ADJOURNMENTS-RESETTINGS-SUBMISSIONS I94-06-012 Ryerson-Commission Order Instituting Investigation, tree-trimming, Evidentiary Hearing held and continued 10 am, April 22, San Francisco R97-04-011 Econome-Order Instituting Rulemaking, standards of conduct, and related matter, Prehearing Conference held and completed ADVICE LETTER FILINGS NONE D E C I S I O N S COMMISSION MEETING OF 3/31/97 EXECUTIVE ORDERS SIGNED 3/26/97 D97-03-065 A96-11-038 - Pacific Bell. To issue debt securities and preferred stock and to guarantee the obligations of others for the benefit of Pacific Bell, the total aggregate principal amount of the indebtedness and guarantees not to exceed $1 billion; to execute and deliver one or more indentures; to sell, lease, assign or otherwise dispose of or encumber utility property in connection with the issuance of securities; to extend the time period and the terms and conditions of Decision No. 93-09-062 authorizing the issuance of up to $1.8 billion of debentures and notes; to enter into interest rate swaps and similar arrangements; and for an exemption from the Commission's Competitive Bidding Rule. A93-07-022 - Related matter. Amends second sentence of Paragraph 2, page 6 of D97-02-007 to read "Also under NRF, it is still possible for Pacific's cost to affect rates to the extent that Pacific's earned rate of return triggers sharing adjustments." COMMISSION MEETING OF 3/31/97 3/31/97 D97-03-066 A97-03-039 - The Utility Reform Network. For rehearing and immediate stay of Resolution G-3205. Orders a stay of Resolution No. G-3205 pending further order; directs interested parties to respond to the application no later than noon on 4/7/97. The applicant alleges that the Stay is necessary because the Resolution imposes without proper notice and due process a large rate increase which would be effective April 1, 1997. D97-03-067 A96-04-038 - Pacific Telesis Group (Telesis) and SBC Communications, Inc. (SBC). For SBC Communications, Inc. to control Pacific Bell, which will occur indirectly as a result of Telesis merger with wholly owned subsidiary of SBC, SBC Communications (NV) Inc. Approves the merger of Telesis and SBC subject to several conditions which address matters raised in PU Code { 854. Evaluates the potential competitive impacts of the proposed merger and find that the merger is unlikely to affect competition adversely. Imposes on approval of the merger the requirement that Pacific Bell (Pacific) refund to ratepayers the short term and long term economic benefits of the merger in the amount of $590 million over five years. Directs Pacific to modify the Community Partnership Commitment it signed with numerous community groups to remove terms of that agreement which might be discriminatory or constrain the advocacy activities of nonprofit groups, among other things. If Pacific does not accomplish the modifications it may, alternatively, contribute $82 million to a trust whose purpose would be to improve the telecommunications access and education of underserved communities in California. Directs applicants to submit to an audit of their accounting and record-keeping practices, to create a trust for Pacific's employees' pension funds and to reduce Pacific's rates by $13 million, an amount which Pacific has received in rates for improvements to its customer services which have not been accomplished after four years. Directs Pacific to comply with provisions of General Order (GO) 133B, which governs customer service quality, or face penalties. States an intent to enforce GO 133B notwithstanding the status of the merger proposed in this application. D97-03-068 A96-11-048 - Southern California Gas Company (SoCalGas) and Southern California Edison Company (Edison). For approval of demand-side management pilot bidding contract. Approves a contract negotiated jointly by SoCalGas and Edison with Winegard Energy Inc., subject to one condition. This contract has been negotiated as part of the demand-side management (DSM) pilot bidding programs required by PU Code Section 747 and our adopted rules governing DSM. Because this contract will be cost-effective only under a limited set of performance scenarios, we require that Winegard provide cost-effectiveness security in the amount of $200,000, consistent with other contracts we have approved under residential DSM bidding pilots. D97-03-069 R94-04-031 - Order instituting rulemaking on the Commission's proposed policies governing restructuring California's electric services industry and reforming regulation. I94-04-032 - Related matter. Interim Order - approves the recommendation of PG&E, SDG&E, and Edison to form a joint, statewide Customer Education Program (CEP); directs the docket office to file as of 10/30/96 a direct access working group report on consumer protection and education; grants the December 3, 1996 motion of the California Energy Commission for leave to file its opening comments to the October 30, 1996 direct access working group report on consumer protection and education; any electric utility willing to participate in the joint CEP efforts, shall file by 5/12/97 a motion in this docket requesting permission to participate; unless Kirkwood Gas and Electric, PacifiCorp, Sierra Pacific Power Company, and Southern California Water Company elect to participate in the joint CEP, they shall file their motion for a separate CEP, by 5/30/97; directs the Energy Division and the Consumer Services Division to file a report by 5/12/97; comments on the report are due within 10 days from the date of service of the report; should any of the investor-owned electrical corporation decide to devise and implement their own CEPs, and request reimbursements from ratepayers for such a plan, they shall file a motion in this docket by 5/30/97; responses and replies to the responses to the motion will be permitted in accordance with Rule 45(f) of the Commission's Rules of Practice and Procedure; authorizes the formation of an Electric Education Trust (EET); the EET administrative committee shall prepare and file a proposed work plan and budget by 8/1/97; parties may file comments on EET's work plan and budget within 14 days from the date of service. D97-03-070 I95-02-015 - Commission order instituting investigation into the rates, charges, services, and practices of Pacific Gas and Electric Company. R96-11-004 - Related matter. Adopts inspection cycles and related standards for electric utility distribution systems. Follows issuance of proposed rules and responds to comments of parties filed December 2, 1996. EXECUTIVE ORDERS SIGNED 04/01/97 D97-04-001 C96-11-036 - Sanjiv Verma, M.D., Inc. v Pacific Bell. Dismissed upon written and unopposed request of all parties; the $721.20 on deposit in this matter shall be returned to complainants. D97-04-002 C91-11-037 - Pacific Bell v MCI Telecommunications Corporation. Dismissed under Public Utilities Code Section 308 and Resolution A-4638, upon the unopposed motion of the complainant, dated 4/27/92. LAW AND MOTION HEARINGS Law and Motion Hearings are held before Administrative Law Judge Steven Kotz at 9:30 am in one of the Commission's San Francisco Office Hearing Rooms, unless otherwise noted. Law and Motion procedures are governed by Resolution ALJ-164. Copies of Resolution ALJ-164 are available from the Commission's Documents Desk (703-1713) or from Central Files (703-2045). 4/22/97 9:30 am NONE SCHEDULED 4/25/97 A96-10-038 10:00 am Pacific Enterprises; Enova Corporation, Mineral Energy Company, et al., ALJ Barnett, presiding 4/29/97 9:30 am NONE SCHEDULE 5/6/97 9:30 am NONE SCHEDULED ============================================================================= HEARINGS Dates in parentheses following the word "also" are subject to change without notice. The assigned Commissioner's name is listed next to the proceedings as matter of record; the assigned Commissioner may not be present at the hearing. (PHC)=Prehearing Conference (OA)=Oral Argument (EH)=Evidentiary Hearing (WS)=Workshop (PPH)=Public Participation Hearing (FPH)=Full Panel Hearing (IAM)=Initial Arbitration Meeting (AH)=Arbitration Hearing (M)=Mediation 4/22/97 10:00 am ALJ Ryerson I94-06-012 (EH)-Commission Order Instituting Investigation Comr Conlon and Order to Show Cause to determine if San Diego Gas & Electric Company should be held in violation of G.O. 95 and fined for its failure to comply with PU Codes 701, 2107, 2108, and 2112, by failing to exercise reasonable tree-trimming practices and procedures, Commission Courtroom, San Francisco (also April 23-25, San Francisco) 4/22/97 9:00 am ALJ Stalder C96-12-052 (EH)-Richard D. Corson, Juanita A. Corson, and Comr Duque Richard DeWorken vs. Pacific Bell Telephone Company, for unlawful wiretaps and failure to provide private telephone service, Council Chambers, City Hall, 212 S. Vanderhurst Avenue, King City 4/22/97 10:00 am ALJ Mattson A96-12-045 (PHC)-GTE California and Contel of California, Comr Knight Inc., for approval of elimination of charges for nonpublished/nonlisted services and offsetting increases of rates for residential flat and measured service, Commission Courtroom, San Francisco 4/23/97 9:30 am ALJ Ramsey C96-12-057 (OA)-Jasmine Benjamin-Sohal vs. Pacific Bell, Comr Knight for wrongful use of "spotter" reports resulting in unlawful termination of employment, Commission Courtroom, San Francisco 4/23/97 10:00 am ALJ Bennett A96-11-013 (PHC)-Plantation Water Company, LLC., for a Comr Duque certificate of public convenience and necessity to operate the Meadows Management Company water system as a public utility water system in the City of Calimesa, California, and to establish rates for service, Telephone Prehearing Conference 4/24/97 2:30 pm ALJ Walwyn A97-03-004 (PHC)-Pacific Bell, for approval of rate Comr Duque reductions to offset the explicit subsidy