Daily Calendar California Public Utilities Commission Wednesday, January 21, 1998 Page 29 Public Utilities Commission of the State of California Wesley M. Franklin, Executive Director Headquarters Southern California Office 505 Van Ness Avenue 107 So. Broadway, Room 5109 San Francisco, CA 94102 Los Angeles, CA 90012 (415) 703-2782 (213) 897-2973 Website: http://www.cpuc.ca.gov Daily Calendar Wednesday, January 21, 1998 ú Regular Commission Meetings ú Notices ú Subscription Information (Daily Calendar and Agenda) ú Commissioner Office Hours ú Public Meetings and Workshops ú New Filings ú Petitions for Modification of Applications for Rehearing ú Draft Decisions/Proposed Decisions/Alternates/Arbitrator's Reports ú Advice Letter Filings ú Miscellaneous Transportation Items ú Adjournments/Resettings/Submissions ú Removals from Calendar ú New Settings ú Law and Motion Hearings ú Hearings ú Notice of Denial of Request for Ex Parte Meeting ú Notice of Ex Parte Communications REGULAR COMMISSION MEETINGS January 21, 10 am San Francisco 1998 February 4, 10 am San Francisco 1998 February 19, 10 am San Francisco 1998 NOTICES Delivery of Formal Pleadings for Filing 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. The Payphone Service Provider's Enforcement Committee has proposed a Charter for approval by the CPUC. A protest must be made in writing and received within 20 days from the date of this calendar item. Protest must be delivered to Director, Telecommunications Division, 505 Van Ness Ave., Room 3203, San Francisco, CA, 94102. Filing: Letter Seeking Approval Date Filed: December 26, 1997 Filed With: Telecommunications Division Public Advocates on behalf of the Signatory coalitions, requests approval of the Organizational Charter filed on December 26, 1997, implementing D.97-03-067 Community Partnership Commitments. Comments/protests must be delivered to Director, Telecommunications Division, 505 Van Ness Avenue, Room 3203, San Francisco, CA 94102 by February 2, 1998. The contact person is Linda Rochester at (415) 703- 2770. Charge for Commission Documents To purchase Commission documents, there is a charge of 20 cents a printed page (postage prepaid) with a minimum purchase of $2.00. SUBSCRIPTION INFORMATION 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 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; or by calling (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. COMMISSIONER OFFICE HOURS (For further information or to make an appointment, please contact, Michelle Diamonon at (707) 445-7875 for Eureka and Chico locations, and Sandra Graham at (213) 897-3544 for other locations). Date/Time Commissioner Location 2/25/98, 1 pm - 4 Henry M. Duque State Office Building pm 107 So. Broadway, Room 5109 Los Angeles 3/13/98, 9 am - Josiah Neeper State Office Building 12 pm 1350 Front Street, Room 4006 San Diego 4/17/98, 9 am - Josiah Neeper State Office Building 12 pm 107 So. Broadway, Room 5109 Los Angeles 5/15/98, 9 am - Josiah Neeper State Office Building 12 pm 1350 Front Street, Room 4006 San Diego PUBLIC MEETINGS & WORKSHOPS Public Meeting January 21, 1998 California Public Utilities Lottery begins at 1:30 Commission pm 505 Van Ness Avenue, Training Room (Corner of Van Ness Avenue and McAllister Street) San Francisco LOTTERY FOR TELEPHONE NUMBER PREFIX ASSIGNMENTS IN THE 209, 213, 310, 408, 415/650, 510/925, 619, 714/949, 805, 818/626, AND 916/530 NUMBERING PLAN AREAS The Telecommunications Division of the California Public Utilities Commission will be conducting a lottery to determine allocations of central office codes (NXXs) in the 209, 213, 310, 408, 415/650, 510/925, 619, 714/949, 805, 818/626, and 916/530 area codes pursuant to the provisions of D.96-09-087. Applications should be submitted to the California Code Administrator prior to the close of business on January 13, 1998. For information on the lottery process, call (415) 703- 1879. If specialized accommodations for the disabled are needed, call the Public Advisor at (415) 703- 2032 five working days in advance of the event. Public Meeting PLEASE NOTE: NEW MEETING LOCATION! January 22, 1998 California Public Utilities 1 pm - 5 pm Commission 505 Van Ness Avenue, Room 3209 San Francisco The ULTS Marketing Board (ULTSMB) will hold a meeting to discuss development of a Draft 1998 Budget. If you would like to join the meeting by phone conference or receive a copy of the agenda please notify Vivien Wright, Executive Assistant, five (5) working days in advance of the meeting at (510) 452-2757. Public Meeting January 23, 1998 California Public Utilities 9:30 am - 4 pm Commission 505 Van Ness Avenue, Room 5305 (Corner of Van Ness Avenue and McAllister Street) San Francisco The California Board for Energy Efficiency will meet to discuss the proposed RFP for independent administrators and governing rules, analysis and evaluation plans; utility 1998 program plans and associated reports to and decisions by the ALJ; utility third-party programs; standard performance contracting programs; consultant workplans; 1998 energy efficiency budgets; development of a CBEE logo; reports from or direction to the technical consultants and Technical Advisory Committee, Board operational matters, and other Board filings. The contact person is Sara Myers, (415) 387- 1904. Public Meeting January 23, 1998 Deaf and Disabled Telecommunications Program (REVISED DATE) 1939 Harrison Street 10 am - 4 pm DDTP Conference Room, Suite 555 Oakland The California Relay Service Advisory Committee (CRSAC) 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 Sara Brucker at (510) 874-1410 VOICE or (510) 874-1411 TTY. Environmental Reminder: Please refrain from wearing perfumes or scents to DDTP meetings, because people with environmental illness or multiple chemical sensitivity must reduce their exposure in order to attend. Workshop Notice January 26, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Training Room (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss technical criteria related to load profiling. This workshop is being held pursuant to an Assigned Commissioners' Ruling dated January 13th, 1998. The workshop is open to the public and the training room is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703-2818). Public Meeting January 27, 1998 San Diego Gas & Electric Company Various times. (See 8306 Century Park Court, Building Schedule below.) 