shareholders
can elect their boards
04:15:03.710 --> 04:15:07.420
and have more direct
way to influence diversity.
04:15:07.420 --> 04:15:09.793
So we're not in a position to do that.
04:15:11.760 --> 04:15:12.910
Thank you, Stephanie.
04:15:15.390 --> 04:15:16.469
Thanks, Commissioner,
I think my response
04:15:16.469 --> 04:15:19.378
is fairly similar to my colleagues here.
04:15:19.378 --> 04:15:24.378
We have conducted a
board diversity survey in 2019.
04:15:25.150 --> 04:15:28.400
We did not get a terribly
complete response there.
04:15:28.400 --> 04:15:30.110
And so additionally,
04:15:30.110 --> 04:15:33.010
since then we have had
a number of folks turnover
04:15:33.010 --> 04:15:35.343
as a result of local elections.
04:15:35.343 --> 04:15:38.330
We've had a lot of
new faces on our board.
04:15:38.330 --> 04:15:40.620
And so we're looking
forward to reissuing that survey
04:15:40.620 --> 04:15:42.700
in the coming months to
see what our board diversity
04:15:42.700 --> 04:15:44.186
is looking like now.
04:15:44.186 --> 04:15:47.789
In terms of demographic
information from our staff,
04:15:47.789 --> 04:15:50.360
as others here has mentioned,
04:15:50.360 --> 04:15:55.110
we do issue the same
survey on a voluntary basis.
04:15:55.110 --> 04:15:56.610
So there are two, we do have a bit
04:15:56.610 --> 04:15:58.920
of an incomplete response.
04:15:58.920 --> 04:16:01.310
Of the folks who did respond,
04:16:01.310 --> 04:16:05.140
our staff are just under
40% people of color,
04:16:05.140 --> 04:16:10.140
and 62 1/2%, women, which
we're particularly proud of
04:16:10.870 --> 04:16:12.950
in the energy space as well.
04:16:12.950 --> 04:16:15.997
But again those are are
fairly incomplete datasets.
04:16:15.997 --> 04:16:20.160
So we will be looking at at
ways that we can encourage folks
04:16:20.160 --> 04:16:24.543
to help us fill out those
datasets in a more robust way.
04:16:26.660 --> 04:16:28.693
Thank you, and finally, Matt.
04:16:31.029 --> 04:16:33.100
Thanks, so we
actually did publish
04:16:33.100 --> 04:16:37.200
our staff diversity
dumpers in the 2020 report.
04:16:37.200 --> 04:16:40.453
I can recap that briefly here.
04:16:41.465 --> 04:16:45.910
And as you mentioned, we
are planning to survey our board
04:16:45.910 --> 04:16:50.910
on the diversity and the
makeup of our elected board.
04:16:52.560 --> 04:16:57.560
So for CPS staff, we are 11% Black,
04:16:58.401 --> 04:17:03.370
25% Asian and Pacific
Islander, 10% Hispanic,
04:17:03.370 --> 04:17:08.370
11%, two or more races,
and 43% White Hispanic,
04:17:09.430 --> 04:17:14.430
55% female, 7% LGBTQ and 3% disabled.
04:17:18.260 --> 04:17:20.470
Those are information
that we were able to gather,
04:17:20.470 --> 04:17:21.827
and we're putting our 2020 report.
04:17:21.827 --> 04:17:23.210
One thing I will point out
04:17:23.210 --> 04:17:24.810
and I'm sure this is true for everybody,
04:17:24.810 --> 04:17:26.860
but I think reporting like this,
04:17:26.860 --> 04:17:30.810
this was a 2020 data
in the last nine months,
04:17:30.810 --> 04:17:34.800
we've had a significant
amount of employee turnover,
04:17:34.800 --> 04:17:36.610
and a significant amount of new hires.
04:17:36.610 --> 04:17:39.750
So we're different organizations
when we were a year ago,
04:17:39.750 --> 04:17:42.110
and some of the people are different.
04:17:42.110 --> 04:17:43.464
So those numbers like I expected
04:17:43.464 --> 04:17:45.918
would look a little bit different today,
04:17:45.918 --> 04:17:49.450
but we do believe
that we're here to talk
04:17:49.450 --> 04:17:50.690
about supplier diversity,
04:17:50.690 --> 04:17:52.007
that I'm glad you're
bringing up this question,
04:17:52.007 --> 04:17:54.250
because I think it's really important.
04:17:54.250 --> 04:17:55.990
And we've always as an organization
04:17:55.990 --> 04:17:59.480
that reflecting the
diversity of our customers
04:17:59.480 --> 04:18:01.520
is a really important
part of who we are.
04:18:01.520 --> 04:18:04.370
And it's the way that we can
better serve our customers
04:18:04.370 --> 04:18:07.040
by understanding their perspective
04:18:07.040 --> 04:18:12.040
and their value and
how we do our business.
04:18:12.804 --> 04:18:17.253
So that's what we have there.
04:18:18.930 --> 04:18:19.763
Thank you very much.
04:18:19.763 --> 04:18:21.850
Thank you panelists for your answers.
04:18:21.850 --> 04:18:24.550
Now, I'm gonna turn it over
to my fellow Commissioners
04:18:25.420 --> 04:18:27.120
to see if they have any questions.
04:18:32.290 --> 04:18:34.634
Commissioner Guzman Aceves.
04:18:34.634 --> 04:18:38.530
Thank you, thank you
everyone for updating us
04:18:38.530 --> 04:18:39.573
on your progress.
04:18:40.550 --> 04:18:45.080
I just wondered, and I know
we have very short time,
04:18:45.080 --> 04:18:47.850
so you're not able to
always use all the right words
04:18:47.850 --> 04:18:52.850
and express the fullness
of your perspective,
04:18:54.350 --> 04:18:57.790
but I do still a lot of words from you
04:18:57.790 --> 04:19:01.933
that are viewing this GO 156.
04:19:02.890 --> 04:19:07.890
That's something that you're
constrained by in some way,
04:19:08.480 --> 04:19:13.480
and you've referenced
multiple times Prop 209
04:19:13.610 --> 04:19:16.880
as an example, but I
would encourage you,
04:19:16.880 --> 04:19:21.080
maybe it's in a very, it's only words,
04:19:23.430 --> 04:19:28.180
but certainly, there has
been a racial awakening
04:19:28.180 --> 04:19:30.710
in our country over the last few years
04:19:32.210 --> 04:19:37.210
as Sacramento, and I know
many of our service territories,
04:19:37.750 --> 04:19:39.273
particularly the mayor of LA,
04:19:40.320 --> 04:19:45.320
although he is obviously
many of the mayors in there,
04:19:47.370 --> 04:19:51.860
and I show many of the
supervisors have called core
04:19:51.860 --> 04:19:56.300
government measures
to address the wealth gap,
04:19:56.300 --> 04:20:00.230
to address many of the
racial inequities that exist
04:20:00.230 --> 04:20:03.230
in our society, but have been driven
04:20:03.230 --> 04:20:05.893
by the economic
development opportunities
04:20:05.893 --> 04:20:08.100
that they need to foster.
04:20:08.100 --> 04:20:10.330
So my question is really,
04:20:10.330 --> 04:20:13.240
you have the advantage
of being integrated
04:20:13.240 --> 04:20:14.890
of local government.
04:20:14.890 --> 04:20:18.360
How are you optimizing
all of the initiatives
04:20:18.360 --> 04:20:21.180
that the local leadership has taken
04:20:21.180 --> 04:20:25.460
to now say we as local
government have an obligation
04:20:25.460 --> 04:20:27.450
to address the wealth gap.
04:20:27.450 --> 04:20:29.920
And that's what I would love for you
04:20:29.920 --> 04:20:31.620
to integrate into your talking points.
04:20:31.620 --> 04:20:35.187
So maybe it says every
time you say Prop 209,
04:20:35.187 --> 04:20:37.450
you put a comma and you say,
04:20:37.450 --> 04:20:40.640
but we also recognize the obligation
04:20:40.640 --> 04:20:43.970
to address the wealth gap
that exists in our communities.
04:20:43.970 --> 04:20:47.080
And by the way, four of
our members have mayors
04:20:47.080 --> 04:20:49.050
that have this following initiatives,
04:20:49.050 --> 04:20:51.840
and we're collaborating
with them on that initiative.
