FOR IMMEDIATE RELEASE
Wednesday, December30, 2020

CONTACT:
MayorPress@sandiego.gov

SAN DIEGO Mayor Todd Gloria issuedthe followingstatementafter the City Councilapproved his requesttoextendof theCitys current gas and electric franchisesthrough June 1, 2021:

I wantto thank the City Councilforunanimouslysupporting the extension of the current gas and electric franchises.This isan important stepthat will allow us tocreate a betterenergy futurefor all San Diegans. The extension givesusenough time to work together withrobustpublic participation to craftthe best possibleset of terms thatbidders forthenew franchisesmustmeet.

Immediately, we will begin work to create a Climate Equity Fund and partner with the City Councils Environment Committeeto schedule a series of community forum to collect input from San Diego residents.

I look forward toa process that willlead to new agreementsthat protectratepayers,allow us toreach our climate goals,provideequitable accesstoenvironmental benefits for allout communities,andgive us the flexibility to explore all options forhow we supply energy to residents and businessesgoing forward.

Background:

SDG&E has held exclusive franchises with the City to provide gas and electric service since 1920. The current franchise agreements, established in 1970, were set to expire on Jan. 17, 2021.

Under a process created by the previous mayoral administration, SDG&E was the lone bidder for a new franchise. However, Mayor Gloria, in consultation with City Attorney Mara Elliott, determined that the bid was unresponsive to the minimum requirements set forth in the Invitation to Bid (ITB). Consequently, the Mayor cancelled the ITB process and initiated talks with SDG&E on extending the current franchises.

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