4 San Diego With a Break for Lunch (A brief break will be To join via teleconference: called prior to lunch) Dial: 303-633-0782 Passcode: 1505225# Advisory Committee Topic Area Discussions Topic Area 1: Administration Issues 9 am - 10 am Topic Area 2: Financial/Fiscal Management 10 am - 11 am Topic Area 3: Data Systems 11 am - 12 pm As provided for in Public Utilities Commission D97-09-117, one or more LIGB members may be participating in this meeting via teleconference. Members of the public may also participate in the meeting on January 27, 1998 by calling 303 633-0782. The Low Income Governing Board Advisory Committee will meet to discuss the following agenda items: review meeting minutes administrative/membership issues briefing on Board retreat legal issues, issues related to the transition of services topic area reports outreach to customers and develop agenda for next meeting These meeting are open to the public. You can get the materials for this meeting from the LIGB website at www.ligb.org under "Advisory Committee". Amy Hopper is the contact person at (510) 251-2888, extension 2015. Workshop Notice January 28, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Commission Auditorium (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss formation of a Direct access "Rule 22 Tariff Review Group". This workshop is being held pursuant to D.97-10-087, Ordering Paragraph 11. The workshop is open to the public and the Commission Auditorium is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703- 2818). Public Meeting January 28, 1998 California Public Utilities 10:00 am - 5 pm Commission 505 Van Ness Avenue, Room 3204 (Corner of Van Ness Avenue and McAllister Street) San Francisco The ULTS Marketing Board (ULTSMB) will hold its regular meeting to discuss/approve the following: Draft Charter, Draft 1998 Budget, results of previous ULTS Marketing Studies/Campaigns, election of Chairperson and Vice-Chair, and other general administrative matters. If you would like to join the meeting by phone conference or receive a copy of the full agenda please notify Vivien Wright, Executive Assistant, five (5) working days in advance of the meeting at (510) 452-2757. Workshop Notice January 29, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Hearing Room (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss formation of a "Universal Node Identifiers System" Working Group. This workshop is being held pursuant to D.97-12-090, Ordering Paragraph 1.a. The workshop is open to the public and the training room is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703-2818). Public Meeting January 29, 1998 Deaf and Disabled 10 am - 3 pm Telecommunications Program 1939 Harrison Street DDTP Conference Room, Suite 555 Oakland The Equipment Program Advisory Committee of the Deaf and Disabled Telecommunications Program will hold scheduled interviews for EPAC Open Committee Seats. For more information about the meeting, or if you plan to attend the meeting and need sign language interpretation or real-time captioning, contact Sara Brucker at (510) 874-1410/VOICE or (510) 874-1411 TTY. Environmental Reminder: Please refrain from wearing perfumes or scents to DDTP meetings, because people with environmental illness or multiple chemical sensitivity must reduce their exposure in order to attend. Public Meeting January 29, 1998 Sacramento Municipal Utility 10 am - 4 pm District Sequoia Room 1 & 2 With a Break for Lunch 6301 S Street (A brief break will be Sacramento called prior to lunch) To join via teleconference: Dial: 303-633-0782 Passcode: 1505225# As provided for in Public Utilities Commission D97-09-117, one or more LIGB members may be participating in this meeting via teleconference. Members of the public may participate in the meeting by calling 303-633-0782 on January 29, 1998. The Low Income Governing Board will meet to discuss the following agenda items: Chairperson's report, review meeting minutes, discuss legal issues, Technical Consultants projects, address budget planning/financial status, update on the Advisory Committee, debrief about Board retreat, address policy planning issues on critical path, and develop agenda for next Board meeting. These meetings are open to the public. You can get the materials for this meeting from the LIGB website at www.ligb.org. Amy Hopper is the contact person at (510) 251-2888, extension 2015. Workshop Notice January 30, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Commission Auditorium (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss formation of a "Permanent Standards Working Group" for meter standards under direct access. This workshop is being held pursuant to D.97-12-048, Ordering Paragraph 7. Workshop Notice January 30, 1998 Pacific Gas and Electric Company 9:30 am - 3:30 pm Energy Center 851 Howard Street San Francisco The Commitments Committee of the California Board for Energy Efficiency will hold a public workshop to discuss development of a common set of definitions for itemized utility assets and liabilities. The workshop is part of the first phase of the transfer of utility assets and liabilities related to energy efficiency programs, which involves identifying, defining and categorizing the specific assets and liabilities to be transferred. Subsequent phases involve audit and verification of assets and liabilities, and identification of the mechanism and time frame over which the assets are physically or financially transferred. The contact person is Nancy Licht, (707 522-1457. Public Meeting January 30, 1998 California Public Utilities 10 am - 4 pm Commission and 505 Van Ness Avenue, Training Room