WEBVTT 00:00:00.560 --> 00:00:02.060 Thank you for your patience. 00:00:10.510 --> 00:00:12.340 Welcome and thank you all for standing by 00:00:12.340 --> 00:00:16.300 and welcome to the California Public Utilities Commission 00:00:16.300 --> 00:00:17.590 conference call. 00:00:17.590 --> 00:00:18.900 I would now like to turn the call over 00:00:18.900 --> 00:00:20.092 to President Batjer. 00:00:20.092 --> 00:00:21.863 Thank you, you may begin. 00:00:22.700 --> 00:00:24.700 Thank you very much. 00:00:24.700 --> 00:00:27.320 I wanna welcome everyone this morning, 00:00:27.320 --> 00:00:29.570 and I do want to remind everyone 00:00:29.570 --> 00:00:31.400 that this is a public meeting 00:00:31.400 --> 00:00:33.730 and it is being recorded 00:00:33.730 --> 00:00:37.140 and may be posted online for subsequent viewing. 00:00:37.140 --> 00:00:39.840 By continuing to attend this meeting 00:00:39.840 --> 00:00:42.150 you consent to being recorded. 00:00:42.150 --> 00:00:45.540 If you do not consent, please disconnect now. 00:00:45.540 --> 00:00:46.780 Thank you. 00:00:46.780 --> 00:00:47.760 Again, good morning 00:00:47.760 --> 00:00:50.347 and welcome to the California Public Utilities Commission's 00:00:50.347 --> 00:00:54.520 19th annual supplier diversity En Banc. 00:00:54.520 --> 00:00:55.353 I am Marybel Batjer, 00:00:55.353 --> 00:00:59.000 the president of the California Public Utilities Commission. 00:00:59.000 --> 00:01:02.782 It is my pleasure to welcome all of you to the 19th annual 00:01:02.782 --> 00:01:07.460 supplier diversity En Banc on General Order 156. 00:01:07.460 --> 00:01:11.297 And our theme today is General Order 156, 00:01:11.297 --> 00:01:15.581 "Thriving and Surviving During a Pandemic." 00:01:15.581 --> 00:01:17.920 The utility supplier diversity program 00:01:17.920 --> 00:01:19.952 was created as a voluntary program 00:01:19.952 --> 00:01:22.390 over three decades ago, 00:01:22.390 --> 00:01:25.000 to encourage a fair proportion 00:01:25.000 --> 00:01:27.300 of the total utility contracts 00:01:27.300 --> 00:01:30.650 and subcontracts for products and services, 00:01:30.650 --> 00:01:34.050 be awarded to diverse businesses. 00:01:34.050 --> 00:01:36.570 Over the years, it has expanded 00:01:36.570 --> 00:01:40.434 and today includes businesses owned by women, minorities, 00:01:40.434 --> 00:01:44.820 disabled veterans, and the LGBT community. 00:01:44.820 --> 00:01:45.950 The program has, 00:01:45.950 --> 00:01:50.093 was recently updated with the passage of SB 255 00:01:52.000 --> 00:01:55.160 by Senator Bradford to include procurement 00:01:55.160 --> 00:01:58.740 and reporting requirements from electric service providers 00:01:58.740 --> 00:02:00.613 and community choice aggregators. 00:02:01.490 --> 00:02:03.950 The program has continued to make great strides 00:02:03.950 --> 00:02:05.870 to support supplier diversity 00:02:05.870 --> 00:02:08.410 since it was first adopted in 1988. 00:02:09.741 --> 00:02:14.741 In 2020, the reporting utilities procured $11.7 billion 00:02:17.740 --> 00:02:20.431 from diverse firms which exceeded. 00:02:20.431 --> 00:02:25.270 Which exceed spend goals of 21.5% 00:02:25.270 --> 00:02:27.960 while the goals of the program were met, 00:02:27.960 --> 00:02:31.380 the actual spend for diverse enterprise declines 00:02:31.380 --> 00:02:34.279 during the COVID 19 pandemic. 00:02:34.279 --> 00:02:38.600 The Commission is hopeful that today's event 00:02:38.600 --> 00:02:41.760 will shed some light on procurement challenges 00:02:41.760 --> 00:02:45.410 due to the pandemic and suggest some solutions 00:02:45.410 --> 00:02:47.900 on how to increase participation 00:02:47.900 --> 00:02:51.413 with diverse suppliers in utility supply chain. 