04:20:51.840 --> 04:20:56.730
So I'm just wanting to really
call on you to expand on that
04:20:56.730 --> 04:21:00.440
and to see the legal
obligation in parody.
04:21:00.440 --> 04:21:03.320
And so can you talk about
what are the partnerships
04:21:03.320 --> 04:21:06.560
that you have with your
member local government,
04:21:06.560 --> 04:21:09.143
and what they're doing
to address this wealth gap.
04:21:14.180 --> 04:21:17.987
I have been in
Waterloo (indistinct)
04:21:18.970 --> 04:21:21.280
Thank you, Commissioner Guzman Aceves.
04:21:21.280 --> 04:21:25.190
I think your framing
there is very helpful,
04:21:25.190 --> 04:21:27.543
and I think it's absolutely spot on,
04:21:29.060 --> 04:21:33.250
I see nothing but opportunity
in this, and I actually,
04:21:33.250 --> 04:21:34.830
I really appreciate,
04:21:34.830 --> 04:21:37.633
first of all, is the
participation of everyone today
04:21:37.633 --> 04:21:42.130
(indistinct) I think
there's a lot of ways
04:21:42.130 --> 04:21:44.710
we're sending signals
here about the importance
04:21:44.710 --> 04:21:48.330
of these efforts, and we
feel it in our communities.
04:21:48.330 --> 04:21:52.520
And I think I can speak
for probably all the CPAs
04:21:52.520 --> 04:21:54.138
when I say that our
connection to a community
04:21:54.138 --> 04:21:57.080
is just part of our DNA of who we are,
04:21:57.080 --> 04:22:00.250
and addressing those social inequities
04:22:00.250 --> 04:22:01.810
that you're referring to.
04:22:01.810 --> 04:22:05.840
I think beyond just start
thinking about that in 2020,
04:22:05.840 --> 04:22:07.886
I think that's always something
04:22:07.886 --> 04:22:10.920
that's gotta be really
important for what we're doing,
04:22:10.920 --> 04:22:11.840
and you're right.
04:22:11.840 --> 04:22:14.310
I think the opportunities
for collaboration
04:22:14.310 --> 04:22:16.880
with our local governments
who are in some cases,
04:22:16.880 --> 04:22:19.720
nationwide leaders on
some of these efforts,
04:22:19.720 --> 04:22:21.880
I think it's just a huge opportunity.
04:22:21.880 --> 04:22:25.026
So I can say for Clean Power Alliance,
04:22:25.026 --> 04:22:27.730
one of the big areas
of collaboration for us
04:22:27.730 --> 04:22:29.502
is with LA County.
04:22:29.502 --> 04:22:32.070
That's a little different than LA City,
04:22:32.070 --> 04:22:34.896
but I will also say that
LA County is a leader,
04:22:34.896 --> 04:22:37.420
a nationwide leader in its efforts
04:22:37.420 --> 04:22:39.500
around diverse procurement
04:22:39.500 --> 04:22:42.300
of its efforts around social equity
04:22:42.300 --> 04:22:44.970
and in a number of policy areas.
04:22:44.970 --> 04:22:49.560
So we have our vice chair, Sheila Kuehl,
04:22:49.560 --> 04:22:52.145
who's on the LA County
board of supervisors.
04:22:52.145 --> 04:22:54.925
We have a very close relationship
04:22:54.925 --> 04:22:57.570
with the county government.
04:22:57.570 --> 04:22:59.800
We actually started,
CCA happened to start
04:22:59.800 --> 04:23:02.465
as an initiative within LA
County that got spun out
04:23:02.465 --> 04:23:04.030
into its own agency.
04:23:04.030 --> 04:23:07.070
So I think there's more
opportunities for us
04:23:07.070 --> 04:23:08.926
to do better in that collaboration,
04:23:08.926 --> 04:23:12.654
but there are a role
model that we look to
04:23:12.654 --> 04:23:16.066
but it's not just LA County,
we have 32-member agencies,
04:23:16.066 --> 04:23:17.720
and there's a lot of different outfits
04:23:17.720 --> 04:23:20.320
that we can work with we drop those.
04:23:20.320 --> 04:23:22.070
We've done some work in that space,
04:23:22.070 --> 04:23:23.170
particularly with Dalton County,
04:23:23.170 --> 04:23:25.830
but I agree it's a huge opportunity.
04:23:25.830 --> 04:23:29.610
And when I think of Prop 209 and this,
04:23:29.610 --> 04:23:33.813
and how this fits
into the mix of things,
04:23:34.750 --> 04:23:37.320
I don't see that we've
gotten as far as we can,
04:23:37.320 --> 04:23:39.560
before we run into any kind of barriers.
04:23:39.560 --> 04:23:42.390
I think we're, there's just
a ton of room for progress
04:23:42.390 --> 04:23:45.320
to be made and I do appreciate it.
04:23:45.320 --> 04:23:46.823
I appreciate the question.
04:23:51.190 --> 04:23:52.983
Does anyone have a comment?
04:23:54.450 --> 04:23:55.595
Yeah, I can add something.
04:23:55.595 --> 04:23:57.430
This is Carole Hakstian from Sonoma.
04:23:57.430 --> 04:23:58.967
Okay, good job.
04:24:00.450 --> 04:24:01.283
Thank you.
04:24:02.555 --> 04:24:04.190
I'll just start off by saying
04:24:04.190 --> 04:24:09.190
that we are in a position
where we'd like to report
04:24:14.660 --> 04:24:17.090
as much as we can for the goal
04:24:17.090 --> 04:24:18.840
and towards the goal on 56 program.
04:24:20.160 --> 04:24:25.160
We are, as Stephanie
alluded to or mentioned earlier,
04:24:26.980 --> 04:24:31.830
a large percentage of our
procurement is power procurement.
04:24:31.830 --> 04:24:36.830
So because of limitations
there, we can't procure.
04:24:39.300 --> 04:24:44.300
We can't report a lot of the
procurement that we do outside
04:24:45.398 --> 04:24:47.193
of power procurement.
04:24:48.760 --> 04:24:52.623
So we are limited in a way there,
04:24:53.520 --> 04:24:57.303
we currently do a lot of
outreach in our community.
04:24:58.615 --> 04:25:02.663
We're in contact with over a
dozen chambers of commerce,
04:25:03.800 --> 04:25:05.160
county wide organizations.
04:25:05.160 --> 04:25:07.480
We have an organization called Los Cien
04:25:08.370 --> 04:25:12.777
which is a service as a liaison
between the Latino community
04:25:12.777 --> 04:25:13.940
and the wider community.
04:25:13.940 --> 04:25:15.970
We sponsor events.
04:25:15.970 --> 04:25:19.620
We have speakers, we
have great connections
04:25:19.620 --> 04:25:23.550
with the Santa Rosa Metro
Chamber of Commerce
04:25:23.550 --> 04:25:25.383
and Hispanic Chamber of Commerce,
04:25:26.500 --> 04:25:30.030
and North Coast Builders Exchange.
04:25:30.030 --> 04:25:31.120
So we're reaching out.
04:25:31.120 --> 04:25:33.360
We have now with the
advanced energy center,
04:25:33.360 --> 04:25:37.261
we have a way to bring
people into the center
04:25:37.261 --> 04:25:40.950
and to reach people through events
04:25:40.950 --> 04:25:42.833
and educational opportunities.
04:25:44.100 --> 04:25:48.133
So that's we're doing a lot.
04:25:49.610 --> 04:25:50.610
We wanna do more.
04:25:50.610 --> 04:25:52.520
We're gonna continue to do more.
04:25:52.520 --> 04:25:56.360
And, but as far as the procurement,
04:25:56.360 --> 04:26:00.760
we're forced to use a proxies
that work around the solutions
04:26:00.760 --> 04:26:04.420
like favoring local
because we're forbidden
04:26:04.420 --> 04:26:09.370
from explicitly favoring
protected classes.
04:26:09.370 --> 04:26:11.850
But I just wanna make
sure that that's, I mean,
04:26:11.850 --> 04:26:12.730
I wanna mention that.
04:26:12.730 --> 04:26:17.480
I know, you know, it's
something that we're working with.
04:26:17.480 --> 04:26:21.290
We have some recommendations
that we can put forth.
04:26:21.290 --> 04:26:24.643
If I have a few minutes, I can
do that now or do that later.
04:26:27.020 --> 04:26:29.180
I don't think we have
time, unfortunately, Carole,
04:26:29.180 --> 04:26:33.489
but it would be great if you
followed up with us after this.