February 23 through (Corner of Van Ness Avenue and February 27, 1998 McAllister Street) 10 am - 4 pm San Francisco The Commission Energy Division is convening rate of return workshops on the topic of developing methodologies to match rate of return on equity to regulated and nonregulated utility services. The workshop setting will allow utilities and other parties to share their progress in unbundling costs of capital methodologies. The workshop is open to the public. Access and facilities for the disabled are available. The Commission will maintain an interactive area on the Commission's website for this workshop. The address of the Commission's website is www.CPUC.CA.GOV. Once on the Commission's website, parties should go to the Energy Division's Library to find the Unbundling the Costs of Capital Workshop area of the website. Parties are invited to post a copy of their proposal the Unbundling the Costs of Capital Workshop area of the Commission's website. Instructions for posting proposals and comments in the Unbundling the Costs of Capital Workshop area of the Commission's website are posted in that area of the website. If you have any questions, please contact Donna Wagoner at 415-703-3175. Public Meeting February 3, 1998 Pacific Gas and Electric Company Various times. (See Energy Center Schedule below.) 851 Howard Street (1 block west of the Moscone Center) With a Break for Lunch San Francisco (A brief break will be called prior to lunch) To join via teleconference: Dial: 303-633-0782 Passcode: 1505225# Advisory Committee Topic Area Discussions Topic Area 1: Administration Issues 9 am - 10 am Topic Area 2: Financial/Fiscal Management 10 am - 11 am Topic Area 3: Data Systems 11 am - 12 pm Full Advisory Committee Meeting 12:30 pm - 4 pm (Lunch is provided for advisory committee members) As provided for in Public Utilities Commission D.97-09-117, one or more LIGB members may be participating in this meeting via teleconference. Members of the public may also participate in the meeting on February 3, 1998 by calling 303 633-0782. The Low Income Governing Board Advisory Committee will meet to discuss the following agenda items: review meeting minutes administrative/membership issues briefing on Board retreat legal issues, issues related to the transition of services topic area reports outreach to customers and develop agenda for next meeting These meeting are open to the public. You can get the materials for this meeting from the LIGB website at www.ligb.org under "Advisory Committee". Amy Hopper is the contact person at (510) 251-2888, extension 2015. Public Meeting February 3, 1998 Deaf and Disabled 10 am - 4 pm Telecommunications Program 1939 Harrison Street DDTP Conference Room, Suite 555 Oakland 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 Sara Brucker at (510) 874-1410 VOICE or (510) 874-1411 TTY. Environmental Reminder: Please refrain from wearing perfumes or scents to DDTP meetings, because people with environmental illness or multiple chemical sensitivity must reduce their exposure in order to attend. Workshop Notice February 9, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Training Room (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss load profiling issues related to the process for segmenting the current customer rate schedules into more segmented rate categories. This workshop is being held pursuant to D.97-10- 086, Ordering Paragraph 6. The workshop is open to the public and the training room is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703-2818). Workshop Notice February 10, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Training Room (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to determine whether there should be dynamic load profiles for agricultural customers. This workshop is being held pursuant to D.97-10-086, Ordering Paragraph 8. The workshop is open to the public and the training room is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703-2818). Workshop Notice February 11, 1998 California Public Utilities 9 am Commission 505 Van Ness Avenue, Training Room (Corner of Van Ness Avenue and McAllister Street) San Francisco The Energy Division staff will conduct a workshop to discuss data and information necessary to assess the effects of load profiling, and to determine how load profiling methodologies and administration can be improved. This workshop is being held pursuant to D.97-10-086, Ordering Paragraph 10 (a). The workshop is open to the public and the training room is wheelchair accessible. For more information contact Steve Roscow of the Energy Division (phone: 415-703-2818). Public Meeting February 12, 1998 Deaf and Disabled 9:30 am - 3:30 pm Telecommunications Program 1939 Harrison Street DDTP Conference Room, Suite 555 Oakland The Equipment Program Advisory 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 Sara Brucker at (510) 874-1410 VOICE or (510) 874-1411 TTY. Environmental Reminder: Please refrain from wearing perfumes or scents to DDTP meetings, because people with environmental illness or multiple chemical sensitivity must reduce their exposure in order to attend. Public Meeting February 27, 1998 Deaf and Disabled Telecommunications Program (REVISED DATE) 1939 Harrison Street 10 am - 4 pm DDTP Conference Room, Suite 555 Oakland The California Relay Service Advisory Committee (CRSAC) 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 Sara Brucker at (510) 874-1410 VOICE or (510) 874-1411 TTY. Environmental Reminder: Please refrain from wearing perfumes or scents to DDTP meetings, because people with environmental illness or multiple chemical sensitivity must reduce their exposure in order to attend. NEW FILINGS 12/19/97 A97-12- Bahram Shahab and Merhdad Hajimoradi; 051 Metro Shuttle Inc., dba: L.A.Xpress/Best Shuttle, for authority to transfer control of passenger stage certificates to Infinity Transportation Inc. (8939 S. Sepulveda Boulevard, #514, Los Angeles, CA 90045; (310) 216-3336) 12/26/97 C97-12- ECP - Elena Milkova vs. Sprint 050 