00:02:52.470 --> 00:02:55.480 I would like now to welcome my fellow Commissioners 00:02:55.480 --> 00:02:58.340 to make any opening remarks they may have 00:02:58.340 --> 00:03:01.010 I'll start with Commissioner Cliff Rechtschaffen, 00:03:01.010 --> 00:03:02.650 who is the lead Commissioner 00:03:02.650 --> 00:03:06.700 on the Commission's efforts to modify General Order 156 00:03:06.700 --> 00:03:10.540 in accordance with assembly bill 1678, 00:03:10.540 --> 00:03:12.533 Commissioner Cliff Rechtschaffen, good morning. 00:03:14.260 --> 00:03:15.390 Thank you very much, President Batjer. 00:03:15.390 --> 00:03:19.390 Welcome everybody. I'd like to echo your comments. 00:03:19.390 --> 00:03:21.130 Thank you all for being here 00:03:21.130 --> 00:03:25.580 and supporting the Supplier Diversity Program 00:03:25.580 --> 00:03:27.320 for over 30 years. 00:03:27.320 --> 00:03:29.270 This has been one of our most important 00:03:29.270 --> 00:03:31.203 and impactful programs. 00:03:32.060 --> 00:03:33.890 As President Batjer mentioned, 00:03:33.890 --> 00:03:36.610 there have been significant program challenges 00:03:36.610 --> 00:03:40.263 for participants as a result of COVID. 00:03:40.263 --> 00:03:45.263 We're interested in hearing updates about how utilities CCAs 00:03:45.737 --> 00:03:47.226 and suppliers have addressed these 00:03:47.226 --> 00:03:49.630 pandemic related challenges, 00:03:49.630 --> 00:03:52.182 as well as recent progress in promoting 00:03:52.182 --> 00:03:55.660 diverse supplier procurement. 00:03:55.660 --> 00:03:57.180 This year as President Batjer 00:03:57.180 --> 00:04:01.690 know I'm the lead Commissioner on a proceeding that we have 00:04:01.690 --> 00:04:05.703 to update and improve the program through an act. 00:04:06.630 --> 00:04:11.313 The rulemaking is 2103-010. 00:04:12.210 --> 00:04:14.689 The issues we've been dealing with include 00:04:14.689 --> 00:04:19.689 setting a numerical procurement target for LGBT businesses 00:04:20.330 --> 00:04:22.860 and evaluating what our methodology 00:04:22.860 --> 00:04:25.403 should be for setting targets, going forward. 00:04:26.340 --> 00:04:29.600 Adding businesses owned by disabled individuals 00:04:29.600 --> 00:04:32.373 as a category to include in our program, 00:04:33.540 --> 00:04:37.220 considering requirements to have reporting of workforce 00:04:37.220 --> 00:04:41.271 and board diversity and implementing the requirements 00:04:41.271 --> 00:04:44.220 of SB 255, 00:04:44.220 --> 00:04:48.860 which extends the program to include CCAs and ESPs. 00:04:50.290 --> 00:04:52.420 I wanna thank the many organizations 00:04:52.420 --> 00:04:55.801 that have worked with us this year. 00:04:55.801 --> 00:04:59.960 Your participation is critical to creating a program 00:04:59.960 --> 00:05:02.200 that stays up-to-date. 00:05:02.200 --> 00:05:05.770 I wanna also commend the supplier diversity staff 00:05:05.770 --> 00:05:08.320 for preparing a very interesting report 00:05:08.320 --> 00:05:10.710 about the extent to which utilities 00:05:10.710 --> 00:05:12.768 are contracting with diverse 00:05:12.768 --> 00:05:16.320 and non-diverse suppliers in environmental 00:05:16.320 --> 00:05:18.390 social justice communities, 00:05:18.390 --> 00:05:21.640 which you'll hear about in the staff presentation. 00:05:21.640 --> 00:05:24.640 This is very highly relevant to helping 00:05:24.640 --> 00:05:26.900 to further one of the goals in our environmental 00:05:26.900 --> 00:05:29.210 and social justice action plan, 00:05:29.210 --> 00:05:32.890 increasing economic opportunities in these communities. 00:05:32.890 --> 00:05:36.810 And finally, I wanna in particular thank our staff, 00:05:36.810 --> 00:05:39.980 Stephanie Green and Drisha Melton who you'll hear from. 00:05:39.980 --> 00:05:42.400 As the lead Commissioner, I've had the pleasure 00:05:42.400 --> 00:05:44.890 of working more closely with them this year, 00:05:44.890 --> 00:05:47.452 and I've gotten to see how incredibly dedicated 00:05:47.452 --> 00:05:50.680 and talented they are at their jobs 00:05:51.550 --> 00:05:53.750 With that I look forward to today's program. 