support ordered in D.96-10-066, Commission Courtroom, San Francisco 4/25/97 11:00 am ALJ Wright A96-03-051 (PHC)-Pacific Gas and Electric Company, for Comr Duque authorization to sell the Placer County Canal System to Placer County Water Agency, Commission Courtroom, San Francisco 4/25/97 2:00 pm ALJ Bushey R94-02-003 (OA)-Commission Order Instituting Rulemaking to Comr Knight establish a simplified registration process for non-dominant telecommunications firms, and I94-02-004 (OA)-Commission Order Instituting Investigation to establish a simplified registration process for non-dominant telecommunications firms (Oral Argument before Assigned Commissioner), Commission Courtroom, San Francisco (also 9 am, June 20, Oral Argument before a Quorum of the Commission) 4/28/97 9:00 am ALJ Wetzell I97-01-028 (EH)-Commission Order Instituting Comr Duque Investigation into the operations and practices of North Shuttle, Inc., dba Yellow Airport Express and its president and manager Martin Smith, an individual, and A97-04-002 (EH)-Eugene Yen, for authority to control North Shuttle Service, Inc., dba Yellow Airport Express, Commission Courtroom, San Francisco (also April 29-30, and May 1-2) 4/28/97 10:00 am ALJ Mattson C97-01-013 (PHC)-Bill Langworthy, et al. vs. Calaveras Comr Bilas Telephone Company and Pacific Bell, for discriminatory telephone billing practices, Telephone Prehearing Conference 4/29/97 9:00 am ALJ Bushey A95-08-020 (EH)-City of San Rafael to construct one grade Comr Conlon crossing of the Golden Gate Bridge Highway & Transportaton District, (formerly Northwestern Pacific Railroad Company) main line (San Rafael- Willits) at Anderson Drive in the City of San Rafael, Commission Courtroom, San Francisco (also April 30 and May 1 and 2, San Francisco) 4/29/97 10:00 am ALJ Mattson C97-03-019 (PHC)-California Cable Television Association vs. Comr Duque Southern California Edison Company, for unlawful increase of pole attachment charge, Commission Courtroom, San Francisco 4/30/97 10:00 am ALJ Ramsey A96-09-039 (PHC)-Sprint Communications Company, L.P., Comr Conlon for arbitration of interconnection rates, terms, conditions, and related arrangements with GTE California Incorporated, Commission Courtroom, San Francisco 4/30/97 10:00 am ALJ Gottstein I97-03-025 (PHC)-Commission Order Instituting Investigation Comr Neeper on the Commission's own motion into rating area consistency and routing practices between incumbent local exchange carriers and certified competitive local carriers in instances where expanded local service has been afforded, and C96-10-018 (PHC)-Pac-West Telecom, Inc., vs. Evans Telespace Company and The Volcano Telephone Company, for refusal to properly transmit and route dialed calls, Commission Courtroom, San Francisco 5/1/97 10:00 am ALJ Bennett C97-03-056 (ECP)-Lavisa Bonner and Zelma Mattews vs. Pacific Gas and Electric Company, for incorrect billing, Commission Courtroom, San Francisco 5/6/97 10:00 am ALJ Stalder A96-03-005 (EH)-Isam Alziq, dba E-Z Shuttle & Charter Comr Conlon Service, to transfer, and of Econ-Ride Enterprises, Inc., to acquire, a Cetificate of Public Convenience and Necessity to operate as a passenger stage between points in Ventura, Los Angeles, and Orange Counties, on the one hand, and Los Angeles International Airport, John Wayne Airport, Ontario Airport, Burbank Airport, and Long Beach Airport, on the other hand, pursuant to Section 854 of the Public Utilities Code, Commission Courtroom, San Francisco (also May 7- 9, San Francisco) 5/6/97 1:30 pm ALJ Bushey C97-01-053 (PHC)-Robert G. Winterbotham vs. Pacific Bell, Comr Duque for charging for ISDN services not requested or used in the amount of $12,182.04, and failure to warn about automatic dialing, Commission Courtroom, San Francisco 5/6/97 1:30 pm ALJ Ramsey C96-12-027 (OA)-Nova Cellular West, Inc. vs. AirTouch Comr Duque Cellular of San Diego, for failure to provide similar rates to similar customers, Commission Courtroom, San Francisco 5/7/97 2:00 pm ALJ Garde C97-01-003 (EH)-C. J. Villalobos, et a. vs. Grand Oaks Comr Neeper Water Company, for failure to provide adequate water utility service on a day-to-day basis, (Mountain Crossing Restaurant, 416 W. Tehachapi Boulevard, Tehachapi 5/8/97 10:00 am ALJ Bennett C91-02-075 (EH)-George S. Kelly (Corral de Tierra Comr Conlon Properties) vs. Toro Water Service, Inc., that defendant immediately make past due annual refunds for 1998 and 1989 in accordance with 4/5/78 main extension contract and provide substantiation for computation used, etc., Commission Courtroom, San Francisco 5/12/97 10:00 am ALJ Walker C96-12-026 (EH)-MCI Telecommunications Corporation vs. Comr Knight Pacific Bell and Pacific Bell Communications, for illegal conduct stalling MCI's efforts to enter the local exchange market, and C96-12-044 (EH)-AT&T Communications of California, Inc., vs. Pacific Bell, for instituting internal processes resulting in violation of the policy of fair and non-discriminatory resale competition, and C97-02-021 (EH)-NewTelco, L.P., dba Sprint Telecommunications Venture and Sprint Communications Company L.P. vs. Pacific Bell, for failure to process firm order confirmations and completion notices in a timely and accurate manner and for anticompetitive and discriminatory processes for handling customer migration to competitive local carriers reselling Pacific Bell's services, Commission Courtroom, San Francisco (also May 13-16, San Francisco) 5/12/96 10:00 am ALJ Bennett C97-03-034 (PHC)-County of Riverside Department of Comr Neeper Environmental Health vs. Spring Crest Water and Power Company, for failure to comply with minimum water quality and quantity requirements as contained in Title 22 of the Calsliforn9a Code of Regulations, Telephone Prehearing Conference 5/12/97 10:00 am ALJ Barnett C97-04-007 (ECP)-Marian Oshita vs. L.A. Cellular, for overbilling in the amount of $193.62, Commission Courtroom, Los Angeles 5/15/97 1:00 pm ALJ Kotz A97-03-052 (PPH)-California-American Water Company, for a Comr Duque certificate that the present and future public convenience and necessity requires applicant to construct and operate the 24,000 acre-foot Carmel River Dam and Reservoir in the Monterey Division, and to recover all present and future costs in connection therewith in rates, San Carlos Ballroom, Marriott Hotel, 350 Calle Principal, Monterey; (also (PHC) 3:30 pm and (PPH) 7:00 pm, Monterey) 5/19/97 10:00 am ALJ Minkin A96-08-001 (EH)-Pacific Gas and Electric Company, for Comr Conlon approval of valuation and categorization of non- Comr Bilas nuclear generation related sunk costs eligible for recovery in the competition transition charge, and A96-08-006 (EH)-San Diego Gas & Electric Company, to identify and value the sunk costs of its non- nuclear generation assets, and A96-08-007 (EH)-Southern California Edison Company, to identify and value the sunk costs of its non- nuclear generation assets, and A96-08-070 (EH)-Pacific Gas and Electric Company, to establish the competition transition charge, and A96-08-071 (EH)-Southern California Edison Company, to estimate transition costs and establish a transition cost balancing account, and A96-08-072 (EH)-San Diego Gas & Electric Company, to estimate transition costs and establish a transition cost balancing account (Phase 2), Commission Courtroom, San Francisco (EH) May 20- 23, 27-30, June 2-6, 9-13, and 16-20, San Francisco) 5/19/97 2:00 pm ALJ Mattson A90-09-043 (PPH)-GTE Corporation for merger into Contel Comr Duque Corporation and GTE becoming the parent company, and A95-12-006 (PPH)-Contel of California to restructure intrastate rates and charges, for a general rate increase of $45,324,000 per year based on an overall rate of return on rate base of 12.05% for test year ending 12/31/97, and to implement a new regulatory framework for telephone service, and I96-03-021 (PPH)-Commission Order Instituting Investigation into the rates, charges, service, practices, and regulation of Contel of California, Inc., and A96-12-045 (PPH)-GTE California Incorporated and Contel of California Inc., for approval of elimination of charges for nonpublished/nonlisted services and offsetting increase of rates for residential flat and measure service, Old Victor School, 15476 - 6th Street, Victorville (also 7:00 pm); (also May 20, 3:00 pm, Council Chambers, City Hall, 301 W. Line Street, Bishop (also 7:00 pm); June 12, 2:00 pm, Council Chambers, City Hall, 1001 W. Center Street, Manteca (also 7:00 pm)) 5/21/97 10:00 am ALJ Stalder A89-03-026 (PHC)-Southern California Edison Company, for a Comr Duque certificate to construct and operate a 220 kV transmission line between Kramer Substantion and Victor Substation in San Bernardino, Commission Courtroom, San Francisco 5/21/97 2:00 pm ALJ Walker A96-11-007 (PPH)-Southern California Water Company, to Comr Knight increase rates in order to recover costs resulting from participation in the State Water Project under contract with the Central Coast Water Authority and other related costs to deliver water in its Santa Maria District, Santa Maria Valley YMCA, 3400 Skyway Drive, Santa Maria (also 7:00 pm); (EH) 10:00 a.m., June 24, Commission Courtroom, San Francisco (also June 25-27, June 30, and July 1-3, San Francisco) 5/28/97 10:00 am ALJ Wright A96-06-018 (PHC)-City of Yorba Linda, for authority to Comr Conlon widen Route 90 (Imperial Highway) at A.T.