Telephone Company, for failure to execute a block of long distance charges which resulted in excess charges in complainant's account 1/12/98 A98-01- iTelsa (USA), Inc., for registration 010 an interexchange carrier telephone corporation PETITIONS FOR MODIFICATION AND APPLICATIONS FOR REHEARING 1/13/98 R94-04-031 Commission Order Instituting Rulemaking on its proposed policies governing restructuring California's electric services industry and reforming regulation and I94-04-032 Commission Order Instituting Investigation on its proposed policies governing restructuring California's electric services industry and reforming regulation; Petition for modification of D.97-12-048 by Applied Metering Technologies, Inc. DRAFT DECISIONS * PROPOSED DECISIONS * ALTERNATES * ARBITRATOR'S REPORTS NONE ADVICE LETTER FILINGS NONE MISCELLANEOUS TRANSPORTATION ITEMS January 21, 1998 Filings with Safety and Enforcement NONE ADJOURNMENTS * RESETTINGS * SUBMISSIONS A97-10- Ramsey-Citizens Telecommunications 021 Company of California, Inc., Prehearing Conference held and completed A97-12- Wetzell-Pacific Gas and Electric, 020 workshop held and completed I97-11- 026 C97-11- Watson-Pac-West Telecomm, Inc. vs. 034 Pacific Bell, Prehearing Conference held and completed REMOVALS FROM CALENDAR NONE NEW SETTINGS 1/29/98 9:30 am (PHC)-Pacific Gas and Electric ALJ Careaga A97-12- Company, for authority to increase Comr Bilas 020 rates and charges for electric and gas service effective 1/1/99, and I97-11- (PHC)-Commission Order Instituting 026 Investigation into the out-of-service status of Pacific Gas and Electric Company's El Dorado hydroelectric project and the need to reduce electric rates related to this non- functioning electric generating facility, Commission Courtroom, San Francisco 2/19/98 10:00 am (EH)-Florsheim Bros. vs. Pacific Gas ALJ Patrick C96-05- and Electric Company, for excessive Comr Neeper 049 charges in connection with the electric portion of trenching and related costs and fees, all of which were non-refundable, in both Golf Course Terrace #9 and #10 subdivisions in Stockton, Commission Courtroom, San Francisco (also February 20, San Francisco LAW AND MOTION 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. (Temporarily, ALJ Janet Econome will preside January 13-23; ALJ Robert Ramsey, January 26-30; and ALJ Jacqueline Reed, February 2-13.) Law and Motion procedures are governed by Resolution ALJ 164. Copies of Resolution ALJ 164 are available from the Commission's Documents Desk (415) 703-1713 or from Central Files (415) 703-2045 . 1/27/98 9:30 am NONE SCHEDULED 2/3/98 9:30 am NONE SCHEDULED 2/10/98 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 (FPH) = Full Panel Hearing Hearing (IAM) = Initial Arbitration (AH) = Arbitration Meeting Hearing (M) = Mediation 1/21/98 7:00 pm (PPH)-California Water Service ALJ Garde A97-09- Company, for a general rate increase Comr Bilas 010 to increase revenues by $126,700, or 7.1%, in 1998 in the Selma District, Arts Center, 1045 Rose Avenue, Selma 1/22/98 1:30 pm (PHC)-Pacific Gas and Electric ALJ A97-03- Company, for authority to revise its Econome 002 gas rates and tariffs to be effective Comr Bilas 1/1/98, pursuant to D.89-01-040, D.90- 09-089, D.91-05-029, D.93-12-058, D.94-07-024, and D.95-12-053, Commission Courtroom, San Francisco (EH), for 10 am, January 26, San Francisco (also January 27-30 and February 2-6, San Francisco), 1/26/98 10:00 am (EH)-Commission Order Instituting ALJ I97-04- Investigation on the Commission's own McKenzie 014 motion and order whether Guy W. Comr Martens, dba Western Cellular, Inc., Neeper has violated consumer protection laws and should be subject to sanctions or the imposition of operating requirements to advance consumer protection, Commission Courtroom, San Francisco (also January 27, San Francisco) 1/26/97 2:00 pm (PHC)-Pamee Tina Collette and ALJ A97-08- Lawrence R. Vanoni to sell the Coast McVicar 011 Springs Water Company, Inc. and Comr Duque Joseph R. Bonamico, Sr. To acquire the Coast Water Springs Water Company, Inc., Commission Courtroom, San Francisco 1/27/98 10:00 am (EH)-San Jose Water Company, for ALJ A95-08- authority to increase rates by Stalder 038 $3,867,000 or 4.16% in 1995; Comr $4,348,000 or 4.43% in 1996; and Conlon $1,713,000 or 1.67% in 1997, in Los Gatos, Saratoga, Monte Sereno, Campbell, portions of San Jose, Cupertino and Santa Clara, and in territory within the County of Santa Clara surrounding and adjacent in these municipalities, Commission Courtroom, San Francisco (also January 28, San Francisco) 1/27/98 7:00 pm (PPH)-California Water Service ALJ Garde A97-09- Company, for a general rate increase Comr Bilas 009 to increase revenues by $408,900, or 6.6%, in 1998; $108,200, or 1.7%, in 1999; and by $108,200, or 1.6%, in both 2000 and 2001, in the South San Francisco District, City of South San Francisco Municipal Services Building, 33 Arroyo Drive, South San Francisco 1/28/98 1:30 pm (EH)-Castlerock Estates Inc., Bruce ALJ Weiss C92-04- B. Breiholz vs. Toro Water Service, Comr 034 Inc., California Utilities Service, Conlon Inc., and Robert T. Adcock, for refunds of taxes and contributions for plant and facilities made in 1988, Commission Courtroom, San Francisco 1/29/98 9:30 am (PHC)-Pacific Gas and Electric ALJ A97-12- Company, for authority to increase Careaga 020 rates and charges for electric and Comr Bilas gas service effective 1/1/99, and I97-11- (PHC)-Commission Order Instituting 026 Investigation into the out-of-service status of Pacific Gas and Electric Company's El Dorado hydroelectric project and the need to reduce electric rates related to this non- functioning electric generating facility, Commission Courtroom, San Francisco 1/30/98 7:00 p.m. (PHC)-Robert W. Merwin vs. Citizens ALJ Walker C97-09- Communications, for arbitrary Comr Duque 054 definition of service areas, Jean Harvie Community Center, 14273 River Road, Walnut Grove 2/2/98 10:00 am (EH)-Southern California Edison ALJ A89-03- Company, for a certificate to