00:05:54.740 --> 00:05:57.137 Thank you very much, Commissioner Cliff Rechtschaffen. 00:05:57.137 --> 00:06:00.430 I'll next turn to Commissioner Houck 00:06:01.787 --> 00:06:04.637 for any remarks that she would like to make this morning. 00:06:05.640 --> 00:06:07.730 Thank you, President Batjer, just very briefly. 00:06:07.730 --> 00:06:10.656 I also would like to thank Stephanie Green, Tricia 00:06:10.656 --> 00:06:12.350 and their team for all the work 00:06:12.350 --> 00:06:14.140 in putting today's En Banc together 00:06:14.140 --> 00:06:16.240 and Commissioner Rechtschaffen for his leadership 00:06:16.240 --> 00:06:19.293 on this matter and then all of the speakers 00:06:19.293 --> 00:06:22.290 and panelists that are here today for this important event, 00:06:22.290 --> 00:06:23.680 I'm looking forward to hearing from everyone 00:06:23.680 --> 00:06:25.595 on the progress that's being made 00:06:25.595 --> 00:06:27.300 and meeting our goals 00:06:27.300 --> 00:06:29.160 and how we can continue to improve 00:06:29.160 --> 00:06:33.390 on expanding the diversity of our utility supplier pools 00:06:33.390 --> 00:06:36.000 and again this is my Banc as a Commissioner, 00:06:36.000 --> 00:06:37.470 and I'm very much looking forward 00:06:37.470 --> 00:06:39.503 to hearing all of the speakers. 00:06:40.350 --> 00:06:41.600 Thank you Commissioner Houck, 00:06:41.600 --> 00:06:44.540 I wish in that this is your first En Banc. 00:06:44.540 --> 00:06:46.360 I wish that we were all together 00:06:46.360 --> 00:06:49.810 'cause this is one of the most enjoyable, thoughtful, 00:06:49.810 --> 00:06:52.500 interesting meetings that we have during the year. 00:06:52.500 --> 00:06:55.350 And I miss being on many levels, I miss being together, 00:06:55.350 --> 00:06:58.460 but I particularly missed in this En Banc. 00:06:58.460 --> 00:07:01.103 Commissioner Shiroma please. 00:07:02.780 --> 00:07:04.020 Yes, good morning everyone. 00:07:04.020 --> 00:07:05.547 Thank you, President Batjer, 00:07:07.100 --> 00:07:10.570 to my colleagues Chair Holding the right keys 00:07:10.570 --> 00:07:12.660 to attend the En Banc. 00:07:12.660 --> 00:07:16.880 I think it's critical year it's the first En Banc 00:07:16.880 --> 00:07:19.870 after a full year of supply chain disruptions 00:07:19.870 --> 00:07:24.460 and delays after a full year during a pandemic 00:07:24.460 --> 00:07:28.608 and last year has been especially hard on small businesses. 00:07:28.608 --> 00:07:31.220 There's been a shift to online purchasing 00:07:31.220 --> 00:07:34.990 and every spending category in the United States. 00:07:34.990 --> 00:07:37.880 Small businesses don't always have the resources to set up 00:07:37.880 --> 00:07:40.190 an online store or service, 00:07:40.190 --> 00:07:43.350 especially when it comes to handling order logistics. 00:07:43.350 --> 00:07:46.230 It's the same when a business is in the service sector, 00:07:46.230 --> 00:07:48.930 relies on people physically performing a job, 00:07:48.930 --> 00:07:50.154 people being together, 00:07:50.154 --> 00:07:53.478 the pandemic has made it even more difficult to thrive. 00:07:53.478 --> 00:07:57.077 These challenges definitely were essentially by the pandemic 00:07:57.077 --> 00:07:59.770 and the challenges are also the reason why 00:07:59.770 --> 00:08:01.660 it is more important than ever 00:08:01.660 --> 00:08:05.470 that our supplies program continues to see expansion 00:08:05.470 --> 00:08:07.210 and improvement. 00:08:07.210 --> 00:08:11.140 I am aware of the challenges that our small businesses 00:08:11.140 --> 00:08:16.140 and making payroll as PCP enables a diverse screen 00:08:16.510 --> 00:08:18.120 of energy resources. 00:08:18.120 --> 00:08:19.040 I mean, unless it's a system, 00:08:19.040 --> 00:08:23.070 we must also see that is hard by first range 00:08:23.070 --> 00:08:24.230 of business suppliers. 