& S.F., railroad crossing M.P. (Public Utilities Commission Crossing N. 2-12-38.4), Commission Courtroom, Los Angeles 5/28/97 10:00 am ALJ Reed R93-04-003 (PHC)-Commission Order Instituting Rulemaking on Comr Duque Commission's own motion to govern open access to bottleneck services and establish a framework for network architecture development of dominant carrier networks, and I93-04-002 (PHC)-Commission Order Instituting Investigation on the Commission's own motion into open accessand network architecture development of dominant carrier networks, Commission Courtroom, San Francisco; (EH) 10:00 am, August 4, San Francisco (also August 5-8, 10-15, and 18-22, San Francisco) 5/28/97 7:00 pm ALJ Barnett A96-10-038 (PPH)-Pacific Enterprises, Enova Corporation, Comr Duque Mineral Energy Company, B Mineral Energy Sub, and Comr Neeper G Mineral Sub, for approval of a plan of merger of Pacific Enterprises and Enova Corporation with and into B Mineral Energy Sub (Newco Pacific Sub) and G Mineral Energy Sub (Newco Enova Sub), the wholly owned subsidiaries of a newly created holding company, Mineral Energy Company, Council Chambers, 12th Floor, City Administration Building, 202 C Street, San Diego; (also May 29, 7:00 pm, Council Chambers, City Hall, 600 Eucalyptus Avenue, Vista; June 3, 7:00 pm, Council Chambers, City Hall, 77 Fair Drive, Costa Mesa; June 5, 7:00 pm, Council Chambers, City Hall, 3900 Main Street, Riverside; June 17, 7:00 pm, Council Chambers, City Hall, 320 West Newmark Avenue, Monterey Park; June 18, 7:00 pm, Hall of Administration, Lower Plaza Assembly Room, 800 S. Victoria Avenue, Ventura; June 19, 7:00 pm., Counsel Chambers, City Hall, 707 West Acequia Street, Visalia) 5/29/97 10:00 am AL Bushey C96-11-029 (EH)-Nancy M. Horner and Vertec International, Comr Neeper Inc., dba Vitosha, Ltd., vs. GTE California Incorporated, for faulty installation of telephone lines, failing to properly provide or maintain reliable and acceptable telephone serves, inadequate customer assistance services, for improper past due and late payment charges, and failing to comply with all applicable PUC regulation, Commission Courtroom, Los Angeles (also May 30, Los Angeles) 6/11/97 10:00 am ALJ Weil A90-12-018 PHC)-Southern California Edison Company, general Comr Duque rate increase for electric service for 1992 in the amount of $440 million, and I89-12-025 (PHC)-Commission Investigation into the operations, rates and expenses associated with Palo Verde Units 1 and 2, and I91-02-079 (PHC)-Commission Investigation into the rates, charges, and practices of Southern California Edison Company (Phase 5), Commission Courtroom, San Francisco 6/17/97 10:00 am ALJ Barnett C97-01-015 (EH)-Yung Hui Hsieh vs. Yerba Buena Water Comr Bilas Company, for refusal to provide water service, Commission Courtroom, Los Angeles 6/23/97 10:00 am ALJ Barnett A91-05-050 (EH)-Southern California Edison Company, to Comr Fessler revise its Energy Cost Adjustment Clause (ECAC), and to review the reasonableness of its operations 4/1/90-3/31/91, (Reasonableness of the Amended and Restated Power Purchase Contract between Edison and Mojave Cogeneration Company) Commission Courtroom, San Francisco (also June 24-27, San Francisco) 7/14/97 9:00 am ALJ Mattson A90-09-043 (EH)-GTE Corporation, to merge into Contel Comr Duque Corporation and GTE becoming the parent company, and A95-12-006 (EH)-Contel of California, to restructure intrastate rates and charges, for a general rate increase of $45,324,000 per year, based on an overall rate of return on rate base of 12.05% for test year ending 12/31/97, and to implement a new regulatory framework for telephone service, and I96-03-021 (EH)-Commission Order Instituting Investigation into the rates, charges, service, and practices, and regulation of Contel of California, Inc., Commission Courtroom, San Francisco (also July 15-18, San Francisco) 7/14/97 10:00 am ALJ Barnett A96-10-038 (EH)-Pacific Enterprises, Enova Corporation, Comr Duque Mineral Energy Company, B Mineral Energy Sub, and Comr Neeper G Mineral Sub, for approval of a plan of merger of Pacific Enterprises and Enova Corporation with and into B Mineral Energy Sub (Newco Pacific Sub) and G Mineral Energy Sub (Newco Enova Sub), the wholly owned subsidiaries of a newly created holding company, Mineral Energy Company, Commission Courtroom, San Francisco (also July 15-18, 21-25, 28-31, and August 1, San Francisco) MISCELLANEOUS TRANSPORTATION ITEMS 04/22/97 NONE NEW FILINGS 04/10/97 A97-04-038 Genaro E. Elizonda, dba Bay Area Connection Shuttle, for a certificate of public convenience and necessity to operate as a passenger stage between certain points in the cities of Solano, Contra Costa, Alameda, San Francisco Counties to the Oakland International Airport and San Francisco International Airport (706 Waterford Place, Pinole, CA 94564. (510) 724-7131) 04/14/97 A97-04-039 San Diego Gas & Electric Company, for an order under Section 701 of the Public Utilities Code granting San Diego Gas & Electric Company permission to use financial energy commodity derivative transactions 04/16/97 A97-04-037 Genadiy Spektor and Kirill Mogilev, dba Unicorn Travel, for a certificate of public convenience and necessity to operate as a passenger stage carrier between San Francisco, California and Los Angeles, California (Genadiy Spektor, 1523 - 41st Avenue, San Francisco, California 94122, (415) 759-8492; Kirill Mogilev, 150 Font Boulevard, Apartment 10-L, San Francisco, California 94132, (415) 469-9047.) PETITIONS FOR MODIFICATION AND APPLICATIONS FOR REHEARING NONE DRAFT DECISIONS/PROPOSED DECISIONS/ALTERNATES/ARBITRATOR'S REPORTS 4/21/97 R87-11-012 Order Instituting Rulemaking to Review the Time Schedules for the Rate Case Plan and Fuel Offset Proceedings; and A95-06-002 In the Matter of the Application of SOUTHERN CALIFORNIA GAS COMPANY to Adopt Performance Based Regulation ("PBR") for Base Rates to be Effective January 1, 1997; Proposed Decision of ALJ Ryerson 4/21/97 A97-02-003 In the Matter of the Application of Cook Telecom, Inc., for arbitration pursuant to Section 252 of the Federal Telecommunications Act of 1996 to establish an interconnection agreement with Pacific Bell; Arbitrator's Report of ALJ Mattson. The arbitrated agreement shall be filed and served on April 25, 1997. Any member of the public (including the parties to the agreement) may file and serve comments concerning the Arbitrator's Report and/or the arbitrated agreement on May 2, 1997. NEW SETTINGS 4/28/97 10:00 am ALJ Mattson C97-01-013 (PHC)-Bill Langworthy, et al. vs. Calaveras Comr Bilas Telephone Company and Pacific Bell, for discriminatory telephone billing practices, Telephone Prehearing Conference PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA Wesley M. Franklin Executive Director State Office Building State Office Building San Francisco, CA 94102 Los Angeles, CA 90012 Tel. No. (415) 703-2782 Tel. No. (213) 897-2973 DAILY CALENDAR Tuesday April 22, 1997 (The Daily Calendar is available on the Internet at http://www.cpuc.ca.gov.) REGULAR COMMISSION MEETINGS April 23, 1997, (10:00 am) May 6, 1997, (10:00 am) NEW DATE May 21, 1997, (10:00 am) San Francisco SUBSCRIPTION NOTICE FOR DRAFT AGENDA ITEMS In compliance with Public Utilities Code Section 311.5, parties who wish to subscribe to receive draft agenda items may do so by writing to the Public Utilities Commission; Attention: Poly Arca, Room 1003; 505 Van Ness Avenue; San Francisco, CA 94102; or by calling (415) 703-1798. The cost for a one- year subscription to the entire public agenda package (which excludes Executive Session materials) is $1,000. You may also order a partial agenda package (energy agenda items only or telecommunication agenda items only) at the cost of $500 per year. The package you receive via mail will include only those agenda items available at the time of the agenda distribution date, which is usually 10 to 12 days prior to the Commission meeting. If agenda items (including revisions) are not ready on the distribution date, they will be made available at no charge in the lobby outside the Commission Auditorium at 9:00 a.m. on the morning of the Commission meeting, but not earlier. In addition, the Commission will make draft agenda items available for viewing and photocopying (at 20 cents per page) at the Commission's Central Files Office (Room 2002), 505 Van Ness Avenue, San Francisco, and in the Commission offices in Los Angeles, San Diego, and the following field offices: El Centro, Eureka, Sacramento, and San Bernardino. Since the agenda package will be mailed to these locations, it will be available at these locations a day or two after the distribution date. These locations will not receive agenda items that are not ready on the distribution date. If an agenda item is held over to a subsequent Commission meeting, that agenda item and any revisions to that agenda item that were available on the morning of the initial Commission meeting (as well as any further available revisions) will be mailed in the Escutia package for the subsequent Commission meeting; the item and its revisions will also be available for viewing and photocopying in the Commission's Central Files office and field offices as set forth above. Intervenors who have a financial hardship determination pending or granted shall be eligible to receive draft agenda item packets at no charge. The cost to receive the agenda only, without copies of draft agenda items, remains at $75 per year. SUBSCRIPTION NOTICE FOR DAILY CALENDAR AND/OR AGENDA Parties who wish to subscribe to the Daily Calendar and/or the Agenda may do so by writing to the Public Utilities Commission; Attention: Poly Arca, Room 1003; 505 Van Ness Avenue; San Francisco, CA 94102; (415) 703-1798. The subscription cost for the Daily Calendar is $225 per year. The Biweekly Daily Calendar is $50 per year. The agenda is $75 per year. Checks are to be made payable to the Public Utilities Commission. NOTICE Unless otherwise directed, all courier-delivered documents submitted for filing as part of the formal record in a proceeding should be hand-carried directly to the Commission's Docket Office, Room 2001, 505 Van Ness Avenue in San Francisco; Room 5109, 107 South Broadway in