Stalder 026 construct and operate a 220-kV line Comr Duque between the Kramer Substation and the Victor Substation, Commission Courtroom, San Francisco (also February 3-6, San Francisco) 2/3/98 10:00 am (PHC)-Commission Order Instituting ALJ Garde I97-07- Investigation for the purpose of Comr Bilas 014 establishing a list for the fiscal year 1998-99 and 1999-2000 of existing and proposed crossings at grade of city streets, county roads, or state highways in need of separation, or projects effecting the elimination of grade crossings by removal or relocation of streets or railroad tracks, or existing separations in need of alterations or reconstruction in accordance with Section 2452 of the streets and highways code, Commission Courtroom, San Francisco 2/3/98 10:00 am (EH)-Pacific Bell, for authority to ALJ A95-12- increase and restructure certain Malcolm 043 rates of its Integrated Services Comr Duque Digital Network services, and C96-02- (EH)-Compaq Computer Corporation and 002 Intel Corporation vs. Pacific Bell, for unjust and unreasonable rates and charges and practices, and inadequate service for its Integrated Services Digital Network service, Commission Courtroom, San Francisco 2/3/98 7:00 pm (PPH)Citizens Utilities Company of ALJ A97-11- California, for a general rate McVicar 007 increase of $210,305 or 31.97% for Comr Duque the year 1998; $34,846 or 4.0% for the year 1999; attrition revenue increase of 3.8% for the year 2000 in A97-11- the Felton District, and 008 (PPH)-Citizens Utilities Company of California, for a general rate increase of $481,362 or 38.3%, for the year 1998; no increase is being A97-11- requested for 1999 and the attrition 009 year 2000 in the Larkfield District, and (PPH)-Citizens Utilities Company of California, for a general rate increase of $1,400,275 or 9.0% for the year 1998; $1,274,163 or 7.4% for the year 1999, an attrition revenue increase of 6.9% for the year 2000 in the Sacramento District, Felton Community Hall, 6191 Highway 9, Felton; (also February 4, 7:00 pm, Luther Burbank Center, Gold Room, 50 Mark West Springs Road, Santa Rosa; and February 5, 7:00 pm, Encina High School Cafeteria, 1400 Bell Street, Sacramento) 2/4/98 10:00 am (PHC)-Watertek Inc., for approval of ALJ Garde A97-10- acquisition of Spreckels Sewer System Comr Duque 051 and rate request of $37.70 per month for residential service and industrial rates, City of Salinas Council Chambers, 200 Lincoln Avenue, Salinas 2/4/98 2:30 pm (FPH)-Southern California Edison ALJ A91-05- Company (U 338 E) for review of the Barnett 050 reasonableness of Edison's operations Comr during the period from April 1, 1990 Neeper through March 31, 1991. (Limited to argument regarding the Mojave cogeneration contract.) Commission Courtroom, San Francisco 2/5/98 9:30 am (EH)-Ambler Park Water Utility and ALJ Garde A7-07-058 California-American Water Company, Comr for an order authorizing Ambler Park Conlon Water Utility to sell and California- American Water Company to acquire the water utility assets of Ambler Park Water Utility, Monterey Public Library Community Room, 625 Pacific Street, Monterey 2/5/98 1:00 pm (PHC)-San Diego Gas & Electric ALJ A97-09- Company, for a permanent gas Wetzell 049 procurement performance-based Comr ratemaking mechanism, Conlon Commission Courtroom, San Francisco 2/10/98 10:00 am (PHC)-Pacific Gas and Electric ALJ A97-10- Company, for recovery of 1996 capital Malcolm 014 additions costs, and, Comr Bilas A97-10- (PHC)-San Diego Gas & Electric 015 Company, for competition transition charge recovery of 1996 capital additions, and A97-10- (PHC)-Southern California Edison 024 Company, for authority to recover capital additions to its fossil generating facilities made between 11/1/96 AND 12/31/96, Commission Courtroom, San Francisco (EH) for 10 am, March 9, San Francisco (also March 10-13, San Francisco 2/12/98 (PHC)-Brooks Fiber Communications of ALJ Bushey C97-11- Fresno, Inc., Brooks Fiber Comr Duque 018 Communications of Stockton, Inc., Brooks Fiber Communications of Bakersfield, Inc., Brooks Fiber Communications of San Jose, Inc., and Brooks Fiber Communications of Sacramento, Inc. vs. Pacific Bell, for unreasonable and unlawful anti- competitive activities, Commission Courtroom, San Francisco 2/18/98 9:30 am (EH)-Tel-Save, Inc. of Pennsylvania, ALJ Garde A96-12- dba The Phone Company, for a Comr 050 certificate of public convenience and Neeper necessity to operate as a reseller of local exchange service, Commission Courtroom, San Francisco (also February 19, San Francisco) 2/19/98 10:00 am (EH)-Florsheim Bros. vs. Pacific Gas ALJ Patrick C96-05- and Electric Company, for excessive Comr Neeper 049 charges in connection with the electric portion of trenching and related costs and fees, all of which were non-refundable, in both Golf Course Terrace #9 and #10 subdivisions in Stockton, Commission Courtroom, San Francisco (also February 20, San Francisco 2/23/98 10:00 am (PHC)-Southern California Water ALJ McVicar A97-12- Company (SoCalWater), for an order to Comr Duque 016 form a holding company structure and for approval of the sale of certain non-utility assets by or from SoCal Water to Cal Cities Water Company, Commission Courtroom, San Francisco 2/24/98 10:00 am (EH)-Utility Audit Company, Inc., vs. ALJ Garde C97-02- Southern California Gas Company, for Comr Bilas 015 improper billing resulting in overcharges to customers of the Le Parc Simi Valley Homeowners Association, Commission Courtroom, Los Angeles 3/9/98 10:00 am (EH)-CABAC, Inc., for authority to ALJ Bennett A97-06- operate as an "on-call passenger Comr Duque 011 stage corporation pursuant to Section Comr Neeper 1031 of the California Public Utilities Code between points in Los Angeles, Orange, Riverside, San Bernardino and Ventura Counties and Los Angeles International, Burbank, Long Beach, John Wayne and Ontario Airports, San Pedro Harbor, and the A97-06- Los Angeles Amtrak Terminal, and for 012 a zone of rate freedom for its tariff rates, and (EH)-B.A.D.D.J., Inc., for