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SAN DIEGO (CNS) - San Diego's utilities future remains undecided after the City Council debated terms for a franchise agreement for its electric and natural gas provider this week.The council was asked Thursday to agree on the terms it was looking for in the agreement for one of the city's most valuable assets, valued at more than .2 billion.San Diego Gas & Electric has been the sole provider of natural gas and electric utility services for San Diego since 1920. The current franchise agreement, finalized in 1970, is set to expire Jan. 17, 2021. San Diego is California's largest city to have franchise agreements with its utilities.The terms, had they been approved Thursday, would have opened the bidding process for any interested entities to bid on the franchise agreement. They were presented to the council for input and did not technically require council approval.In the coming weeks, the city will release the final terms of the bid document, which will include input received from the public and the council, and the bidding process will begin, officials with Mayor Kevin Faulconer's office told City News Service on Saturday.Once bidding is concluded and a franchise is awarded, the agreement will go to the full council, requiring two-thirds approval.Howard Golub, a consultant for JVJ Pacific Consulting, which the city hired to analyze its needs, recommended the minimum bid in the terms should be million -- low enough to encourage bids but not so low the city and its residents are suffocated by high rates and later surcharges with no money back to show for it, he said."This is the floor, not the ceiling," Golub said.Golub also recommended franchise fees of 3.5% for natural gas and 3% for electric and a 20-year term with the bidder the city chooses.SDG&E is owned by Sempra Energy, an international corporation based in San Diego. Warren Buffett-owned Berkshire Hathaway has expressed interest in the bidding process.An initial proposal by Council President Georgette Gomez was rejected 6-3. It included a provision similar to that of Chula Vista, with a 10-year deal with an automatic renewal if the franchisee had been a "good partner."An amendment by Councilwoman Monica Montgomery raised the minimum bid from the 1% of total value of million to 5%, or 0 million. It also included a climate equity fund and the provision to make the highest bidder subject to collective bargaining from employees who were working for SDG&E -- in case that company does not win the bid."We can't be working toward a just climate future if our partner undermines that," Gomez said.Councilwoman Jennifer Campbell then proposed terms to accept all of JVJ's recommendations with the option to "explore" the climate equity fund. This failed 5-4, with multiple council members switching votes during discussion as amendments were added and removed.Councilman Chris Cate asked for a provision to see and consider all bids for the franchise agreement regardless of the bid offered -- dependent on how closely each bidder met the city's terms.Councilwoman Vivian Moreno said the lack of concrete plan to establish and fund the climate equity fund -- which she said would be funded by the minimum bid and would add "green" elements to portions of the city often underserved -- was automatically unacceptable for her.The council's lack of consensus prompted some speculation about the possibility of municipalizing the city's gas and electric services."I recommend a franchise agreement first," Golub said. "And if that's not feasible, move to a publicly owned utility."High interest rates in 1970 prevented the city from seriously examining that route, but much lower interest rates now make a public-owned utility more feasible, Golub said.According to valuations by business process management company NewGen, the city could buy out SDG&E's infrastructure at a fair market rate of just over billion.According to Golub's recommendations, the city should not do what it did in 1970 -- accept a franchise agreement it wasn't happy with because SDG&E was the sole bidder.More than 80 members of the public called in to the meeting to express support for a franchise renewal of SDG&E or for municipalization.The callers were fairly evenly split, with many of the calls in support of extending the existing franchise agreement with SDG&E coming from employees with the company or those representing the International Brotherhood of Electrical Workers local representing SDG&E workers.They claimed maintaining jobs, 100 years of history with the city and "keeping it local" as reasons to renew the franchise as soon as possible for 20 years or more.Opponents to moving any franchise agreement forward claimed SDG&E's perceived lack of reliability, its high utility costs and its parent company's involvement in fracking are all reasons to avoid franchising with SDG&E.Some of them made impassioned pleas to municipalize the city's gas and electric, essentially making the city take on the burden of providing the utilities.One man urged the council to vote no and do further study on the potential of municipalization and the ramifications of not doing so."When this goes sideways, and it will, you can't say you didn't know," he said. 5295

SAN DIEGO (CNS) - San Diego-based medical equipment manufacturer ResMed Corp. has agreed to pay more than .5 million to resolve allegations that it paid kickbacks to suppliers, sleeps labs and other health care providers in exchange for referrals and prescriptions for its products, the Department of Justice announced Wednesday.The government accused ResMed of violating the Anti-Kickback Statute of the False Claims Act by providing free or below-cost medical equipment to companies in several states. Court documents state that ResMed's products -- which treat sleep apnea and other sleep disorders -- were provided to companies that in some cases began writing prescriptions to their patients entirely for ResMed equipment.Prosecutors say some examples of ResMed kickbacks included free home sleep testing devices, free or below-cost positive airway pressure masks and diagnostic machines, and free telephone call center and patient outreach services that allowed the companies to order resupplies for sleep apnea patients.RELATED: San Diego suing SDG&E for allegedly delaying pure water projectThe settlement agreement resolves five lawsuits filed by whistleblowers, who will collectively receive around .2 million out of the total settlement."Paying any type of illegal remuneration to induce patient referrals undermines the integrity of our nation's health care system," said Assistant Attorney General Jody Hunt. "When a patient receives a prescription for a device to treat a health care condition, the patient deserves to know that the device was selected based on quality of care considerations and not on unlawful payments from equipment manufacturers." 1679