04:26:33.489 --> 04:26:34.610
Absolutely.
04:26:34.610 --> 04:26:38.050
I was gonna say
Stephanie and Vanessa,
04:26:38.050 --> 04:26:41.020
if you have something you're
absolutely totally pressing,
04:26:41.020 --> 04:26:43.320
you need to say on
this quickly, let me know.
04:26:43.320 --> 04:26:47.020
Otherwise, I wanna see
if Commissioner Houck
04:26:47.020 --> 04:26:49.080
or Commissioner Shiroma
have any questions
04:26:49.080 --> 04:26:50.480
before we get to public comments.
04:26:50.480 --> 04:26:54.963
So if you're ready, you
absolutely must say on this topic.
04:26:57.160 --> 04:26:58.280
Thanks, Commissioner.
04:26:58.280 --> 04:26:59.950
I would like to highlight really quickly
04:26:59.950 --> 04:27:02.120
that our board passed earlier this year,
04:27:02.120 --> 04:27:03.830
a racial equity resolution
04:27:03.830 --> 04:27:06.940
that builds upon 19
jurisdictional commitments
04:27:06.940 --> 04:27:10.600
from among our member
communities to advance DEI efforts,
04:27:10.600 --> 04:27:12.700
including of course the
racial wealth gap issue
04:27:12.700 --> 04:27:15.890
that Commissioner
Guzman Aceves mentioned.
04:27:15.890 --> 04:27:17.910
And then it's just one example.
04:27:17.910 --> 04:27:21.750
I wanna highlight our
partnership with Richmond Builds,
04:27:21.750 --> 04:27:24.441
which is a program of the city
of Richmond that was created
04:27:24.441 --> 04:27:27.616
expressly to address
the wealth gap issues
04:27:27.616 --> 04:27:31.320
that we're talking about here.
04:27:31.320 --> 04:27:33.240
We have partnered with Richmond Builds
04:27:33.240 --> 04:27:38.090
on many, many projects and
have sponsored many cohorts
04:27:38.090 --> 04:27:41.690
of trainees who are going
through their programs.
04:27:41.690 --> 04:27:44.880
And one of the great things
is that Richmond Builds
04:27:44.880 --> 04:27:47.800
does not only provides
that hands-on training,
04:27:47.800 --> 04:27:49.820
but also provides job
placement assistance.
04:27:49.820 --> 04:27:52.380
And we're thrilled every
time a cohort graduates
04:27:52.380 --> 04:27:55.930
to see just how many folks end
up with permanent placements
04:27:55.930 --> 04:27:57.600
in career track jobs,
04:27:57.600 --> 04:28:00.140
particularly in the construction trades.
04:28:00.140 --> 04:28:02.050
So we're very excited to continue
04:28:02.050 --> 04:28:04.050
those kinds of
opportunities in other areas
04:28:04.050 --> 04:28:05.500
around our service territory.
04:28:08.470 --> 04:28:11.298
If I may mention
her very briefly.
04:28:11.298 --> 04:28:13.010
30 seconds.
04:28:13.010 --> 04:28:16.890
Okay, I think in terms of
our focus on affordability,
04:28:16.890 --> 04:28:18.010
generally in terms of rates,
04:28:18.010 --> 04:28:20.120
but particularly during the pandemic,
04:28:20.120 --> 04:28:23.960
making sure that we have a
very robust portfolio of programs
04:28:23.960 --> 04:28:26.480
and outreach efforts to
reach not only our residential,
04:28:26.480 --> 04:28:29.055
but also small business
commercial customers
04:28:29.055 --> 04:28:31.810
that are struggling during
the pandemic have been,
04:28:31.810 --> 04:28:35.110
and continue to struggle is
definitely key focus for us.
04:28:35.110 --> 04:28:36.311
And I think going forward,
04:28:36.311 --> 04:28:39.800
continuing to really
built the relationships
04:28:39.800 --> 04:28:43.000
with our local chambers
and with our cities
04:28:43.000 --> 04:28:46.360
as Commissioner Guzman
Aceves mentioned all their efforts
04:28:46.360 --> 04:28:50.290
and continuing to use
those channels to reach folks,
04:28:50.290 --> 04:28:53.140
reach our business
community, and eventually,
04:28:53.140 --> 04:28:55.160
hopefully as soon as possible,
04:28:55.160 --> 04:28:58.159
we'll get to the level of
awareness and engagement,
04:28:58.159 --> 04:29:03.130
that some of the other
utilities have in this space.
04:29:03.130 --> 04:29:05.696
So we can continue to
provide very strong relationships
04:29:05.696 --> 04:29:08.517
and resources to our
business community and help
04:29:08.517 --> 04:29:12.633
promote not only economic development,
04:29:14.040 --> 04:29:15.633
but for diverse businesses.
04:29:16.810 --> 04:29:18.550
Well, on the Alameda County
04:29:18.550 --> 04:29:21.763
is one of the most diverse
counties in the state.
04:29:23.960 --> 04:29:26.815
Okay, I think we have time
for one more quick question.
04:29:26.815 --> 04:29:29.600
If Commissioner Shiroma,
04:29:29.600 --> 04:29:32.620
before we go to public
comment or Commissioner Houck,
04:29:32.620 --> 04:29:34.210
Commissioner Houck.
04:29:34.210 --> 04:29:39.047
It was not so much, but
I agree that you should.
04:29:41.013 --> 04:29:43.560
It's good to hear that
you're looking to continue
04:29:43.560 --> 04:29:48.310
to build the relationships
and try and be creative.
04:29:48.310 --> 04:29:50.700
These are as you know important issues.
04:29:50.700 --> 04:29:54.140
And we understand that
you do have some constraints
04:29:54.140 --> 04:29:56.493
and I would be interested
in hearing the follow-up
04:29:56.493 --> 04:30:01.350
that Carole mentioned
and just exploring ways
04:30:01.350 --> 04:30:05.250
to be able to further
these goals with the CCAs.
04:30:05.250 --> 04:30:08.250
So I appreciate all of
you participating today
04:30:08.250 --> 04:30:13.250
and the good start that
you got and hope to continue
04:30:14.260 --> 04:30:16.593
and see more as we go into next year.
04:30:19.210 --> 04:30:21.010
Thank you, Commissioner,
Commissioner Shiroma,
04:30:21.010 --> 04:30:24.220
did you want to say something
or did you have a question?
04:30:24.220 --> 04:30:27.820
Yes, just raise hands.
04:30:27.820 --> 04:30:32.513
Anyone who has a small
business contracting program.
04:30:34.970 --> 04:30:39.674
Okay, and I think it would
be interesting to see if in fact,
04:30:39.674 --> 04:30:42.844
you took out the power procurement
04:30:42.844 --> 04:30:47.210
and looked at what the procurement
04:30:47.210 --> 04:30:49.440
that is non-power purchase.
04:30:49.440 --> 04:30:54.440
What percentage of that is
GO 156 type of procurement?
04:30:56.170 --> 04:30:58.045
Anyways, didn't maybe that
04:30:58.045 --> 04:30:59.883
can be admitted in writing by folks.
04:31:01.300 --> 04:31:02.385
Were any of you
would know that offhand,
04:31:02.385 --> 04:31:07.033
the percentage of your
contract with small businesses?
04:31:10.940 --> 04:31:13.930
Or with your diverse
businesses, okay.
04:31:13.930 --> 04:31:17.063
Pick out the 90% and that
represent power procurement
04:31:17.063 --> 04:31:18.558
and the remaining procurement,
04:31:18.558 --> 04:31:22.870
what percentage was with the GO 156
04:31:22.870 --> 04:31:27.073
type of other businesses?
04:31:29.640 --> 04:31:31.303
I'd like to say Carol.
04:31:33.670 --> 04:31:34.503
Carol.
04:31:35.814 --> 04:31:39.390
I just like to note
that we're working
04:31:39.390 --> 04:31:42.930
with the CPUC diversity
staff now to try to figure out,
04:31:42.930 --> 04:31:47.700
to try to define what
small and local health,
04:31:47.700 --> 04:31:48.870
small local be defined.
04:31:48.870 --> 04:31:52.790
So we don't really have
a like a firm definition
04:31:52.790 --> 04:31:57.790
We know within our
territory who we're serving,
04:31:57.830 --> 04:32:01.490
but as far as a number,
we're not reporting that yet.