00:08:24.230 --> 00:08:27.376 So I'm looking forward to parts from our panelists today 00:08:27.376 --> 00:08:29.300 and participating in a productive 00:08:29.300 --> 00:08:30.850 and candid discussion. 00:08:30.850 --> 00:08:32.500 I thank you for all 00:08:32.500 --> 00:08:35.980 and also thank you to Stephanie Green and Drisha Melton 00:08:35.980 --> 00:08:39.550 for making it possible for us to have this En Banc today. 00:08:39.550 --> 00:08:40.800 Thank you. 00:08:40.800 --> 00:08:42.076 Thank you, Commissioner Shiroma. 00:08:42.076 --> 00:08:44.900 Commissioner Guzman Aceves. 00:08:44.900 --> 00:08:45.950 Thank you, President Batjer. 00:08:45.950 --> 00:08:48.240 I think my Commissioners have summed it up well, 00:08:48.240 --> 00:08:50.920 and I'm very much looking forward to today's dialogue 00:08:50.920 --> 00:08:53.897 and getting to some action, thank you. 00:08:53.897 --> 00:08:56.320 Thank you so much, 00:08:56.320 --> 00:08:58.970 and now it's really my pleasure 00:08:58.970 --> 00:09:03.590 to welcome assembly member Holden and Senator Bradford, 00:09:03.590 --> 00:09:06.050 who will be joining us shortly. 00:09:06.050 --> 00:09:08.344 And the virtual dais with us. 00:09:08.344 --> 00:09:12.720 Assembly member Holden serves as chair, 00:09:12.720 --> 00:09:15.440 very important chair of the 00:09:15.440 --> 00:09:18.353 Assembly Committee on Utilities and Energy. 00:09:18.353 --> 00:09:21.040 He's been a major policy thought leader 00:09:21.040 --> 00:09:23.870 and partner as we address many of the state's 00:09:23.870 --> 00:09:28.020 most important issues in an energy challenges. 00:09:28.020 --> 00:09:32.303 So we'll start today with assembly member Holden Mr. Chair. 00:09:34.190 --> 00:09:35.500 Thank you, madam president. 00:09:35.500 --> 00:09:38.440 First of all, it's a pleasure to be here with you. 00:09:38.440 --> 00:09:41.100 I will say that it's bittersweet 00:09:41.100 --> 00:09:45.060 because this will obviously be the last En Banc 00:09:45.060 --> 00:09:47.810 that I'll have an opportunity to participate with you. 00:09:47.810 --> 00:09:51.670 And I just want to acknowledge your great partnership 00:09:51.670 --> 00:09:55.830 with the committee and we've worked well together. 00:09:55.830 --> 00:09:58.290 There've been some really tough times, 00:09:58.290 --> 00:09:59.588 even in recent times, 00:09:59.588 --> 00:10:02.740 but I just want to take this opportunity 00:10:02.740 --> 00:10:04.360 when it per a personal privilege 00:10:04.360 --> 00:10:07.050 to thank you for your service. 00:10:07.050 --> 00:10:09.537 and we know that you're only a phone call, 00:10:09.537 --> 00:10:11.403 will only be a phone call away. 00:10:13.754 --> 00:10:18.060 I also wanna acknowledge the Commission as a whole 00:10:18.060 --> 00:10:20.480 and individual Commissioners who have steadfastly 00:10:20.480 --> 00:10:22.628 held supplier diversity as a priority 00:10:22.628 --> 00:10:27.530 for energy, water and communication providers. 00:10:27.530 --> 00:10:30.300 As you may know diversity in the gears of our economy 00:10:30.300 --> 00:10:33.639 has been a priority for me in the legislature. 00:10:33.639 --> 00:10:35.466 We are now requiring diversity 00:10:35.466 --> 00:10:37.240 of corporate board membership, 00:10:37.240 --> 00:10:41.520 which adds an additional facet of inclusion. 00:10:41.520 --> 00:10:44.640 But we have to work down the economic ladder 00:10:44.640 --> 00:10:46.803 to build diversity at all levels. 00:10:48.744 --> 00:10:51.070 This program has proven to be an important 00:10:51.070 --> 00:10:53.910 and successful rung over time. 00:10:53.910 --> 00:10:56.210 The research behind my work on diversity 00:10:56.210 --> 00:10:58.040 and corporate boards has shown 00:10:58.040 --> 00:10:59.580 that those with a more diverse 00:10:59.580 --> 00:11:01.880 and equitable board have better governance 00:11:01.880 --> 00:11:03.570 and better decision-making, 00:11:03.570 --> 00:11:05.963 which leads to more equally equitable. 