authority to operate as an "on-call" passenger stage corporation pursuant to Section 1031 of the California Public Utilities Code between points in Los Angeles, Orange, Riverside, San Bernardino, Santa Barbara and Ventura Counties, on the one hand, and Los A97-06- Angeles International, Burbank, Long 013 Beach, John Wayne, Ontario, Santa Barbara and Oxnard Airports, San Pedro Harbor, and the Los Angeles Amtrak Station, on the other, and for a zone of rate freedom for its tariff rates, and (EH)-AMRAT, Inc., for authority to operate as an "on-call" passenger stage corporation pursuant to Section A97-07- 1031 of the California Public 041 Utilities Code between points in Los Angeles, Orange, Riverside, San Bernardino and Ventura Counties and Los Angeles International, Burbank, Long Beach, John Wayne and Ontario Airports, San Pedro Harbor, and the Los Angeles Amtrak Terminal, and for a zone of rate freedom for its tariff rates; and (EH)-Rideshare Port Management LLC, A97-09- dba Prime Time Shuttle, for authority 031 to operate as a passenger stage corporation between points in Los Angeles, Orange, Riverside, San Bernardino, Santa Barbara and Ventura Counties, on the one hand, and Los Angeles International, Burbank, Long Beach, John Wayne, Ontario, Palm Springs, Santa Barbara, and Oxnard Airports, San Pedro Harbor, and the Los Angeles Amtrak Station, on the other hand, and for a zone of rate freedom for its tariff rates, and (EH)-David Regwan, dba Prime Time Shuttle of Ventura, Orange and Los Angeles Counties, to sell, and AMRAT, Inc., a California Corporation, to purchase, the Passenger Stage Certificate granted by D.90-03-066 in Application 89-08-029, pursuant to Sections 854 and 1036(b) of the California Public Utilities Code, and establish a zone of rate freedom, Commission Courtroom, Los Angeles (also March 10 and 11, Los Angeles) 3/16/98 9:00 am (EH)-U.S. Long Distance, Inc. vs. ALJ Bushey C96-12- Pacific Bell, for losses in excess of Comr 043 $100,000 due to defendants improper Knight administration of billing and collection services edit called "scan and reject edit," Commission Courtroom, San Francisco (also March 17-18, San Francisco) 3/23/98 7:00 pm, (PPH)-Pacific Gas and Electric, for a ALJ A97-04- permit to construct the Vasona Patrick 043 Substation pursuant to General Order Comr 131-D, Knight Town Hall, 110 East Main Street, Los Gatos) 3/30/98 10:00 am (EH)-Southern California Gas Company, ALJ A97-03- for approval of a long-term gas Patrick 015 transmission service contract with Comr Bilas Distribudora de Gas Natural de Mexicali, s. de R.L. de C.V., Commission Courtroom, San Francisco (also March 31, and April 1-3, San Francisco) 4/6/98 10:00 am (EH)-Pacific Gas and Electric, for a ALJ A97-04- permit to construct the Vasona Patrick 043 Substation pursuant to General Order Comr 131-D, Knight Commission Courtroom, San Francisco (also April 7 and 8, San Francisco) 4/17/98 10:00 am (PHC)-California Cable Television ALJ Walwyn C97-03- Association vs. Pacific Bell, for Comr Duque 049 offering and promoting the bundled offering of the basic exchange service and Internet service in violation of due procedures and without authorization, Commission Courtroom, San Francisco 4/21/98 10:00 am The City of Vernon vs. The Atchison, ALJ C96-01- Topeka and Santa Fe Railway, for non- Careaga 019 compliance with zoning, Comr Commission Courtroom, San Francisco Neeper 5/7/98 10:00 am (EH)-Snow Valley, Inc. vs. Southern ALJ C97-09- California Edison Company, for Bennett 024 unjust, unreasonable and Comr discriminatory rates and charges and Knight for improper charges for construction of a power substation, Riverside City Hall, 3900 Main Street, Seventh Floor, Riverside 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 Ex Parte Meeting". 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, Room 2002, San Francisco; telephone (415) 703-2045. Copies of tendered notices are available in the Central Files Office 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 Files Office 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. 1/16/98 A91-05-050 Southern California Edison Co, to revise its electric rates under (ECAC) Energy Cost Adjustment Clause; (MAABF) Major Additions Adjustment Billing Factor; (ERABF) Electric Revenue Adjustment Billing Factor; (LIS) Low Income Surcharge for rate increase of $214.4 million, effective 1992. Summary: On January 13, 1998, Alan Fohrer, Executive Vice President and Chief Financial Officer for Southern California Edison Company (Edison), met with Cmmr. Conlon, in San Francisco. Also present were: James Hendry, advisor to Cmmr. Conlon; Bruce Foster, Vice President of Regulatory Affairs for Edison; W. James Scilacci, Director of Edison's QF Business Unit; Michael Hoover, Manager of Regulatory Affairs for Edison; and Russell Swartz, Senior Counsel for Edison. Materials (attached to notice), consisting of summaries and graphs illustrating Edison's position, were used. Foster stated that the Proposed Decision (PD) in this proceeding contains serious errors of law and fact and therefore should not be adopted by the Commission. Foster stated that the PD disregards material facts and applicable civil law which demonstrate that the PD is incorrect in concluding that there was no "colorable claim" or "legitimate dispute" that was resolved by the amendment to the original Mojave Cogeneration contract. Foster stated that Edison is concerned that the PD, if left uncorrected, could establish an inappropriate precedent for other pending reasonableness reviews and call into question Edison's dealings with numerous Qualifying Facilities (QF) holding similar, Commission-approved standard offer contracts. Fohrer discussed the subject of the completely asymmetrical risks that arise for the utility when traditional reasonableness review approaches are applied to QF contract administration. Fohrer discussed the unfairness that results if the utility is subjected to virtually unlimited disallowance risk under circumstances