Los Angeles; or Room 4006, 1350 Front Street in San Diego. All documents sent through the mail for formal filing should be addressed ONLY to the Commission's Docket Office, Room 2001, 505 Van Ness Avenue, San Francisco, CA 94102. NOTICE The Commission's policy is to schedule hearings (meetings, workshops, etc.) in locations that are accessible to people with disabilities. To verify that a particular location is accessible, call: (415) 703-1203. If specialized accommodations for the disabled are needed, e.g. sign language interpreters, those making the arrangements must call the Public Advisor at (415) 703-2074 or TDD# (415) 703-2032 five working days in advance of the event. NOTICE To purchase Commission documents, there is a charge of 20 cents a printed page (postage prepaid) with a minimum purchase of $2.00. COMMISSIONER OFFICE HOURS April 25, 1997 Commissioner Josiah L. Neeper 9:00 am - 12:00 pm City Hall, Department of Public Works 300 North D Street Conference Room B San Bernardino April 28, 1997 Commissioner Jessie J. Knight 9:00 a.m. - 4:00 p.m. Park Place 1395 Civic Drive Walnut Creek May 13, 1997 Commissioner Henry Duque 2:00 p.m - 4:00 p.m. Elwin Mussel Senior Center 510 East Park Santa Maria May 19, 1997 Commissioner Henry Duque 10:00 a.m. - 12:00 p.m. City Hall, Lorman Center 220 East Mountain View Barstow May 23, 1997 Commissioner Henry Duque 9:00 a.m. - 11:00 a.m. Rosegarden Library 1580 Naglee Ave. San Jose May 23, 1997 Commissioner Henry Duque 1:00 p.m. - 3:00 p.m. Santa Cruz Civic Auditorium ABC Room Santa Cruz May 29, 1997 Commissioner Josiah L. Neeper 9:00 - 12:00 pm City Hall Council Chambers, Interview Room 201 No. Broadway Escondido June 18, 1997 Commissioner Josiah L. Neeper 9:00 am - 12:00 pm State Office Building 107 S. Broadway, Room 5109 Los Angeles For further information or to make an appointment, please contact Sandra Graham at (213) 897-3544. PUBLIC MEETING (CHANGE IN TIMES AND DATES) 9 am - 5 pm April 17 & 24, 1997 Governing Board For Low-Income Programs Hearing Room D and 10 am - 4 pm April 18 & 25, 1997 Independent Board For Energy Efficiency Programs and the Training Room and Hearing Room D California Public Utilities Commission 505 Van Ness Avenue San Francisco In Decision (D.) 97-02-014, the Commission established a new structure for the future administration of energy efficiency and low-income assistance programs. This structure requires an Independent Board to oversee energy efficiency programs, a Governing Board to oversee low-income programs, and administrative entities selected through a competitive bidding process. The Commission intends to select board members (including an acting chairperson), and provide further guidance to the Boards in a decision on April 9th. Beginning on April 14th, (continuing through April 25th, if needed), both Boards should meet to discuss and establish the initial organization, budget, operating principles and rules, and staffing/consultant requirements. The Boards should also select and appoint a chairperson. These meetings are open to the public. Patrick Hoglund of the Energy Division is the contact person at (415) 703-2043. WORKSHOP NOTICE GENERAL ORDER 96-A WORKING SESSION 10 am - 4 pm April 22, 1997 California Public Utilities Commission Auditorium 505 Van Ness Avenue San Francisco You are invited to a working session to propose revisions to the Commission's General Order (GO) 96-A. GO 96-A establishes procedures for filing tariff schedules, contracts and rules for Gas, Electric, Telecommunications, Water, Sewer System, Pipeline, and Heat Utilities. Specifically, GO 96-A governs Advice Letters and some other informal filings. Under the Business Plan, the Commission would like to revise GO 96-A, to better meet the needs of utilities and customers. The session will begin with a general discussion including all utilities and interested parties. Issues common to all utilities include notice rules, protest rules, the opportunity to be heard and opportunity for appeal. Then the session will break into industry specific working groups to discuss issues unique to each industry (Energy, Telecommunications, Water). We welcome your input on problems with the Advice Letter/Informal Decision-Making process. You may send written comments to: Eleanor Szeto Robert Strauss Fred Curry Telecommunications Division Energy Division Water Division 505 Van Ness Ave. 505 Van Ness Ave. 505 Van Ness Ave. S.F., CA 94102 S.F., CA 94102 S.F., CA 94102 eys@cpuc.ca.gov ris@cpuc.ca.gov flc@cpuc.ca.gov If you have any questions about the GO 96-A meeting, please call Eleanor Szeto at (415) 703-2253. PUBLIC MEETING 10 am - 4 pm April 29, 1997 MCI Relay Service Center Riverbank The Administrative Committee of the Deaf and Disabled Telecommunications Program will hold its regular monthly meeting. For more information about the meeting, or if you plan to attend the meeting and need sign language interpretation or real-time captioning, contact person is Shelley Bergum (510) 874-1410 voice or (510) 874-1411 TDD. Please refrain from wearing perfumes or scents to DDTP meetings. WORKSHOP NOTICE R.95-04-043/I.95-04-044 R.93-04-003/I.93-04-002 April 29 to May 2, 1997 10 a.m. on April 29, 1997 Other days will be 8:30 a.m. California Public Utilities Commission 505 Van Ness Avenue Hearing Room A San Francisco This workshop was scheduled by ALJ Ruling dated April 4, 1997. The ALJs and Telecommunications Division staff have developed an agenda for the 4-day workshop. Some of the issues raised by parties will not be addressed at the workshop: those include costing issues and any problems relating to the current OSS systems. Costing issues will be deferred to a later phase in the proceeding, once the OSS system has been completely defined and described. Any questions should be directed to Karen Jones (415) 703-1955, Jonathan Lakritz (415) 703-2117, and Bill Sandoval (415) 703-2777. WORKSHOP NOTICE R.84-12-028 PUBLIC WORKSHOP ON DRAFT OF FINAL RULES TO IMPLEMENT REQUIREMENTS OF SB 960 10 am May 8, 1997 Commission Courtroom, State Office Building 505 Van Ness Avenue San Francisco Should you have any questions about this workshop, please address them to Steven Kotz via E-mail (kot@cpuc.ca.gov) or by telephone at (415) 703-2437. PUBLIC MEETING 9:30 am - 3:30 pm May 8, 1997 Deaf and Disabled Telecommunications Program Office 1939 Harrison Street, #555 Oakland The Equipment Program Advisory Committee of the Deaf and Disabled Telecommunications Program will hold its regular monthly meeting. Contact person is Sara Brucker at (510) 874-1410 voice or (510) 874-1411 TDD. Please refrain from wearing perfumes or scents to DDTP meetings. WORKSHOP NOTICE R.95-01-020/I.95-01-021 Universal Service Auction Mechanism Rules for California High Cost Fund 10 am - 4 pm May 8, 1997 and 9 am - 3 pm May 9, 1997 Training Room California Public Utilities Commission 505 Van Ness Avenue San Francisco This workshop will address auction mechanisms for determining the level of universal service subsidy needed in high cost areas pursuant to Ordering Paragraph 16(d) of Decision (D.) 96-10-066. To facilitate discussion during the workshop, any party that wants an auction proposal to be addressed during the workshop must submit this proposal to the Director of the Telecommunications Division and all parties of record in R.95-01-020/021 by April 19, 1997. These proposals should include a well defined set of auction rules which address the issues surrounding competitive bidding discussed in D.96-10-066. Please contact Brian Roberts at (415) 703-2334 or Joseph Abhulimen at (415) 703-1458, if you plan to attend. If specialized accommodations for the disabled are needed, please call the Public Advisor at (415) 703-2032 by April 29, 1997. ============================================================================ NOTICE OF DENIAL OF REQUEST FOR EX PARTE MEETING On September 20, 1996, the Commission adopted Resolution ALJ-169 regarding the "Filing of Notice of Denial of Request for A96-08-043eeting". The resolution implements an interim procedure whereby a party whose written request for an ex parte meeting with a Commissioner has been denied will be allowed to file a notice of such denial. Copies of Resolution ALJ-169 are available from the Commission's Central Files Office at 505 Van Ness Avenue in San Francisco; telephone (415) 703-2045. Copies of tendered notices are available in the Central File Room for review and/or reproduction under existing procedures. They are also available from the filing party who is under the obligation to provide copies of the notice without delay. NONE FILED NOTICE OF EX PARTE COMMUNICATIONS Copies of tendered notices are available in the Central File Room for review and/or reproduction under existing procedures. They are also available from the filing party who is under the obligation to provide copies of the notice without delay. 