04:32:01.490 --> 04:32:03.680
I think we're going to
start doing that this year.
04:32:03.680 --> 04:32:05.230
Is that what you're asking for?
04:32:07.810 --> 04:32:12.093
Sort of does not be small
just GO 156 contractors.
04:32:14.010 --> 04:32:17.520
What I'm saying is okay, yep 0.02%.
04:32:17.520 --> 04:32:19.337
That's new skill, okay.
04:32:19.337 --> 04:32:23.170
But that's because you've
got the power contract in there.
04:32:23.170 --> 04:32:27.281
It takes projects out
and then you have, oh.
04:32:27.281 --> 04:32:28.760
This is Stephanie Green.
04:32:28.760 --> 04:32:29.800
If I could just interject,
04:32:29.800 --> 04:32:32.350
if you took the power
out, it would be about 2%.
04:32:34.320 --> 04:32:35.153
Okay.
04:32:35.153 --> 04:32:37.690
And that will be
with diverse firms.
04:32:37.690 --> 04:32:41.898
So it'd be about 2% instead of the 0.06.
04:32:41.898 --> 04:32:43.389
Ah, thank you, Stephanie.
04:32:43.389 --> 04:32:47.380
So yeah, there's a lot of, and
that's where the IOU started
04:32:47.380 --> 04:32:50.550
20 years, 30 years ago.
04:32:50.550 --> 04:32:52.800
Wait, anyways, it's a
lot of work to be done.
04:32:54.440 --> 04:32:58.810
I can say for Clean Power
Lines, similar numbers are,
04:32:58.810 --> 04:33:02.427
if you look at the percent
of overall spend at 0.08%,
04:33:02.427 --> 04:33:05.270
if you look at the percentage
of thought energy spend
04:33:05.270 --> 04:33:07.180
it's 3.16%.
04:33:07.180 --> 04:33:09.316
So pretty significant difference there,
04:33:09.316 --> 04:33:12.163
but I think it's the trend.
04:33:14.120 --> 04:33:15.640
All right, we've
got to wrap up.
04:33:15.640 --> 04:33:18.150
Thank you very, very
much to all our panelists.
04:33:18.150 --> 04:33:20.980
We appreciate a really informative panel
04:33:20.980 --> 04:33:23.250
and look forward to
the specific follow-ups
04:33:23.250 --> 04:33:26.070
and your more general
work with our staff
04:33:26.070 --> 04:33:28.760
to implement SB 255.
04:33:28.760 --> 04:33:31.760
President Batjer was called away
04:33:31.760 --> 04:33:33.104
to another meeting temporarily.
04:33:33.104 --> 04:33:36.720
So I'm gonna take over
the reins of leading us
04:33:36.720 --> 04:33:40.990
through the next stage, which
is a public comment period.
04:33:40.990 --> 04:33:44.620
We wanna give the public
an opportunity to comment
04:33:44.620 --> 04:33:47.010
on the topics today.
04:33:47.010 --> 04:33:49.373
If you would like to
make a public comment,
04:33:51.010 --> 04:33:55.053
please call 800-857-1917.
04:33:56.570 --> 04:34:01.570
That's 800-857-1917.
04:34:01.760 --> 04:34:05.273
The access code is
5180519 pound for English.
04:34:09.010 --> 04:34:13.370
That's 5180519 pound for English
04:34:14.310 --> 04:34:19.310
and 3799627 pounds for Spanish.
04:34:20.090 --> 04:34:25.090
That's 3799627 pounds for Spanish.
04:34:25.835 --> 04:34:28.730
We asked you to limit your comments
04:34:28.730 --> 04:34:30.520
to no more than two minutes per speaker,
04:34:30.520 --> 04:34:33.800
so that folks have a chance to talk.
04:34:33.800 --> 04:34:36.530
The operator will call
your name when it's time
04:34:36.530 --> 04:34:39.450
for you to speak, you
will hear a bell sound
04:34:39.450 --> 04:34:41.420
when your time is up.
04:34:41.420 --> 04:34:44.420
Please be mindful of the other
people waiting in the queue
04:34:44.420 --> 04:34:46.163
to provide public comments.
04:34:47.170 --> 04:34:50.250
I will now turn it over to the operator
04:34:50.250 --> 04:34:53.190
to open the public telephone line.
04:34:53.190 --> 04:34:55.300
Operator, can you open the line
04:34:55.300 --> 04:34:58.583
and call on our first commentor, please?
04:35:00.060 --> 04:35:01.380
Yes, thank you.
04:35:01.380 --> 04:35:03.470
Again, if you would
like to make a comment,
04:35:03.470 --> 04:35:06.660
please unmute your
phone, press star one,
04:35:06.660 --> 04:35:10.080
and clearly record your first
and last name when prompted.
04:35:10.080 --> 04:35:13.143
Again, that is star one
to make a comment.
04:35:13.143 --> 04:35:15.530
They'll take a few moments for questions
04:35:15.530 --> 04:35:17.730
or for comments to
come in, please stand by.
04:35:44.655 --> 04:35:47.440
And our first comment
comes from Pam Baker.
04:35:47.440 --> 04:35:48.290
You may go ahead.
04:35:49.690 --> 04:35:51.020
Good afternoon.
04:35:51.020 --> 04:35:52.340
Thank you, Commissioners,
04:35:52.340 --> 04:35:53.760
and everybody on this panel,
04:35:53.760 --> 04:35:55.750
I found this very, very informative.
04:35:55.750 --> 04:35:57.282
I'm wondering if you can
provide some direction,
04:35:57.282 --> 04:35:59.660
once you are certified.
04:35:59.660 --> 04:36:03.060
Our business situation
is we're MBE certified,
04:36:03.060 --> 04:36:05.210
we're woman-owned certified,
04:36:05.210 --> 04:36:10.210
we've recently been awarded
an LPA contract within DGS.
04:36:10.465 --> 04:36:14.210
We're also small business
microbusiness certified.
04:36:14.210 --> 04:36:19.180
Difficulty that we're having
is finding who to connect with
04:36:19.180 --> 04:36:21.610
within agencies to make them even aware
04:36:21.610 --> 04:36:23.283
that the contract exists.
04:36:24.120 --> 04:36:27.460
So my specific question
is how do we find resources
04:36:27.460 --> 04:36:31.480
within agencies to make them
aware that we're even there?
04:36:31.480 --> 04:36:33.390
My second question would be,
04:36:33.390 --> 04:36:36.610
does each agency have
any kind of an advocacy
04:36:36.610 --> 04:36:39.790
or mentorship program
that can help businesses
04:36:39.790 --> 04:36:42.890
such as ourselves guide
us through this process
04:36:44.054 --> 04:36:45.740
once we have been successful
04:36:45.740 --> 04:36:49.533
and have been awarded
some contracts, thank you.
04:36:50.487 --> 04:36:54.790
I'm gonna suggest
that you contact our staff,
04:36:54.790 --> 04:36:58.050
Stephanie Green or
Drisha Melton offline,
04:36:58.050 --> 04:37:02.029
and their contact info is on our GO 156,
04:37:02.029 --> 04:37:04.040
diversity supplier wEPPage
04:37:04.040 --> 04:37:06.523
to answer some of
those specific questions,
04:37:07.450 --> 04:37:09.690
but thanks very much for the call.
04:37:09.690 --> 04:37:11.280
Operator, next caller, please.
04:37:11.280 --> 04:37:12.430
Operator in the chat.
04:37:13.690 --> 04:37:16.370
Thank you, I'm sorry,
Stephanie indicated
04:37:16.370 --> 04:37:17.523
she'd put in the chat.
04:37:22.680 --> 04:37:24.270
Let's call it.
04:37:24.270 --> 04:37:25.103
Sorry about that.
04:37:25.103 --> 04:37:28.223
Our next comment is from
Faith Otiso, you may go ahead.
04:37:29.240 --> 04:37:32.810
Hi, good
afternoon, greetings.
04:37:32.810 --> 04:37:36.540
I would like to encourage
everyone to consider
04:37:36.540 --> 04:37:38.630
access to capital.
04:37:38.630 --> 04:37:40.510
A lot of the small businesses,
04:37:40.510 --> 04:37:44.870
especially the micro businesses
would have a hard time
04:37:44.870 --> 04:37:48.580
or have a hard time doing
business with the utilities
04:37:48.580 --> 04:37:52.403
with the cable company,
but to help the economy back,
04:37:53.290 --> 04:37:58.140
creating an investment with the CVFI.