where the utility was required to enter into the contracts, was rebuffed in its efforts to incorporate protections into the contracts, and has absolutely no opportunity to gain from, or even share in, the results of prudent administrative actions. Fohrer stated that the disallowance risk posed by this case and others pending before the Commission demonstrates that previous cost of capital determinations have not adequately accounted for the risks associated with QF contract administration. Fohrer stated that in analogous situations involving gas generating plants that are being divested the Commission approved limitations on the utility's liability for negligence in recognition of the fact that the maintenance contracts, like the QF contracts, are not voluntary on the part of the utility and provide only a reimbursement level of compensation. Swartz addressed the PD's discussion of the "nameplate" dispute that was settled between Edison and the QF developer through the amended Mojave Cogeneration contract. Swartz noted that the issues raised in this reasonableness proceeding only require the Commission to determine if there was a legitimate dispute between the parties regarding the effect of the nameplate provision in the parties' original contract; the Commission need not in this case address the meaning of "nameplate" on a generic basis, but should instead defer judgment on that issue until it can assess the evidence that has and will be submitted on the generic issue in Edison's 1992 ECAC. Swartz summarized the Merced case and explained how that decision demonstrates objectively that Edison did not act imprudently in concluding that the developer of the Mojave Cogeneration project had raised a colorable claim. Swartz further addressed ORA's position in this case, which acknowledges that contract prices are payable for "excess" generation delivered by a QF facility which is not overinstalled but which treats nameplate as an absolute cap for any facility that is arguably overinstalled. Filer: Southern California Edison Company Contact: Bobbie Cao Phone: (626) 302-2310 Summary: On January 13, 1998, Alan Fohrer, Executive Vice President and Chief Financial Officer for Southern California Edison Company (Edison), met with Cmmr. Bilas, in San Francisco. Also present were: Julie Halligan, advisor to Cmmr. Bilas; Bruce Foster, Vice President of Regulatory Affairs for Edison; W. James Scilacci, Director of Edison's QF Business Unit; Michael Hoover, Manager of Regulatory Affairs for Edison; and Russell Swartz, Senior Counsel for Edison. Materials (attached to notice), consisting of summaries and graphs illustrating Edison's position, were used. Foster stated that the Proposed Decision (PD) in this proceeding contains serious errors of law and fact and therefore should not be adopted by the Commission. Foster stated that the PD disregards material facts and applicable civil law which demonstrate that the PD is incorrect in concluding that there was no "colorable claim" or "legitimate dispute" that was resolved by the amendment to the original Mojave Cogeneration contract. Foster stated that Edison is concerned that the PD, if left uncorrected, could establish an inappropriate precedent for other pending reasonableness reviews and call into question Edison's dealings with numerous Qualifying Facilities (QF) holding similar, Commission-approved standard offer contracts. Fohrer discussed the subject of the completely asymmetrical risks that arise for the utility when traditional reasonableness review approaches are applied to QF contract administration. Fohrer discussed the unfairness that results if the utility is subjected to virtually unlimited disallowance risk under circumstances where the utility was required to enter into the contracts, was rebuffed in its efforts to incorporate protections into the contracts, and has absolutely no opportunity to gain from, or even share in, the results of prudent administrative actions. Fohrer stated that the disallowance risk posed by this case and others pending before the Commission demonstrates that previous cost of capital determinations have not adequately accounted for the risks associated with QF contract administration. Fohrer stated that in analogous situations involving gas generating plants that are being divested the Commission approved limitations on the utility's liability for negligence in recognition of the fact that the maintenance contracts, like the QF contracts, are not voluntary on the part of the utility and provide only a reimbursement level of compensation. Swartz addressed the PD's discussion of the "nameplate" dispute that was settled between Edison and the QF developer through the amended Mojave Cogeneration contract. Swartz noted that the issues raised in this reasonableness proceeding only require the Commission to determine if there was a legitimate dispute between the parties regarding the effect of the nameplate provision in the parties' original contract; the Commission need not in this case address the meaning of "nameplate" on a generic basis, but should instead defer judgment on that issue until it can assess the evidence that has and will be submitted on the generic issue in Edison's 1992 ECAC. Swartz summarized the Merced case and explained how that decision demonstrates objectively that Edison did not act imprudently in concluding that the developer of the Mojave Cogeneration project had raised a colorable claim. Swartz further addressed ORA's position in this case, which acknowledges that contract prices are payable for "excess" generation delivered by a QF facility which is not overinstalled but which treats nameplate as an absolute cap for any facility that is arguably overinstalled. Filer: Southern California Edison Company Contact: Bobbie Cao Phone: (626) 302-2310 Summary: On January 13, 1998, Alan Fohrer, Executive Vice President and Chief Financial Officer for Southern California Edison Company (Edison), met with Cmmr. Neper, in San Francisco. Also present