04/18/97 I94-06-012 Commission Order Instituting Investigation and Order to Show Cause to determine if San Diego Gas & Electric Company should be held in violation of G.O. 95; and fined for its failure to comply with PU Codes 701, 2107, 2108 and 2112 by failing to exercise reasonable tree trimming practices and procedures. On April 15, 1997, Les Guliasi, Manager of Regulatory Relations for Pacific Gas and Electric Company (PG&E), met with Cmmr. Conlon in San Francisco. Also present were: Cmmr. Duque; Michelle Cooke, advisor to Cmmr. Duque; and Shankar Bhattacharya, Vice President of Construction and Technical Services, and Paul Storz, Senior Representative, Regulatory Relations, for PG&E. PG&E stated that it filed a petition to modify D97-01-044, which established new standards for the trimming of trees in proximity to overhead power facilities. PG&E sated that the first requested modification would create an exception from the 18-inch tree-to- power line clearance standard for large or directionally pruned trees. PG&E stated that the large or directionally pruned trees present no additional hazard when allowed to have less than 18 inches of clearance; and that the second modification would allow PG&E 3 and 1/2 years to bring its system into compliance with the new rules, rather than the 2-year schedule contained in the decision. PG&E stated that a 2-year compliance period was not reasonable because tree trimming crews are currently fully occupied. PG&E further stated that the Cal-OSHA regulations require 18 months of training before tree trimming personnel are allowed to work. PG&E asked to adopt a flexible tree trimming cycle that would be shorter for tree trimming near high voltage lines and be extended for tree trimming near lower voltage lines. PG&E Contact: Marian Swanson filed Tel: (415) 972-5611 04/18/97 A96-03-054 Pacific Gas and Electric Company, to modify Diablo Canyon pricing and adopt a customer electric rate freeze in compliance with D95-12-063. On April 18, 1997, Robert Finkelstein, staff attorney for The Utility Reform Network (TURN), delivered a letter (attached to the notice) to Cmmr. Conlon. Copies of the letter were also delivered to Cmmr. Knight, Duque, Neeper and Bilas and to the energy advisor to each Cmmr. In the letter, Finkelstein pointed out that PG&E's proposal for truing up the levels of materials and supplies (M&S) and nuclear fuel inventories to prevent double counting, failed to respond to the double recovery problem correctly identified in the proposed decision (PD), and instead only addressed the triple recovery. Finkelstein noted that PG&E has waited to present its proposal until after a PD had been issued, and that it would be unfair to the other parties to allow it to now present this alternative, without adequate opportunity for review. Finkelstein also addressed the fact that many of the "specific details" regarding M&S and fuel inventories were factual assertions that, to TURN's knowledge, did not appear in the record. Finally, Finkelstein identified some of the more obvious flaws in PG&E's proposal and urged the Commission to adopt the PD as written on this point, thereby avoiding any double recovery threat, and any need to consider PG&E's improperly presented alternative. TURN Contact: Jasmine Eleftherakis filed Tel: (415) 929-8876 04/18/97 On April 16, 1997, Robert Finkelstein, staff attorney for The Utility Reform Network (TURN), met with James Hendry, advisor to Cmmr. Conlon, in San Francisco. Also present were Hallie Yacknin and Robert Kinosian, of the Office of Ratepayer Advocates. Finkelstein described why the M&S and nuclear fuel inventories need to be excluded from Diablo Canyon's (Diablo) sunk costs for purposes of accelerated depreciation and, while acknowledging that M&S was included in the SONGS sunk costs subject to accelerated depreciation, stated that the SONGS mechanism was originally the subject of a settlement, and the parties had focused their attacks on the entire settlement, rather than on its specific components. Finkelstein also stated that PG&E failed to address the double recovery problem that the proposed decision (PAD) correctly identified, and instead put together a proposal for preventing a possible triple recovery. Finkelstein suggested that the easiest way to avoid the double or triple counting would be to adopt the PD's treatment of inventories: exclude them from sunk costs subject to accelerated depreciation, and include the carrying costs in the ICIP prices. Finkelstein noted that PG&E's proposal was presented for the first time in an ex parte letter after the record had closed, and relied on facts that were not in the record. TURN Contact: Jasmine Eleftherakis filed Tel: (415) 929-8876 04/18/97 On April 16, 1997, Robert Finkelstein, staff attorney for The Utility Reform Network (TURN), met with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; and Hallie Yacknin and Robert Kinosian, of the Office of Ratepayer Advocates. Finkelstein stated that in establishing performance-based incentives, the Commission had attempted to align ratepayer and shareholder interests and explained that under AB 1890's rate freeze and CTC collection limitations, the truest alignment for operating expenses would be a mechanism like that set out in the proposed decision (PD). Finkelstein explained that so long as the ICIP price exceeds the PX price, every additional kW-hour produced by Diablo Canyon (Diablo) forces PG&E's full service customers to pay higher energy prices and reduces the amount of revenues going to CTC collection, thus extending the amount of time necessary to achieve full collection. Finkelstein argued that it is appropriate to adopt a different outcome for Diablo as compared to SONGS. Finkelstein stated that the notion that PG&E is entitled to the same earnings opportunities for Diablo as are available to Edison under the SONGS ICIP mechanism ignores the fact that PG&E has already collected extraordinary revenues and profits from its nuclear plant. Finkelstein stated that prior to adopting the SONGS ICIP, that plant operated under traditional ratemaking with the associated limitations on earnings. Finkelstein observed that Diablo's history is one of reaping extraordinary earnings under the settlements that have governed its ratemaking treatment. Finkelstein stated that the ICIP was set for SONGS against a backdrop of increasing operating costs, whereas the record shows that the costs at Diablo have been declining. Finkelstein asserted that use of the 3-year average for SONGS served to set the ICIP at a level that would represent an improvement, whereas use of such an average for Diablo would serve to reward it even if performance declined. TURN Contact: Jasmine Eleftherakis filed Tel: (415) 929-8876 04/18/97 A92-12-043 Pacific Gas and Electric Company, for an order to increase the maximum cost specified in PG&E's Certificate of Public Convenience and Necessity to Construct the California portion of the expansion of its Natural Gas Pipeline, and A93-03-038 Pacific Gas and Electric Company, to establish interim rates for the California portion of the expansion of Pacific Gas Transmission Company's and PG&E's Canada-to-California Natural Gas Pipeline Project, and A94-05-035 Suncor, Inc., for rehearing of Resolution G-3122, and A94-06-034 El Paso Natural Gas Company, for rehearing of Resolution G-3122, and A94-09-056 Pacific Gas and Electric Company, for a finding that the $812.8 million of capital costs incurred in the construction of the PG&E Pipeline Expansion Project and the initial pipeline expansion operating expenses are reasonable, and A94-06-044 Pacific Gas and Electric Company, for amortization of interstate transition cost surcharge account and approval of rates on an ex parte basis. A96-08-043 Pacific Gas and Electric Company, to restructure and establish natural gas rates; modify its core aggregation and core subscription programs; obtain approval of the principles of a post-1997 core gas procurement incentive mechanism; and obtain approval of principles for disposition of its gas gathering facilities. On April 15, 1997, Kristel Frank, Director of Regulatory Relations for Pacific Gas and Electric Company (PG&E), met with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; and Jack Jenkins-Stark, Sr. Vice President and General Manager, Gas Supply, for PG&E. Jenkins-Stark stated that PG&E and the settling parties are extremely disappointed with the proposed decision (PD), and emphasized that the settlement is supported by 27 parties, and was explicitly encouraged by the Commission. Jenkins-Stark stated that the gas accord settlement is supported by representatives of every economic interest in the marketplace and that the settlement resolves outstanding litigation and addresses gas gathering and core aggregations issues which have received little Commission attention in recent years. Frank stated that filings addressing a number of issues, such as the SMUD sale, core monthly pricing, and early unbundling of pipeline demand charges would not have been possible without the gas accord settlement efforts. Jenkins-Stark also stated that the gas accord does not preclude the Commission from developing a strategic plan. PG&E Contact: Heidi Holzhauer filed Tel: (415) 972-5611 04/18/97 On April 18, 1997, Kristel Frank, Director of Regulatory Relations for Pacific Gas and Electric Company (PG&E), met with David Gamson, advisor to Cmmr. Neeper, in San Francisco. Also present was John Leslie, attorney for Suncor and Enserch. A copy of the Leslie's letter to Cmmr. Neeper of 4/11/97 (attached to the notice) was used. Leslie explained that although the structure advocated in the proposed decision (PD) addresses some of the six objectives, the gas accord represents a superior resolution of these issues. Leslie explained that: the gas accord assigns core capacity that more accurately reflects core needs and reduces costs; it establishes a maximum tariff, based on embedded-cost ratemaking principles, while the PD only assigns recourse rates to Lines 300 and 401, but not to Line 400; the PD assigns 25% of interstate transition cost surcharge costs and 50% of the backbone credit costs to shareholders, while under the accord PG&E has agreed to more than double that amount; and the PD places PG&E at risk to absorb the difference between the actual costs of Line 300 versus the rate achieved by auction for Line 300, while under the gas accord, PG&E has agreed to assume the risk for all its backbone and local transmission facilities. Frank also explained how the transmission structure proposed in the PD fails by creating perverse incentives for PG&E's operation of its system. Leslie and Frank also explained that core benefits are greater