04:37:58.980 --> 04:38:03.570
So we can help the small
businesses get the loans.
04:38:03.570 --> 04:38:07.456
A lot of people that credit
score has gone down,
04:38:07.456 --> 04:38:12.456
and the back and they are
still not doesn't fit in the box
04:38:12.850 --> 04:38:16.900
of the lending program of the banks.
04:38:16.900 --> 04:38:20.440
It would be great for
going outside the box,
04:38:20.440 --> 04:38:25.440
being innovative, enriching
the small micro businesses
04:38:25.630 --> 04:38:27.578
that otherwise can't get access.
04:38:27.578 --> 04:38:32.578
For example, charter is
doing that in a lot of the CDFI
04:38:32.910 --> 04:38:37.910
in working with different CDFI
and chambers of commerce.
04:38:38.600 --> 04:38:41.990
T-Mobile I know is
also thinking about that,
04:38:41.990 --> 04:38:44.860
but I really believe
that access to capital.
04:38:44.860 --> 04:38:48.175
We've been discussing this
for many, many, many years,
04:38:48.175 --> 04:38:50.640
and it's still the biggest problem
04:38:50.640 --> 04:38:53.040
for a lot of the small businesses.
04:38:53.040 --> 04:38:54.433
And thank you, so much.
04:38:56.600 --> 04:38:58.699
Thank you very much, Faith.
04:38:58.699 --> 04:39:01.360
Operator, our next caller, please.
04:39:05.291 --> 04:39:07.120
Our next
caller is Paul Pendergast.
04:39:07.120 --> 04:39:07.970
You may go ahead.
04:39:09.240 --> 04:39:10.073
Hello Commissioners.
04:39:10.073 --> 04:39:11.500
My name is Paul Pendergast,
04:39:11.500 --> 04:39:13.950
and I'm here on behalf
of BuildOUT California,
04:39:13.950 --> 04:39:16.730
which represents LGBT and allied firms
04:39:16.730 --> 04:39:19.170
and architecture,
engineering and construction
04:39:19.170 --> 04:39:21.590
across the great state of California.
04:39:21.590 --> 04:39:23.240
And I want to underscore our support
04:39:23.240 --> 04:39:25.640
for many of the comments
made by chamber leaders
04:39:25.640 --> 04:39:27.890
in this morning's
diverse community panel.
04:39:27.890 --> 04:39:31.649
And as an industry association
that represents LGBT firms
04:39:31.649 --> 04:39:34.860
in core areas where
utilities have demonstrated
04:39:34.860 --> 04:39:36.150
they have large spends.
04:39:36.150 --> 04:39:38.850
We understand the
frustrations, our associates face
04:39:38.850 --> 04:39:40.614
in dealing with utilities
04:39:40.614 --> 04:39:43.460
while some utilities are
really, truly dedicated
04:39:43.460 --> 04:39:46.980
to the engagement of
LGBT firms like T-Mobile
04:39:46.980 --> 04:39:50.964
who are consistently leading
the pack on LGBT utilization,
04:39:50.964 --> 04:39:54.750
still far too many other
utilities under GO 156
04:39:54.750 --> 04:39:57.330
are truly completely missing an action
04:39:57.330 --> 04:39:59.490
as it relates to LGBT engagement,
04:39:59.490 --> 04:40:01.910
we do need more transparency.
04:40:01.910 --> 04:40:03.990
We do need more meaningful engagement
04:40:03.990 --> 04:40:06.950
with a larger cross
section of utilities.
04:40:06.950 --> 04:40:10.430
And most importantly,
with their tier one suppliers,
04:40:10.430 --> 04:40:13.170
we need those LGBT firms with on-call
04:40:13.170 --> 04:40:15.950
or active MSA contracts and facilities
04:40:15.950 --> 04:40:17.653
to actually be called up for duty.
04:40:18.617 --> 04:40:21.430
GO 156 is all about diversity.
04:40:21.430 --> 04:40:24.020
And unfortunately the last
couple of years at the Ambox
04:40:24.020 --> 04:40:27.940
have been had speakers
from companies that well,
04:40:27.940 --> 04:40:29.910
many of them have been very informative.
04:40:29.910 --> 04:40:32.050
Most of the speakers do
not represent the utilities
04:40:32.050 --> 04:40:34.594
that are truly struggling with contacts
04:40:34.594 --> 04:40:37.180
and contracts with LGBT businesses.
04:40:37.180 --> 04:40:40.900
As Marquita Thomas from
the LAG LCC said this morning,
04:40:40.900 --> 04:40:44.900
20 utility firms are not
contracting with LGBT firms.
04:40:44.900 --> 04:40:46.373
It's imperative that
you as Commissioners
04:40:46.373 --> 04:40:48.252
hear from those firms as well.
04:40:48.252 --> 04:40:50.441
We do look forward to the CPU,
04:40:50.441 --> 04:40:54.090
establishing a 1.5% goal
04:40:54.090 --> 04:40:58.070
with LGBT businesses
this year, not in three or five,
04:40:58.070 --> 04:40:59.720
but in 2021.
04:40:59.720 --> 04:41:01.750
And we were so heartened
to hear this morning
04:41:01.750 --> 04:41:05.830
from your energy and water
panel recommitting our engagement
04:41:05.830 --> 04:41:08.440
but BuildOUT California
looks to engaging
04:41:08.440 --> 04:41:11.150
on a utility by utility basis
04:41:11.150 --> 04:41:16.150
to establish a utilization
plan, to meet the 1.5% goal.
04:41:16.630 --> 04:41:17.880
Thank you, Commissioners.
04:41:20.050 --> 04:41:21.270
Thank you very much, Paul.
04:41:21.270 --> 04:41:23.413
Operator, our next caller, please.
04:41:25.090 --> 04:41:27.242
Our next
caller is Lianne Lami.
04:41:27.242 --> 04:41:28.092
You may go ahead.
04:41:29.890 --> 04:41:30.870
Hello.
04:41:30.870 --> 04:41:32.850
Thank you, for the
opportunity to be present today
04:41:32.850 --> 04:41:35.157
to the CPUC and all the panelists
04:41:35.157 --> 04:41:37.540
of the certified diversity supplier.
04:41:37.540 --> 04:41:38.830
My name is Leanne Lemming.
04:41:38.830 --> 04:41:41.630
My pronouns are she, her and hers.
04:41:41.630 --> 04:41:45.630
I am CEO and founder of Bocci
Engineering and Construction.
04:41:45.630 --> 04:41:49.070
Bocci develops sustainable
solutions that pay for themselves
04:41:49.070 --> 04:41:51.790
in energy and water infrastructure.
04:41:51.790 --> 04:41:54.670
I participated through
this national LGBT
04:41:54.670 --> 04:41:59.315
chamber of commerce and
mentor protege program in 2021
04:41:59.315 --> 04:42:04.230
as an LGBT protege with
California American Water Company.
04:42:04.230 --> 04:42:06.832
My mentor was Edward A. Simon II,
04:42:06.832 --> 04:42:10.160
director business performance
and supplier diversity
04:42:10.160 --> 04:42:12.180
for California American Water.
04:42:12.180 --> 04:42:16.200
Aligned with the CPUSA
theme of thriving and surviving,
04:42:16.200 --> 04:42:19.260
my goal and the California
American Waters program
04:42:19.260 --> 04:42:21.650
was to further develop skills,
04:42:21.650 --> 04:42:23.930
capabilities, and business development,
04:42:23.930 --> 04:42:26.730
and marketing and
utility infrastructure.
04:42:26.730 --> 04:42:29.270
Batjer presented a few
key challenges to overcome
04:42:29.270 --> 04:42:33.280
through the program, our
insurance capacity limitations,
04:42:33.280 --> 04:42:35.830
new market penetration issues,
04:42:35.830 --> 04:42:38.290
capability industry transfer issues,
04:42:38.290 --> 04:42:40.400
closure rates, retention,
04:42:40.400 --> 04:42:42.403
and rebuilding Bocci sales team,
04:42:43.260 --> 04:42:45.512
post and through the pandemic.
04:42:45.512 --> 04:42:47.040
There've been so many successes.