SAN DIEGO (CNS) - The name of the 46-year-old Ramona resident killed in a predawn shooting in his hometown was released by authorities today.A resident of the 600 block of Pine Street in the rural community southeast of Escondido heard a gunshot and found Mario Velazquez Cardoso mortally wounded in front of a neighboring home about 5:45 a.m. Thursday, according to sheriff's officials.Paramedics took Cardoso to a hospital, where he was pronounced dead.An arrest has not been made in the killing, sheriff's Lt. Thomas Seiver said. 540

SAN DIEGO (CNS) - Power outages left tens of thousands of homes and businesses across San Diego without electrical service Tuesday.The first of the two blackouts began for unknown reasons about 11:15 a.m., affecting Fort Rosecrans, Lindbergh Field, Marine Corps Recruit Depot, the Midway area, Mission Bay, Ocean Beach, Pacific Beach, Point Loma and Sunset Cliffs, according to San Diego Gas & Electric.In all, the outage left about 13,000 utility customers without electricity, SDG&E reported.Repair crews had power restored to all the affected areas as of 12:30 p.m., according to the utility company.About 90 minutes later, another outage took place to the east, knocking out electrical service to roughly 8,300 addresses in Balboa Park, Center City, Chollas Creek, City Heights, Golden Hill, Normal Heights, North Park, Oak Park and University Heights, SDG&E reported.The utility predicted restoration of power to those neighborhoods by late afternoon. 976

SAN DIEGO (CNS) - The San Diego City Council voted unanimously today to support Mayor Kevin Faulconer's plan to expand outdoor dining and retail options during the COVID-19 pandemic.The vote follows Faulconer's July 7 executive order that waived requirements for the temporary use of sidewalks and private parking lots as outdoor dining and retail venues to increase space for physical distancing.Tuesday's vote allows businesses to use adjacent on-street parking to operate while also waiving a majority of permitting fees.``Our local restaurant and retail owners have shown incredible resolve and resilience throughout this pandemic. Many of those small businesses have been among the hardest hit and San Diegans are ready to support them safely and responsibly,'' Faulconer said. ``The response we've seen to outdoor dining has been overwhelmingly positive, and this ordinance opens up so many more options for our small businesses as they work hard to rebound and recover.''The plan is expected to impact up to 4,000 restaurants in San Diego that employ more than 55,000 individuals.Previously, securing an outdoor sidewalk cafe permit could cost businesses more than ,000 and take several months to process. This ordinance will help reduce applicant costs and the review process.``Small businesses account for 98% of San Diego companies. Needless to say, the impact COVID-19 is having on our small, independent, and family-owned businesses is monumental,'' City Councilman Chris Cate said. ``Outdoor dining gives businesses a fighting chance to make it another day, and I applaud Mayor Faulconer for his innovative efforts.''The ordinance also allocates 0,000 in further assistance by absorbing permitting costs for the first 500 businesses that apply with remaining applicants paying significantly reduced fees. Part of the funding is specifically for outreach and education on the program for small and disadvantaged businesses.The city will enter into an agreement with the Strategic Alliance of San Diego Ethnic Chambers of Commerce -- comprised of the Asian BusinessAssociation of San Diego, the Central San Diego Black Chamber of Commerce, and the San Diego County Hispanic Chamber of Commerce -- to provide informational materials in multiple languages and target hard-to-reach communities and disadvantaged businesses.``Working together to support communities of color that have been disproportionately impacted by COVID-19 will help restaurants in these communities recover and continue to contribute to this vibrant economic and cultural landscape in San Diego,'' said Donna DeBerry, spokeswoman for the Strategic Alliance of Ethnic Chambers of Commerce.Upon implementation, the mayor's ordinance will:-- allow outdoor business operations for dining and retail in parking lots, on-street parking spaces, and sidewalks as well as neighboring business frontage with written permission of neighboring business owners;-- waive special event permit fees to allow nonprofit applicants to close streets and conduct business outdoors faster and cheaper;-- broaden allowances and reduce required permits for temporary signs;-- allow for expanded wholesale distribution of food, beverages, and groceries directly to consumers while allowing for social distancing;-- preserve mobility, safety and emergency access for pedestrians, and preserve requirements that ADA access and path of travel be maintained at all times;-- require full compliance with all state and county health orders and guidance. 3516