under the gas accord than under the PD. Frank stated that a key reason to pursue the gas accord was to resolve the conflict of interest. Leslie noted that the settling parties also prefer the use of embedded-cost ratemaking for Line 300 versus the auction advocated in the PD. Leslie and Frank explained further that the transmission rate structure in the gas settlement is consistent with he Commission's incremental pricing policy. Leslie and Frank also referred to numerous issues that are not even addressed by the PD, such as gas gathering and core aggregation. PG&E Contact: Heidi Holzhauer filed Tel: (415) 972-5611 04/18/97 I87-11-033 Commission investigation into alternative regulatory frameworks for local telecommunications exchange carriers, and A85-01-034 Pacific Bell, general rate increase for telephone service in the amount of $1,362,000,000, intrastate, and A87-01-002 General Telephone Co. of California, general rate increase for telecommunications services of approximately $52,133 million, intrastate, and I85-03-078 Commission investigation into rates, etc., of Pacific Bell re: interconnection, and C86-11-028 Extension Connection Inc. vs Pacific Bell, et al, that defendants not be allowed to enclose information re: maintenance service contracts in utility bill envelopes and that use of "611" telephone number to obtain repairs is a violation of anti-trust laws, and I87-02-025 Commission investigation into rates, etc., of General Telephone Co of California & Pacific Bell, and C87-07-024 General Telephone Co of California vs Wang Communications Inc, for cease and desist order directing defendant to refrain from commencing service in City of Industry without Commission authority, etc. On April 15, 1997, Robert Kargoll, Regulatory Advocate for AT&T Communications of California, Inc. (AT&T), met with Cmmr. Conlon in San Francisco. Also present were: Jose Jimenez, advisor to Cmmr. Conlon; Patricia vanMidde, State Regulatory District Manager of AT&T. Kargoll explained that AT&T it its comments on the proposed decision has recommended clarifying language for ordering paragraph 13, to ensure that customers will be advised that they have a choice of providers for both interLATA and intraLATA service regardless of whether the new customer raises the subject of intraLATA presubscription. AT&T Contact: Doretta Dea filed Tel: (415) 442-2985 04/18/97 On April 15, 1997, the Office of Ratepayer Advocates' (ORA) Natalie Billingsley participated in two separate meetings: with Cmmr. Duque and with Cmmr. Conlon in San Francisco. Also present at the first meeting were: Timothy Sullivan, advisor to Cmmr. Duque; Helen Mickiewicz, staff counsel for ORA; and other parties listed on the attachment to the notice. In the meeting with Cmmr. Conlon also participated: Jose Jimenez, advisor to Cmmr. Conlon; and Pat Van Midde, District Manager of California, and Rick Witherington, Government Affairs Vice President, for AT&T. ORA explained, referring to Pacific Bell's (PacBell) ex parte notices, that it did not agree with the competitively-neutral business office practices set forth in the decision, would prohibit PacBell from affirmatively informing customers that it provides intraLATA toll service and that it is one of the intraLATA toll service providers. Nonetheless, ORA said that it would not object of the Commission chooses to modify the PD to clarify that PacBell is allowed to inform customers of its ability to provide intraLATA toll service. Mickiewicz emphasized that he most critical marketing issue for ORA is that PacBell must be required to notify customers that they have a choice of intraLATA toll providers. ORA expressed support for keeping the competitively-neutral business office practices for a 1-year transition period. In the second meeting, ORA added that it is concerned with PacBell's opposition to ORA review of marketing scripts used to train PacBell's customer service representatives. ORA emphasized that it is a function ORA traditionally has performed and the Commission should authorize it to continue. ORA Contact: Legal receptionist filed Tel: (415) 703-1858 04/18/97 A96-03-031 Southern California Gas Company, for authority to revise its rates effective January 1, 1997, in its Biennial Cost Allocation Proceeding, for a total reduction in annual revenues of approximately $147.9 million (5.7%), A96-04-030 San Diego Gas & Electric Company, for authority to revise its rates effective January 1, 1997, in its Biennial Cost Allocation Proceeding for an approximately $42 million decrease over presently authorized revenues. On April 17, 1997, Beth Bowman, Manager, Fuels and Power Supply of San Diego Gas and Electric Company (SDG&E), attended an all party meeting with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; Mark Ward, Principal Regulatory Manager for SDG&E; and other parties listed on the attachment to the notice. A written material (attached to the notice) was used. Bowman stated that SDG&E supports the Cmmr. Knight's alternate decision (AD) and that the AD corrects many of the errors of the proposed decision (PD). Bowman stated that the alternate pages of Cmmr. Conlon and Cmmr. Neeper regarding the interstate transition cost surcharge, would wipe out the benefits achieved by SDG&E as a result of its Southern California Gas Company pre-payment of the global settlement and would adversely affect the competitive position of wholesale and utility electric generator customers in electric restructuring. Bowman stated that the result of such increased electric costs could be a transfer of dollars to out-of-state generators. Bowman also stated that the record supports SDG&E's resource plan, however, if the Commission did order SDG&E to file another study SDG&E could not conduct a value of service study and meet the other requirements to file a new resource plan within the 60 day time frame provided in the AD. Bowman proposed that instead, the Commission order SDG&E to conduct a workshop with other parties to receive comments on issues to be addressed in a new resource plan. Bowman stated that SDG&E believed that a 1997 start date is the appropriate date for implementation of a new resource plan. Ward stated that the SDG&E's proposal to implement transmission level service is consistent with the Commission's cost- causation principles. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 15, 1997, Michael Schneider, Manager of Pricing Services, of San Diego Gas and Electric Company (SDG&E), attended an all party meeting with Cmmr. Knight in San Francisco. Also present were: Dorothy Duda, advisor to Cmmr. Knight; Vince Bartolomucci, Principal Regulatory Project Manager, Lisa Hubbard, State Regulatory Affairs Director, and Lonnie Mansi, Associate Energy Administrator, for SDG&E; and other parties listed in the attachment to the notice. Schneider indicated that SDG&E supports the Cmmr. Knight's alternate decision (AD) and that the alternate pages of Cmmr. Conlon and Cmmr. Neeper would wipe out the benefits resulting from pre- payment of the global settlement obligation and would adverse affect the competitive position of wholesale and utility electric generator customers. Schneider indicated that SDG&E disagreed with the AD's recommendation regarding line 6900 and that the record supports a finding that common use facility treatment should be continued. Schneider asserted that this issue should be deferred to the Pacific/Enova merger proceeding. Schneider indicated that SDG&E believes that the record supports adoption of SDG&E's resource plan, however, if the Commission did order SDG&E to file another study, SDG&E could not conduct a value of service study and meet the other requirements to file a new resource plan within the 60 day time frame provided in the AD. Schneider proposed that instead, the Commission order SDG&E to conduct a workshop with other parties to receive comments on its new resource plan within 60 days. Schneider asserted that a 1997 start date is the appropriate date to implement a new resource plan. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 16, 1997, Michael Schneider, Manager of Pricing Services, of San Diego Gas and Electric Company (SDG&E), attended an all party meeting with Cmmr. Bilas in San Francisco. Also present were: Jean Vieth, advisor to Cmmr. Bilas; Mark Ward, Principal Regulatory Manager for SDG&E; and other parties listed on the attachment to the notice. Schneider indicated that SDG&E supports the Cmmr. Knight's alternate decision (AD) and that the AD corrects many of the errors of the proposed decision (PD). Schneider stated that the alternate pages of Cmmr. Conlon and Cmmr. Neeper regarding the interstate transition cost surcharge, would wipe out the benefits achieved by SDG&E as a result of its Southern California Gas Company pre-payment of the global settlement and would adversely affect the competitive position of wholesale and utility electric generator customers in electric restructuring. Schneider stated that the record supports SDG&E's resource plan, however, if the Commission did order SDG&E to file another study SDG&E could not conduct a value of service study and meet the other requirements to file a new resource plan within the 60 day time frame provided in the AD. Schneider proposed that instead, the Commission order SDG&E to conduct a workshop with other parties to receive comments on issues to be addressed in a new resource plan within 60 days. Schneider asserted that a 1997 start date is the appropriate date for implementation of a new resource plan. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 17, 1997, Elizabeth Totah, Regulatory Affairs Assistant in San Diego Gas and Electric Company's (SDG&E) San Francisco office, delivered a letter (attached to the notice), signed by Lisa Hubbard, State Regulatory Affairs Director for SDG&E, to Cmmr. Knight. A copy of the letter was also delivered to Dorothy Duda, advisor to Cmmr. Knight. The letter clarified the "errors" identified in SDG&E's comments to Cmmr. Knight's alternate. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 16, 1997, Michael Schneider, Manager of Pricing Services, of San Diego Gas and Electric Company (SDG&E), met with David Gamson, advisor to Cmmr. Neeper, in San Francisco. Also present were: Mark Ward, Principal Regulatory Manager, and Vince Bartolomucci, Principal Regulatory Project Manager, for SDG&E. SDG&E's resource plan proposal (attached to the notice) was used. Schneider indicated that SDG&E supports the Cmmr. Knight's alternate decision (AD). Schneider stated that the effects of the alternate pages of Cmmr. Conlon and Cmmr. Neeper would be to eliminate any benefit achieved by SDG&E in prepaying its Southern California Gas Company global settlement, and removing that component from rates and to put an upward pressure on electric prices. Ward indicated that the effects of the alternate pages of Cmmr. Conlon would be extend the impact of the price disadvantage, and further compound the costs through the accrual of excess interest costs over the longer amortization period. Schneider urged the Commission to resolve the ratemaking treatment of SoCalGas' Line 6900 through a finding of continued common use cost allocation. Ward noted that the record supports such a finding. Schneider urged the Commission to adopt a 1997 start date for SDG&E's gas resource plan, noting that such a date is the best measure of forward- looking, truly marginal costs and that the recommendation to incorporate a 1995 start date is inappropriate. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 16, 1997, Michael Schneider, Manager of Pricing Services, of San Diego Gas and Electric Company (SDG&E), met with Dorothy Duda, advisor to Cmmr. Knight, in San Francisco. Also present were: Mark Ward, Principal Regulatory Manager, Vince Bartolomucci, Principal Regulatory Project Manager, and Lisa Hubbard, State Regulatory Affairs Director, for SDG&E. SDG&E's resource plan proposal (attached to the notice), and a copy of the agenda, were used. Schneider indicated that SDG&E supports the Cmmr. Knight's alternate decision (AD). Schneider stated that the effects of the alternate pages of Cmmr. Conlon and Cmmr. Neeper would be to eliminate any benefit achieved by SDG&E in prepaying its Southern California Gas Company (SoCalGas) global settlement, and removing that component from rates and to put an upward pressure on electric prices. Ward indicated that the effects of the alternate pages of Cmmr. Conlon would be extend the impact of the price disadvantage, and further compound the costs through the accrual of excess interest costs over the longer amortization period. Hubbard added that neither the Cmmr. Conlon and Cmmr. Neeper alternates appear to recognize the flow through effects to SDG&E's UEGs of the costs being proposed for SoCalGas. Schneider urged the Commission to resolve the ratemaking treatment of SoCalGas' Line 6900 through a finding of continued common use cost allocation. Ward noted that the record supports such a finding. Hubbard indicated that the Commission should consider the rate treatment for all of SoCalGas' lines and that this would be appropriate for a statewide generic proceeding. Schneider urged the Commission to adopt a 1997 start date for SDG&E's gas resource plan, noting that such a date is the best measure of forward- looking, truly marginal costs and that the recommendation to incorporate a 1995 start date is inappropriate. Schneider also addressed the AD's recommendations regarding XGTS. SDG&E Contact: Elizabeth Totah filed Tel: (415) 346-1385 04/18/97 On April 15, 1997, Keith McCrea, attorney for the California Industrial Group and Manufacturers Association (CIG/CMA), participated in a meeting with Cmmr. Knight in San Francisco. Also present were: Dorothy Duda, advisor to Cmmr. Knight, and other parties listed on the attachment to the notice. McCrea stated that CIG/CMA supports the Cmmr. Knight's alternate, because it is consistent with the adopted LRMC methodology, the global settlement and the Commission's capacity brokering decision. McCrea indicated that the effect of the alternate pages of Cmmr. Neeper and Cmmr. Conlon would be to allocate all of the pipeline surcharges to noncore customers. McCrea explained that in D92-07-025, the Commission found that no individual customer class was responsible for stranded costs, and promised that once capacity stepdowns became effective, they would be used to reduce the interstate transition cost surcharge cost (ITCS). McCrea further explained that the alternate pages would pull the rug out from under this promise by recycling the pipeline surcharges as ITCS costs and allocating them entirely to noncore customers. McCrea also noted that the allocation of all the costs associated with the rate case settlements at Federal Energy Regulatory Commission (FERC) ignores the fact that core customers will be the primary beneficiaries of the long-term benefits of these settlements and that the settlements fix the pipeline reservation fees for a 10-year period and eliminate all rate case litigation risk at FERC. McCrea also stated that CIG/CMA oppose the longer amortization period set forth in Cmmr. Conlon's alternate pages, and explained that it is not consistent with the electric restructuring where generation-related competitive transition cost is being accelerated to the greatest extent possible. CIG/CMA Contact: Dianne Raley filed Tel: (202) 383-0679 04/18/97 On April 16, 1997, Keith McCrea, attorney for the California Industrial Group and Manufacturers Association (CIG/CMA), participated in a meeting with Cmmr. Bilas in San Francisco. Also present were: Jean Vieth, advisor to Cmmr. Bilas, and other parties listed on the attachment to the notice. McCrea stated that CIG/CMA supports the Cmmr. Knight's alternate, because it is consistent with the adopted LRMC methodology, the global settlement and the Commission's capacity brokering decision. McCrea indicated that the effect of the alternate pages of Cmmr. Neeper and Cmmr. Conlon would be to allocate all of the pipeline surcharges to noncore customers. McCrea explained that in D92-07-025, the Commission found that no individual customer class was responsible for stranded costs, and promised that once capacity stepdowns became effective, they would be used to reduce the interstate transition cost surcharge cost (ITCS). McCrea further explained that the alternate pages would pull the rug out from under this promise by recycling the pipeline surcharges as ITCS costs and allocating them entirely to noncore customers. McCrea also noted that the allocation of all the costs associated with the rate case settlements at Federal Energy Regulatory Commission (FERC) ignores the fact that core customers will be the primary beneficiaries of the long-term benefits of these settlements and that the settlements fix the pipeline reservation fees for a 10-year period and eliminate all rate case litigation risk at FERC. McCrea also stated that CIG/CMA oppose the longer amortization period set forth in Cmmr. Conlon's alternate pages, and explained that it is not consistent with the electric restructuring where generation-related competitive transition cost is being accelerated to the greatest extent possible. CIG/CMA Contact: Dianne Raley filed Tel: (202) 383-0679 04/18/97 On April 17, 1997, Keith McCrea for the California Industrial Group and Manufacturers Association (CIG/CMA), participated in a meeting with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon, and other parties listed on the attachment to the notice. McCrea stated that CIG/CMA supports the Cmmr. Knight's alternate, because it is consistent with the adopted LRMC methodology, the global settlement and the Commission's capacity brokering decision. McCrea indicated that the effect of the alternate pages of Cmmr. Neeper and Cmmr. Conlon would be to allocate all of the pipeline surcharges to noncore customers. McCrea explained that in D92-07-025, the Commission found that no individual customer class was responsible for stranded costs, and promised that once capacity stepdowns became effective, they would be used to reduce the interstate transition cost surcharge cost (ITCS). McCrea further explained that the alternate pages would pull the rug out from under this promise by recycling the pipeline surcharges as ITCS costs and allocating them entirely to noncore customers. McCrea also noted that the allocation of all the costs associated with the rate case settlements at Federal Energy Regulatory Commission (FERC) ignores the fact that core customers will be the primary beneficiaries of the long-term benefits of these settlements and that the settlements fix the pipeline reservation fees for a 10-year period and eliminate all rate case litigation risk at FERC. McCrea also stated that CIG/CMA oppose the longer amortization period set forth in Cmmr. Conlon's alternate pages, and explained that it is not consistent with the electric restructuring where generation-related competitive transition cost is being accelerated to the greatest extent possible. CIG/CMA Contact: Dianne Raley filed Tel: (202) 383-0679 04/21/97 On April 15, 1997, Patrick Power, attorney for the City of Long Beach (Long Beach), met with Cmmr. Knight in San Francisco. Also present were: Dorothy Duda, advisor to Cmmr. Knight; Chris Garner, Manager of Business Operations, Long Beach; Phyllis Huckabee, Director, State Regulatory Relations, Johannes Von Lierop, Director of Regulatory Affairs, Lad Lorenz, Director of Capacity and Planning, Martin Collette, Rate Design Manager, Southern California Gas Company; Norman