04:42:47.040 --> 04:42:48.850
Mr. Simon with California American Water
04:42:48.850 --> 04:42:51.380
has become both a friend
and advocate for myself
04:42:51.380 --> 04:42:52.780
as well as my company.
04:42:52.780 --> 04:42:55.010
He was remarkable
in the way he prepared,
04:42:55.010 --> 04:42:59.040
organized our time and
facilitated Cal Ann's resources
04:42:59.040 --> 04:43:01.160
to address the challenges
and goals we chose
04:43:01.160 --> 04:43:02.517
for our mentor protege program.
04:43:02.517 --> 04:43:04.870
The first meeting outcome was a referral
04:43:04.870 --> 04:43:08.150
and full marketing
review of our capabilities
04:43:08.150 --> 04:43:10.460
to critically understand
how we could fit
04:43:10.460 --> 04:43:12.387
into their protege programs.
04:43:12.387 --> 04:43:16.900
Our second outcome was a
company introduction as the protege
04:43:16.900 --> 04:43:20.290
for American Waters procurement
engineering, construction,
04:43:20.290 --> 04:43:22.250
and diversity inclusion leads.
04:43:22.250 --> 04:43:25.010
Through his advocacy,
we receive resource support
04:43:25.010 --> 04:43:28.110
from California American
Waters legal, the risk management,
04:43:28.110 --> 04:43:30.220
their operations, their marketing,
04:43:30.220 --> 04:43:31.757
and we're even included in recognition
04:43:31.757 --> 04:43:35.763
and their internal and
external public communications.
04:43:35.763 --> 04:43:38.800
I described the biggest three successes.
04:43:38.800 --> 04:43:42.330
It would be advocacy,
education and visibility.
04:43:42.330 --> 04:43:43.880
Thank you for this opportunity.
04:43:45.140 --> 04:43:48.443
Thank you very much,
Lianne, our next caller please.
04:43:51.290 --> 04:43:53.420
And our next
caller is Julian Kennedy.
04:43:53.420 --> 04:43:54.270
You may go ahead.
04:43:56.490 --> 04:43:57.766
Thank you, Commissioner.
04:43:57.766 --> 04:43:59.849
Thank you, Commissioners.
04:44:05.207 --> 04:44:07.483
We're having
trouble hearing you.
04:44:09.544 --> 04:44:10.464
Can you start again?
04:44:10.464 --> 04:44:13.660
We did not hear the
beginning of what you said,
04:44:13.660 --> 04:44:14.493
you faded out.
04:44:14.493 --> 04:44:19.400
Could you please maybe get
closer to them the phone or,
04:44:21.300 --> 04:44:23.120
but we were having trouble hearing you.
04:44:23.120 --> 04:44:24.223
Please start again.
04:44:31.080 --> 04:44:35.520
Operator, are you able
to connect with Julian?
04:44:35.520 --> 04:44:37.219
It looks like
Julian disconnected,
04:44:37.219 --> 04:44:38.670
but he may dial back.
04:44:38.670 --> 04:44:39.750
'Cause this is the second time
04:44:39.750 --> 04:44:41.350
he's been in the call today, so.
04:44:42.270 --> 04:44:43.700
Okay, well let's wait for that.
04:44:43.700 --> 04:44:46.010
Are there other callers in the queue?
04:44:46.010 --> 04:44:47.860
Yes,
Christopher Fleming,
04:44:47.860 --> 04:44:48.960
you may go ahead, sir.
04:44:50.300 --> 04:44:52.264
Well, thank you.
04:44:52.264 --> 04:44:56.990
Good afternoon, distinguished
Commissioners or the CPUC.
04:44:56.990 --> 04:44:58.570
My name is Christopher Fleming.
04:44:58.570 --> 04:45:03.570
I live at 1513, Flying Mist
Road, San Leandro, California.
04:45:04.520 --> 04:45:06.750
And I wanted to speak
about rooftop solar
04:45:06.750 --> 04:45:08.780
and battery storage.
04:45:08.780 --> 04:45:13.370
I wanna protect that
from being overtaxed
04:45:13.370 --> 04:45:15.670
and driven out of existence,
04:45:15.670 --> 04:45:17.420
and I wanna make it more equitable.
04:45:19.330 --> 04:45:21.700
I'm calling today to ask you assurances
04:45:21.700 --> 04:45:25.080
in protecting the rights
of retired senior citizens,
04:45:25.080 --> 04:45:28.490
like my wife, since he and I
to enjoy the energy efficiency
04:45:28.490 --> 04:45:31.313
and cost savings of
rooftop solar on our home.
04:45:32.390 --> 04:45:35.270
PG&E is pressuring you,
04:45:35.270 --> 04:45:37.803
the California Public
Utilities Commission
04:45:37.803 --> 04:45:40.970
and the state legislature
to yield to their demand,
04:45:40.970 --> 04:45:44.070
to tax and increase the cost
of rooftop solar for retirees
04:45:44.070 --> 04:45:46.960
and fixed income families,
trying to do their part
04:45:46.960 --> 04:45:49.883
to reduce the carbon
footprint on an earth in peril.
04:45:51.000 --> 04:45:54.930
Many of California's wildfires
and the deadly natural gas
04:45:54.930 --> 04:45:58.580
firestorm in San Bruno
were a direct result of PG&Es,
04:45:58.580 --> 04:46:01.750
lacks management of
transmission line infrastructure
04:46:01.750 --> 04:46:03.920
oversight, and maintenance.
04:46:03.920 --> 04:46:06.430
Now, PG&E wants to tax you on right
04:46:06.430 --> 04:46:10.363
to generate rooftop solar and
battery storage in our homes.
04:46:11.240 --> 04:46:16.240
Why upon your senior
citizens like Governor Newsome
04:46:16.850 --> 04:46:20.730
and you members, the distinguished
Commissioners of the CPUC
04:46:20.730 --> 04:46:24.550
to stand with and defend
rooftop solar power
04:46:24.550 --> 04:46:26.920
and battery storage
for California families
04:46:26.920 --> 04:46:28.103
and senior citizens.
04:46:29.220 --> 04:46:32.120
Respectfully submitted
on this day to you,
04:46:32.120 --> 04:46:34.970
by Chris, and since
this Fleming retirees,
04:46:34.970 --> 04:46:36.483
San Leandro, California.
04:46:39.590 --> 04:46:42.340
Thank you very much,
operator our next caller please.
04:46:46.249 --> 04:46:47.082
And our next caller,
04:46:47.082 --> 04:46:49.087
we have Julian Kennedy back.
04:46:49.087 --> 04:46:49.937
You may go ahead.
04:46:51.650 --> 04:46:53.340
Thank you, Julian Kennedy
04:46:53.340 --> 04:46:55.990
with California Hispanic
Chambers of Commerce.
04:46:55.990 --> 04:46:58.394
And thank you Commissioners again
04:46:58.394 --> 04:47:02.130
for this wonderful En Banc hearing.
04:47:02.130 --> 04:47:03.840
Again, I did wanna address first.
04:47:03.840 --> 04:47:05.950
You guys just finished with PTA.
04:47:05.950 --> 04:47:06.880
I did wanna say
04:47:06.880 --> 04:47:10.010
that the California Senate
Chambers of Commerce
04:47:10.010 --> 04:47:11.930
is pleased to say that we've met
04:47:11.930 --> 04:47:14.710
with the DCA State Association,
04:47:14.710 --> 04:47:17.030
and we're putting together
a collaborative effort
04:47:17.030 --> 04:47:18.880
to help them in this area
04:47:20.470 --> 04:47:22.190
as you guys were all talking about.
04:47:22.190 --> 04:47:23.999
So again, we're excited about that.
04:47:23.999 --> 04:47:26.690
Being able to make sure we connect them
04:47:26.690 --> 04:47:29.080
with our diverse chambers
throughout the state
04:47:29.080 --> 04:47:31.680
where they're our CCA
so they can help and assist
04:47:32.610 --> 04:47:35.403
with the developing
procurement opportunity.
04:47:36.910 --> 04:47:41.197
Secondly we have had
wonderful relationships
04:47:43.090 --> 04:47:45.910
with our investor
owned utility, the PG&Es,
04:47:45.910 --> 04:47:50.440
the San Francisco and
the certain (indistinct)
04:47:50.440 --> 04:47:52.340
on the electrical side.