00:11:09.303 --> 00:11:11.630 Excuse me Chair Holden, 00:11:11.630 --> 00:11:14.860 where I need to, I don't wanna interrupt you, 00:11:14.860 --> 00:11:17.290 but we have some interference on the line. 00:11:17.290 --> 00:11:20.630 So please everyone be sure you have muted your line. 00:11:20.630 --> 00:11:22.590 We can hear someone talking in the background 00:11:22.590 --> 00:11:25.383 and it's interrupting chairholder presentation. 00:11:25.383 --> 00:11:28.771 So please mute your lines, thank you, chair. 00:11:28.771 --> 00:11:30.130 Thank you. 00:11:30.130 --> 00:11:31.497 This is no doubt equally applicable 00:11:31.497 --> 00:11:35.174 to the business institutions, which feed the corporations. 00:11:35.174 --> 00:11:39.060 The research also shows that we must take measurable actions 00:11:39.060 --> 00:11:42.483 to improve diversity in business sector, over our economy. 00:11:43.850 --> 00:11:46.157 We know that the underrepresented faced barriers 00:11:46.157 --> 00:11:49.340 to getting higher, face hostile environments 00:11:49.340 --> 00:11:52.680 and microaggressions once hired obstacles 00:11:52.680 --> 00:11:54.270 to getting promoted 00:11:54.270 --> 00:11:57.680 and are not able to climb up the ladder of success. 00:11:57.680 --> 00:11:59.720 This is no doubt applies 00:11:59.720 --> 00:12:02.840 to the minority owned businesses as well. 00:12:02.840 --> 00:12:04.710 I also wanna acknowledge the foresight 00:12:04.710 --> 00:12:07.120 of Senator Bradford, who authored legislation 00:12:07.120 --> 00:12:12.120 to expand SB 156 program participants 00:12:12.330 --> 00:12:15.273 to include CCAs and CSPs. 00:12:16.260 --> 00:12:18.610 Based on these first filings, 00:12:18.610 --> 00:12:21.430 it looks like half of the CCAs has stepped up 00:12:21.430 --> 00:12:24.930 to participate, but have a lot of room to grow. 00:12:24.930 --> 00:12:28.760 I am more alarmed by the number of CCAs that did not file 00:12:28.760 --> 00:12:31.290 and the volume of companies from the energy sector 00:12:31.290 --> 00:12:33.220 like storage and DER's, 00:12:33.220 --> 00:12:36.210 which has not heeded senator Bradford's call. 00:12:36.210 --> 00:12:37.670 I look forward to working with you 00:12:37.670 --> 00:12:41.490 to see what we can do to improve that participation. 00:12:41.490 --> 00:12:44.810 The challenges of lack of fairness 00:12:44.810 --> 00:12:46.906 and equity for unrepresented communities 00:12:46.906 --> 00:12:48.989 that existed before the pandemic 00:12:48.989 --> 00:12:52.220 were exacerbated as a result of the pandemic. 00:12:52.220 --> 00:12:56.400 The social and racial inequalities were exposed 00:12:56.400 --> 00:12:58.950 the demand and even greater intentionality 00:12:58.950 --> 00:13:01.730 towards equity and change. 00:13:01.730 --> 00:13:03.405 As it appears, we are now on the brink 00:13:03.405 --> 00:13:05.800 to survive the pandemic. 00:13:05.800 --> 00:13:09.040 It's time to redouble our efforts for upward mobility 00:13:09.040 --> 00:13:12.920 in order that we may thrive beyond the pandemic. 00:13:12.920 --> 00:13:15.587 In closing, borrowing from Jesse Jackson, 00:13:15.587 --> 00:13:18.723 "Inclusion is not a matter of political correctness. 00:13:18.723 --> 00:13:21.170 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 00:13:27.140 --> 00:13:28.643 and thoughtful words. 00:13:29.514 --> 00:13:32.204 We definitely share your concerns 00:13:32.204 --> 00:13:37.170 as well as those thoughts about how we have to have 00:13:37.170 --> 00:13:40.709 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. 00:13:46.968 --> 00:13:49.644 I have joined. 00:13:49.644 --> 00:13:51.290 Oh, that's marvelous. 00:13:51.290 --> 00:13:52.290 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. 00:14:03.550 --> 00:14:07.490 He most recently championed SB 255, 00:14:07.490 --> 00:14:09.600 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.