Pederson, Attorney, SCUPP/IID; Sandra Fukutome, Project Manager, Mark Pocta, Program and Project Supervisor, and Steve Roscow, Project Manager, for the Office of Ratepayer Advocates; Kayode Kajopaije, Randi Greenspan, for the Energy Division; Mona Petrochko, Manager, State Regulation, and James McTarnaghan, Attorney, for Enron Capital and Trade Resources; Keith McCrea, Attorney, CIG/CMA; John Leslie, Attorney, PLB; Colin Cushnie, Manager, Gas Contracts and Regulations, John Hughes, Manager, Regulatory Affairs, Gloria Ing, Attorney, Bruce Foster, Vice President - Regulatory, for Southern California Edison Company; Theresa Mueller, Attorney, The Utility Reform Network; Joe Karp, Attorney, California Cogeneration Council; Edward Poole, Attorney, Save Our Services; Mike Schneider, Manager, Pricing, Vince Bartolomucci, Regulatory Affairs, and Lisa Hubbard, State Regulatory Affairs Director, San Diego Gas and Electric Company; and James Squeri, Attorney, and Ron Densmore, Manager, Energy Regulation, Nutrasweet, Kelco. Power requested clarification from the Commission regarding the eligibility of wholesale core requirements for the 10% interstate transition cost surcharge cap. Power stated that the uncertainty regarding that issue impairs the ability of wholesale customers to make business decisions regarding interstate pipeline capacity. Long Beach Contact: Patrick J. Power filed Tel: (510) 446-7742 04/21/97 On April 16, 1997, Patrick Power, attorney for the City of Long Beach, met with Cmmr. Bilas in San Francisco. Also present were: Jean Vieth, advisor to Cmmr. Bilas; Phyllis Huckabee, Director, State Regulatory Relations, and Johannes Von Lierop, Director of Regulatory Affairs, SoCalGas; Lad Lorenz, Director of Capacity and Planning, SoCalGas; Norman Pederson, Attorney, SCUPP/IID; Sandra Fukutome, Project Manager, Mark Pocta, Program and Project Supervisor, and Steve Roscow, Project Manager, for the Office of Ratepayer Advocates; Kayode Kajopaije, Randi Greenspan, for the Energy Division; Mona Petrochko, Manager, State Regulation, and James McTarnaghan, Attorney, for Enron Capital and Trade Resources; Keith McCrea, Attorney, CIG/CMA; John Leslie, Attorney, PLB; Colin Cushnie, Manager, Gas Contracts and Regulations, and John Hughes, Manager, Regulatory Affairs, Southern California Edison Company; Theresa Mueller, Attorney, The Utility Reform Network; Joe Karp, Attorney, California Cogeneration Council; Edward Poole, Attorney, Save Our Services; Mike Schneider, Manager, Pricing, San Diego Gas and Electric Company; and James Squeri, Attorney, and Ron Densmore, Manager, Energy Regulation, Nutrasweet, Kelco. Power requested clarification from the Commission regarding the eligibility of wholesale core requirements for the 10% interstate transition cost surcharge cap. Power stated that the uncertainty regarding that issue impairs the ability of wholesale customers to make business decisions regarding interstate pipeline capacity. Long Beach Contact: Patrick J. Power filed Tel: (510) 446-7742 04/21/97 On April 16, 1997, Patrick Power, attorney for the City of Long Beach, met with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; Phyllis Huckabee, Director, State Regulatory Relations, Johannes Von Lierop, Director of Regulatory Affairs, and Denise Canning, Manager, Tariffs and Regulatory Procedures, Southern California Gas Company; Norman Pederson, Attorney, SCUPP/IID; Sandra Fukutome, Project Manager, Mark Pocta, Program and Project Supervisor, and Steve Roscow, Project Manager, for the Office of Ratepayer Advocates; Kayode Kajopaije, Randi Greenspan, for the Energy Division; Mona Petrochko, Manager, State Regulation, and James McTarnaghan, Attorney, for Enron Capital and Trade Resources; Keith McCrea, Attorney, CIG/CMA; John Leslie, Attorney, PLB; Colin Cushnie, Manager, Gas Contracts and Regulations, John Hughes, Manager, Regulatory Affairs, Gloria Ing, Attorney, Bruce Foster, Vice President - Regulatory, for Southern California Edison Company; Theresa Mueller, Attorney, The Utility Reform Network; Joe Karp, Attorney, California Cogeneration Council; Edward Poole, Attorney, Save Our Services; Beth Bowman, Manager, Fuels and Power Supply, Mark Ward, Regulatory Project Manager, and Lisa Hubbard, State Regulatory Affairs Director, San Diego Gas and Electric Company; and James Squeri, Attorney, and Ron Densmore, Manager, Energy Regulation, Nutrasweet, Kelco. Power requested clarification from the Commission regarding the eligibility of wholesale core requirements for the 10% interstate transition cost surcharge cap. Power stated that the uncertainty regarding that issue impairs the ability of wholesale customers to make business decisions regarding interstate pipeline capacity. Long Beach Contact: Patrick J. Power filed Tel: (510) 446-7742 04/21/97 On April 17, 1997, John Leslie, attorney for PLB Management, LLC (PLB), met with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; and the individuals listed on the attachment to the notice. Leslie addressed PLB's proposal to eliminate a cross- subsidy that exists between large residential customers and small residential customers with respect to customer-related costs. Leslie stated that PLB supports the alternate pages of Cmmr. Conlon and that PLB would qualify under the condition set forth in these pages because Park Labrea has a central heating plant and central water heating. Leslie noted that sub-metering at individual units would only allow for unit-by- unity metering of natural gas used for cooking. PBL Contact: Linda Vitale filed Tel: (619) 235-3536 04/21/97 On April 16, 1997, John Leslie, attorney for PLB Management, LLC (PLB), met with Cmmr. Bilas in San Francisco. Also present were: Jean Vieth, advisor to Cmmr. Bilas; and the individuals listed on the attachment to the notice. Leslie addressed PLB's proposal to eliminate a cross- subsidy that exists between large residential customers and small residential customers with respect to customer-related costs. Leslie stated that PLB supports the alternate of Cmmr. Knight. PBL Contact: Linda Vitale filed Tel: (619) 235-3536 04/21/97 A96-03-031 Southern California Gas Company, for authority to revise its rates effective January 1, 1997, in its Biennial Cost Allocation Proceeding, for a total reduction in annual revenues of approximately $147.9 million (5.7%). A96-04-030 San Diego Gas & Electric Company, for authority to revise its rates effective January 1, 1997, in its Biennial Cost Allocation Proceeding for an approximately $42 million decrease over presently authorized revenues. A96-08-043 Pacific Gas and Electric Company, to restructure and establish natural gas rates; modify its core aggregation and core subscription programs; obtain approval of the principles of a post-1997 core gas procurement incentive mechanism; and obtain approval of principles for disposition of its gas gathering facilities. On April 17, 1997, Joseph Karp, attorney for the California Cogeneration Council/Watson, met with Cmmr. Conlon in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; and other parties listed on the attachment to the notice. Karp stated that allocating additional costs to noncore customers would disadvantage cogenerators and other in-state electric generators in their efforts to compete with out- of-state resources. CCC/Watson Contact: Mary McCombs filed Tel: (415) 268-7607 04/21/97 On April 16, 1997, Joseph Karp, attorney for the California Cogeneration Council/Watson (CCC/Watson), met with Cmmr. Bilas in San Francisco. Also present were: Jean Vieth, advisor to Cmmr. Bilas; and other parties listed on the attachment to the notice. Karp stated that CCC/Watson support Cmmr. Knight's alternate respecting the replacement cost adder and interstate transition cost surcharge allocation. Karp urged the Commission to retain Resolution G- 3062 in its current form and reject the proposal to require Southern California Gas Company to negotiate individual contracts with cogenerators that are similar to negotiated, non-volumetric contract entered into with utility electric generators. Karp stated that the new proposal is impractical and overly burdensome. CCC/Watson Contact: Mary McCombs filed Tel: (415) 268-7607 Other Business Agenda No. 2947 June 6, 1996 LEG-1 SB 678 (Polanco) as amended on May 9, 1996. Would require that the Commission submit a report to the Legislature by July 1, 1997 that recommends an approach to financing existing low- income public policy prograns that does not create competitive imbalance between Commission- regulated natural gas providers and others. Commission voted 4-0 to approve recommendation to support the bill. Commissioner Fessler necessarily absent. HLEG-4 AB 2589 (Battin) as amended on April 17, 1996. Would require approval by April 1, 1997, of an experimental rate design, in Climatic Zone 15, which may diverge from the inverted rate structure mandated by Section 739 of the Public Utilities Code. Commission voted 3-1 to support recommendation to take a neutral position on the bill if funding to implement is provided. Commissioner Neeper dissented. Commissioner Fessler necessarily absent. HLEG-6 AB 2597 (Alby) as amended on April 24, 1996 and as proposed to be amended. Would provide that no privately owned or publicly owned public utility shall provide electric service to an existing retail customer of another utility unless the customer first enters into an agreement to pay an established nonbypassable severance fee or competitive transition charge. Commission voted 3-1 to support the concept of a nonbypassable competition transition change but oppose provisions of the bill which are inconsistent with the Commission's policy and Roadmap implementation decisions. Commissioner Knight dissented. Commissioner Fessler necessarily absent. REMOVALS FROM CALENDAR NONE