04:47:52.340 --> 04:47:54.780
And I do wanna say one thing
we've been concentrating on
04:47:54.780 --> 04:47:58.940
and something that I think is
important is that number one,
04:47:58.940 --> 04:48:03.940
we've always speak of supplier
diversity and development,
04:48:04.540 --> 04:48:06.080
but really getting down to the point
04:48:06.080 --> 04:48:08.180
of making our businesses competitive
04:48:08.180 --> 04:48:10.308
so they can win that contract.
04:48:10.308 --> 04:48:12.950
So we have to do more than
just bringing diverse suppliers
04:48:12.950 --> 04:48:15.020
to the table, developing.
04:48:15.020 --> 04:48:17.430
We have to also make
them very competitive
04:48:17.430 --> 04:48:20.210
so they can compete
and win that contract.
04:48:20.210 --> 04:48:22.090
And finally we have another,
04:48:22.090 --> 04:48:24.071
a number of new opportunities out there
04:48:24.071 --> 04:48:27.520
that are being created at
developing diverse suppliers,
04:48:27.520 --> 04:48:30.603
and keeping that
pipeline fields for GO 156,
04:48:31.640 --> 04:48:35.660
and also one right now is with T-Mobile
04:48:35.660 --> 04:48:37.287
who were doing some fantastic work
04:48:37.287 --> 04:48:39.180
of being able to help them
04:48:39.180 --> 04:48:41.260
build their supplier base as well.
04:48:41.260 --> 04:48:44.630
But other telecom companies
have also been working with us
04:48:44.630 --> 04:48:46.300
on the telecom side as well.
04:48:46.300 --> 04:48:47.470
So again, thank you.
04:48:47.470 --> 04:48:50.200
We thank you for your
support in this area as always.
04:48:50.200 --> 04:48:54.530
And we look forward to continuing
to bring you our comments
04:48:54.530 --> 04:48:59.370
and hopefully ideas that are innovative
04:48:59.370 --> 04:49:02.653
and continue to create that
strong supplier base, thank you.
04:49:05.050 --> 04:49:06.230
Thank you very much, Julian.
04:49:06.230 --> 04:49:09.142
Are there additional calls, operator?
04:49:09.142 --> 04:49:11.153
Yes, we do
have additional callers,
04:49:11.153 --> 04:49:12.800
before we go to the next caller.
04:49:12.800 --> 04:49:15.075
If you wish to speak
during the public comment,
04:49:15.075 --> 04:49:18.000
please press star one on mute your phone
04:49:18.000 --> 04:49:20.720
and provide your name when prompted.
04:49:20.720 --> 04:49:23.240
Our next caller is Lucas Micha.
04:49:23.240 --> 04:49:24.090
You may go ahead.
04:49:25.350 --> 04:49:28.410
Hi, as I mentioned,
my name is Lucas.
04:49:28.410 --> 04:49:31.040
I am with (indistinct)
04:49:31.040 --> 04:49:33.823
and we're doing a lot
of wild fire mitigation.
04:49:38.550 --> 04:49:41.250
We're having trouble
hearing you you're breaking up.
04:49:42.300 --> 04:49:44.937
Excuse me,
hear me better now?
04:49:44.937 --> 04:49:48.565
That's better, but we
were having trouble hearing.
04:49:48.565 --> 04:49:50.600
Okay.
04:49:50.600 --> 04:49:51.670
So we're a drone company
04:49:51.670 --> 04:49:56.060
that disabled veteran
business enterprise,
04:49:56.060 --> 04:49:58.397
and we do a lot of welfare mitigation,
04:49:58.397 --> 04:50:00.790
and a lot of the technologies
that are coming out
04:50:00.790 --> 04:50:03.140
like drones are providing
a lot of opportunities
04:50:03.140 --> 04:50:04.650
for diverse suppliers,
04:50:04.650 --> 04:50:08.220
but what other opportunities
could drones provide
04:50:08.220 --> 04:50:10.350
to this industry that a diverse supplier
04:50:10.350 --> 04:50:11.863
like ourselves could fill?
04:50:17.250 --> 04:50:18.083
Thank you.
04:50:22.270 --> 04:50:24.683
Thank you, operator
our next caller, please.
04:50:26.590 --> 04:50:28.990
And I have no additional
callers in queue at this time,
04:50:28.990 --> 04:50:30.130
but again, that is star one,
04:50:30.130 --> 04:50:32.280
if you would like to
make a public comment.
04:50:46.370 --> 04:50:48.240
Okay, it doesn't seem
04:50:48.240 --> 04:50:50.873
like there are any
additional public commentors.
04:50:52.200 --> 04:50:54.620
With that I'm gonna
thank the commenters,
04:50:54.620 --> 04:50:56.440
thank you for keeping
within two minutes,
04:50:56.440 --> 04:50:59.350
I'm gonna turn to my
fellow Commissioners
04:50:59.350 --> 04:51:03.830
to see if they have any
closing remarks or anything
04:51:03.830 --> 04:51:04.883
they'd like to say.
04:51:10.770 --> 04:51:12.650
Commissioner Guzman Aceves.
04:51:12.650 --> 04:51:15.623
Yes, I just want to thank
all the staff in particular,
04:51:15.623 --> 04:51:19.110
Stephanie Green and her wonderful team.
04:51:19.110 --> 04:51:21.666
Drisha Milton and others.
04:51:21.666 --> 04:51:26.150
I did wanna recognize
one of the comments made
04:51:26.150 --> 04:51:28.450
earlier today and also by the callers,
04:51:28.450 --> 04:51:32.620
which is that we may
need a separate set of focus
04:51:33.474 --> 04:51:38.474
and strategies on those
utilities and those CCAs
04:51:39.240 --> 04:51:43.200
that are at a different evolution
04:51:43.200 --> 04:51:47.470
and really having maybe
a two tiered strategy
04:51:47.470 --> 04:51:50.330
where there continues
to be innovation with those
04:51:50.330 --> 04:51:55.130
that have been implementing
this policy for decades,
04:51:55.130 --> 04:51:58.750
but also recognizing that we need
04:51:58.750 --> 04:52:00.920
to maybe take a more focused approach
04:52:00.920 --> 04:52:02.343
with those that are newer.
04:52:03.840 --> 04:52:07.570
And so just wanna reflect
on that and thank everybody
04:52:07.570 --> 04:52:09.293
for their participation today.
04:52:14.070 --> 04:52:18.190
Thank you, that is
an interesting point.
04:52:18.190 --> 04:52:23.190
They entities are in very,
very differently situated,
04:52:23.660 --> 04:52:27.160
both in experience, legal limitations,
04:52:27.160 --> 04:52:31.470
and their ability to access
the kinds of goods and services
04:52:31.470 --> 04:52:33.150
that they contract for them.
04:52:35.398 --> 04:52:40.398
Are there any other comments,
closing comments or thoughts?
04:52:41.167 --> 04:52:42.753
Commissioner Shiroma.
04:52:43.920 --> 04:52:48.920
Thank you, again, a very
important conversation.
04:52:50.350 --> 04:52:54.200
Thank you, Stephanie,
to you and your team
04:52:54.200 --> 04:52:57.477
for the GO 156 effort.
04:52:57.477 --> 04:53:02.190
I think again, it really highlights
04:53:03.150 --> 04:53:06.950
the importance of the program
04:53:06.950 --> 04:53:10.510
and that even some of
the very large companies
04:53:10.510 --> 04:53:15.510
and other communication
companies, there are these big gaps,
04:53:16.370 --> 04:53:19.240
and I'm hoping in this coming year,
04:53:19.240 --> 04:53:23.203
and there's still a few
more months left to 2021,
04:53:24.250 --> 04:53:29.250
but really for there to
be a I'll call it a core view
04:53:32.980 --> 04:53:37.980
of the importance of California,
the California economy.
04:53:38.283 --> 04:53:42.380
We have the fifth
largest GDP in the world.
04:53:42.380 --> 04:53:47.380
We have an economic engine
that helps in the rest of the US.
04:53:50.780 --> 04:53:55.780
And so for these
corporations and utilities,
04:53:55.830 --> 04:53:59.444
and it is important
to really pay attention
04:53:59.444 --> 04:54:04.441
and fulfill the
aspirational and real goals
04:54:04.441 --> 04:54:09.441
of the original thinking by
somebody who women more,
04:54:11.540 --> 04:54:15.240
and I had was very much
emphasized by Chris Holden
04:54:15.240 --> 04:54:17.320
and Senator Bradford.
