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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) - The San Diego City Council rejected an emergency ordinance Tuesday that would have banned motorized scooters on boardwalks in Mission Beach, Pacific Beach, Mission Bay and La Jolla. State law already bans motorized scooters from sidewalks but doesn't mention boardwalks. The vehicles have become increasingly common in San Diego since they were introduced in February by scooter-sharing companies Bird and LimeBike. Improper usage and excessive speeding has led to injuries, especially where scooters are in close proximity to pedestrians, prompting Councilwoman Lorie 622
SAN DIEGO (CNS) - Santa Ana winds and low humidity levels will keep the risk of wildfire high across the San Diego area into Tuesday, as they did for much of last week.To alert the public to the combustion hazards posed by the gusty and arid conditions, the National Weather Service issued a red flag wildfire warning for local mountain and western-valleys communities, effective through 10 p.m. Tuesday. A high-wind warning also will be in effect from 6 this evening through noon Tuesday in those same areas.Outdoor burning, mechanized brush clearing and other potentially spark-creating activities should be avoided over the period, as any fires that develop will spread rapidly, according to the NWS.As of late this afternoon, San Diego Gas & Electric had instituted public-safety power shutoffs in parts of Descanso, Jamul, Potrero, Ramona, Santa Ysabel and Valley Center in a bid to avoid any blazes ignited by transmission equipment. A total of 2,807 addresses were affected, and the utility advised another 47,676 of its customers across the East County that their power might be shut off as a precaution as well.Conditions are expected to warm up Tuesday and Wednesday, after which temperatures will drop slightly on Thursday and Friday, forecasters said. 1275
SAN DIEGO (CNS) - The San Diego Animal Welfare Coalition today will join a nationwide effort to ``Clear the Shelters'' today for the duration of August.The campaign to get as many pets adopted as possible is a little different this year. The Clear the Shelters event, instead of being a single- day effort, will be a month-long adoption drive to allow for virtual adoption consultations by appointment. In addition to promoting adoptions, the campaign encourages donations to participating shelters.``San Diego Humane Society is excited to be working to ``Clear the Shelters,'''' says Gary Weitzman, president and CEO of San Diego Humane Society. ``This important nationwide campaign will give tens of thousands of animals throughout San Diego County a second chance.''Since 2015, the Clear the Shelters campaign has helped more than 410,000 pets find new homes nationwide.``The County of San Diego's Department of Animal Services shelters in Bonita and Carlsbad have many wonderful animals waiting to be adopted into loving homes,'' said Kelly Campbell, director of animal services for the county. ``While the pandemic has certainly created challenges for us all, now may be the perfect time to add a new pet to the family, especially if you find yourself spending more time at home.''The San Diego Humane Society said benefits of adopting a pet include being more affordable, knowing the animal has been assessed for behavior and medical conditions and allowing prospective owners to receive pet-specific resources. The society offers training advice, pet supplies and educational information to support pet families for the lifespan of a pet. ``During the pandemic, we have learned how to embrace change, and that change could include an adoptable pet,'' said Judi Sanzo, president of Rancho Coastal Humane Society. ``Shelters around the country want to remind you that your new best friend could be waiting, tail wagging and ready to join you while you work from home. While Rancho Coastal continues to match pets with their new families, it's important to remember that the virus may be temporary, but pets are a lifetime commitment.'' 2148
SAN DIEGO (CNS) -- San Diego Gas & Electric residential customers will see their electricity bills reduced by .28 in both August and September thanks to a climate credit program.Designed to fight climate change, the California Climate Credit will come from a state program that requires power plants, natural gas providers and other large industries that emit greenhouse gases to buy carbon pollution permits. The credit on customers' bills is their share of the payments from the state's program."This bill credit provides some financial relief at a critical time when many people need it due to the COVID-19 economic crisis and summer weather driving up energy use," said Scott Crider, SDG&E's vice president of customer services.Originally, the credit was scheduled to appear on customer bills in April and October. To help reduce bill spikes in the summer, when energy usage typically goes up along with the temperature, SDG&E successfully petitioned the California Public Utilities Commission to change the timing of the credit to August and September -- the months when air conditioning use typically peaks.There is no action required to receive the credit. All residential customers, including community choice aggregation customers, will automatically receive this credit from SDG&E on their August and September billing cycles.Residential customers with natural gas service received the natural gas portion of the California Climate Credit -- .11 -- in April. In 2021, the electric and gas credit will follow the same schedule as this year. 1579