04:54:17.320 --> 04:54:21.490
So I think that metrics
are important to me
04:54:21.490 --> 04:54:23.960
compared to seek them and figure out
04:54:23.960 --> 04:54:26.080
how to drill down into those.
04:54:26.080 --> 04:54:31.080
And then also the O-N-E-N-O
Marketing Education Outreach
04:54:31.830 --> 04:54:36.830
that to assure that there
are budgets within the utilities
04:54:38.470 --> 04:54:43.470
for reaching out to their
GO 156 qualified suppliers,
04:54:44.770 --> 04:54:48.569
to look at how to qualify more suppliers
04:54:48.569 --> 04:54:52.850
and to see what best
practices there are,
04:54:52.850 --> 04:54:56.180
that can be used by
some of the smaller folks,
04:54:56.180 --> 04:54:58.290
the CCA to catch up.
04:54:58.290 --> 04:54:59.180
So thank you very much.
04:54:59.180 --> 04:55:01.930
Thank you, Commissioner Rechtschaffen
04:55:01.930 --> 04:55:05.073
for heading up this
effort this year, thank you.
04:55:06.540 --> 04:55:09.140
Thank you,
Commissioner Shiroma,
04:55:09.140 --> 04:55:11.053
Commissioner Houck, please.
04:55:12.090 --> 04:55:13.830
It just brings it, I
wanted to also, again,
04:55:13.830 --> 04:55:17.410
thank Stephanie Green
team for all of their work,
04:55:17.410 --> 04:55:19.960
your leadership on this important topic,
04:55:19.960 --> 04:55:21.980
a lot of good discussion today.
04:55:21.980 --> 04:55:26.980
And I do think given what we've
heard today in the comments,
04:55:27.080 --> 04:55:28.726
especially from the first panel
04:55:28.726 --> 04:55:32.670
that we should look at exploring
maybe a two tiered system
04:55:32.670 --> 04:55:36.870
for the IOUs that are
not meeting the goals.
04:55:36.870 --> 04:55:41.060
And I look forward to
continuing this discussion,
04:55:41.060 --> 04:55:44.303
and appreciate everyone's
participation today.
04:55:47.010 --> 04:55:51.390
Thank you, I wanna
echo our deep appreciation
04:55:51.390 --> 04:55:55.778
and special thanks to
the hardworking staff
04:55:55.778 --> 04:55:59.040
that run this program
and put this panel together.
04:55:59.040 --> 04:56:02.270
And in addition to Stephanie
Green and Drisha Melton,
04:56:02.270 --> 04:56:04.430
I wanna also acknowledge and apologize
04:56:04.430 --> 04:56:06.154
for not acknowledging earlier.
04:56:06.154 --> 04:56:10.310
These are with Dr.Houck,
a very, very hardworking,
04:56:10.310 --> 04:56:13.510
incredibly competent
staff to run a program.
04:56:13.510 --> 04:56:16.108
That's the model of the country.
04:56:16.108 --> 04:56:19.970
Thank you everybody
who participated today,
04:56:19.970 --> 04:56:24.070
all the organizations,
community groups, and others,
04:56:24.070 --> 04:56:26.320
I thought it was very educational,
04:56:26.320 --> 04:56:28.597
engaging, insightful discussion.
04:56:28.597 --> 04:56:31.403
And we got some very concrete ideas.
04:56:32.320 --> 04:56:36.000
We weren't at just high
level, nice sound bites,
04:56:36.000 --> 04:56:37.350
but we really had,
04:56:37.350 --> 04:56:40.810
we got down to brass tacks
of things that are problems
04:56:40.810 --> 04:56:42.620
and potential solutions.
04:56:42.620 --> 04:56:47.330
And I appreciate the honest
engagement from everybody.
04:56:47.330 --> 04:56:50.200
With that, unless President Batjer
04:56:50.200 --> 04:56:53.581
has just returned in time.
04:56:53.581 --> 04:56:57.681
We were literally gonna
sign off, but President Batjer,
04:56:57.681 --> 04:57:02.681
I'm happy if you wanted
to give any final thoughts.
04:57:04.560 --> 04:57:06.640
We, our public comment
period did not run
04:57:06.640 --> 04:57:08.440
as long as we anticipated.
04:57:08.440 --> 04:57:10.560
So we are all the other Commissioners
04:57:10.560 --> 04:57:13.770
have all given closing
remarks and thanks.
04:57:13.770 --> 04:57:16.670
But before we do, do
you wanna add anything?
04:57:16.670 --> 04:57:18.701
Well, thank you.
04:57:18.701 --> 04:57:22.180
I did hear the end of
Commissioner Shiroma's
04:57:22.180 --> 04:57:27.063
and Aceves and of course
you're very wonderful and warm,
04:57:27.930 --> 04:57:29.387
thanks to everyone.
04:57:29.387 --> 04:57:31.520
But I do want just a couple of things,
04:57:31.520 --> 04:57:33.408
'cause I know it's been a very long day,
04:57:33.408 --> 04:57:36.910
but if I do wanna
thank you in particular
04:57:36.910 --> 04:57:40.020
for running this, this year,
04:57:40.020 --> 04:57:43.760
you have a huge
plate that is hugely full.
04:57:43.760 --> 04:57:47.076
And I am always in wonderment of you,
04:57:47.076 --> 04:57:52.071
and this is just one more
added point of wonderment.
04:57:52.071 --> 04:57:57.071
But adding to my great
gratitude of course,
04:57:57.280 --> 04:58:02.280
is my gratitude to Stephanie
Green and Drisha Melton,
04:58:02.800 --> 04:58:05.187
and Bezawit Dilgassa.
04:58:05.187 --> 04:58:09.430
You are a mighty little
team and you do an awful lot.
04:58:09.430 --> 04:58:12.030
And the gathering of the
data, analyzing the data,
04:58:12.030 --> 04:58:14.170
the reportings of the legislature,
04:58:14.170 --> 04:58:17.350
all that you do is quite extraordinary,
04:58:17.350 --> 04:58:21.580
but it's not just the doing
it is what it's resulting in.
04:58:21.580 --> 04:58:26.580
And it's really resulting
in employing thousands,
04:58:29.620 --> 04:58:30.550
if not millions,
04:58:30.550 --> 04:58:32.880
when you think of the
secondary and tertiary impacts
04:58:32.880 --> 04:58:35.580
of people in California,
04:58:35.580 --> 04:58:38.420
people that really are
the engine of our economy
04:58:38.420 --> 04:58:39.965
and that's our small businesses,
04:58:39.965 --> 04:58:43.696
and in the sectors that
are so very important
04:58:43.696 --> 04:58:47.120
and have really struggled
during the pandemic.
04:58:47.120 --> 04:58:50.310
So this is just extraordinary
work that you've done.
04:58:50.310 --> 04:58:52.780
And we're also appreciative.
04:58:52.780 --> 04:58:57.420
We did see today, some
real, not holes in our program,
04:58:57.420 --> 04:58:59.746
but things that still need work
04:58:59.746 --> 04:59:03.700
that each individual
Commissioner can work on,
04:59:03.700 --> 04:59:06.370
and in our own important ways.
04:59:06.370 --> 04:59:09.210
And of course the program can work on,
04:59:09.210 --> 04:59:12.401
and that's the IOUs
utility, excuse me, should.
04:59:12.401 --> 04:59:16.133
And the telcos, they
have a lot of work to do.
04:59:17.190 --> 04:59:19.750
I am for one, we're
particularly concerned
04:59:19.750 --> 04:59:23.430
about the telcos to tell you the truth,
04:59:23.430 --> 04:59:25.710
and what they're doing
and how they're doing it.
04:59:25.710 --> 04:59:28.460
I think we have a lot
of fertile ground there
04:59:28.460 --> 04:59:32.980
to really work on.
04:59:32.980 --> 04:59:37.870
So was that I do wanna thank
everyone who's participated
04:59:37.870 --> 04:59:42.870
and the public, the IOUs, the telcos,
04:59:44.760 --> 04:59:48.120
all of the companies and all
of the small business people,
04:59:48.120 --> 04:59:50.460
you are to be congratulated and thanks.
04:59:50.460 --> 04:59:52.830
And thank you to my
fellow Commissioners,
04:59:52.830 --> 04:59:55.070
have a lovely
afternoon, what's left of it,
04:59:55.070 --> 04:59:56.943
and a very nice evening.