were: David Gamson, advisor to Cmmr. Neeper; Bruce Foster, Vice President of Regulatory Affairs for Edison; W. James Scilacci, Director of Edison's QF Business Unit; Michael Hoover, Manager of Regulatory Affairs for Edison; and Russell Swartz, Senior Counsel for Edison. Materials (attached to notice), consisting of summaries and graphs illustrating Edison's position, were used. Foster stated that the Proposed Decision (PD) in this proceeding contains serious errors of law and fact and therefore should not be adopted by the Commission. Foster stated that the PD disregards material facts and applicable civil law which demonstrate that the PD is incorrect in concluding that there was no "colorable claim" or "legitimate dispute" that was resolved by the amendment to the original Mojave Cogeneration contract. Foster stated that Edison is concerned that the PD, if left uncorrected, could establish an inappropriate precedent for other pending reasonableness reviews and call into question Edison's dealings with numerous Qualifying Facilities (QF) holding similar, Commission-approved standard offer contracts. Fohrer discussed the subject of the completely asymmetrical risks that arise for the utility when traditional reasonableness review approaches are applied to QF contract administration. Fohrer discussed the unfairness that results if the utility is subjected to virtually unlimited disallowance risk under circumstances where the utility was required to enter into the contracts, was rebuffed in its efforts to incorporate protections into the contracts, and has absolutely no opportunity to gain from, or even share in, the results of prudent administrative actions. Fohrer stated that the disallowance risk posed by this case and others pending before the Commission demonstrates that previous cost of capital determinations have not adequately accounted for the risks associated with QF contract administration. Fohrer stated that in analogous situations involving gas generating plants that are being divested the Commission approved limitations on the utility's liability for negligence in recognition of the fact that the maintenance contracts, like the QF contracts, are not voluntary on the part of the utility and provide only a reimbursement level of compensation. Swartz addressed the PD's discussion of the "nameplate" dispute that was settled between Edison and the QF developer through the amended Mojave Cogeneration contract. Swartz noted that the issues raised in this reasonableness proceeding only require the Commission to determine if there was a legitimate dispute between the parties regarding the effect of the nameplate provision in the parties' original contract; the Commission need not in this case address the meaning of "nameplate" on a generic basis, but should instead defer judgment on that issue until it can assess the evidence that has and will be submitted on the generic issue in Edison's 1992 ECAC. Swartz summarized the Merced case and explained how that decision demonstrates objectively that Edison did not act imprudently in concluding that the developer of the Mojave Cogeneration project had raised a colorable claim. Swartz further addressed ORA's position in this case, which acknowledges that contract prices are payable for "excess" generation delivered by a QF facility which is not overinstalled but which treats nameplate as an absolute cap for any facility that is arguably overinstalled. Filer: Southern California Edison Company Contact: Bobbie Cao Phone: (626) 302-2310 1/16/98 C97-11-017 California Cable Television Association vs. Southern California Edison Company, for Southern California Edison's efforts to restrict the types of services cable operaters deliver over facilities attached to Southern California Edison poles. Summary: On January 13, 1998, John Hughes, Manager of Regulatory Affairs for Southern California Edison Company (Edison), spoke with ALJ Pulsifer, via telephone. Hughes discussed the 1/12/98 motion by the CCTA to transfer this case to ALJ Pulsifer. Hughes stated his concern that the proposed transfer would delay a decision on the merits and would therefore postpone the time when Edison's ratepayers and shareholders could begin receiving fair and equitable compensation for cable operator's use of utility assets. Filer: Southern California Edison Company Contact: Bobbie Cao Phone: (626) 302-2310 1/16/98 C97-11-034 Pac-West Telecomm, Inc. vs. Pacific Bell, for an order declaring that Pacific Bell is in breach of the Agreement and for compensations, and for improper termination ISP calls Summary: LATE FILED. On January, 12, 1998, Bill Blase, Vice President, Regulatory, for Pacific Bell (PacBell), spoke with Cmmr. Neeper, via telephone. Blase stated Pac-West Telecomm, Inc. (Pac-West) has filed a complaint against PacBell because PacBell is not paying Pac-West for internet traffic. Blase stated that PacBell believes that Interstate traffic is clearly interstate in nature and not covered by PacBell's interconnection agreement with PacWest. Blase stated that the FCC has concurred with this position, but the States are split on the issue. Filer: Pacific Bell Contact: Alexander Kositsky Phone: (415) 542-2077 1/16/98 R95-04-043 Rulemaking on the Commission's own motion into competition for local exchange service, and I95-04-044 Investigation on the Commission's own motion into competition for local exchange service. Summary: LATE FILED. On January 12, 1998, Bill Blase, Vice President-Regulatory for Pacific Bell (PacBell),spoke with Cmmr. Neeper, by telephone. Blase stated that in the most recent comments on resale of voice mail, PacBell and PBIS explained that PBIS would sell voice mail to a CLEC customer purchasing resold Pacific Bell service. Blase stated that if a CLEC chose not to self provision voice mail, the CLEC could still win local customers who want voice mail; consequently, the Commission need not order resale of voice mail. Filer: Pacific Bell Contact: Dan O. Jacobsen Phone: (415) 542-0373 1/16/98 A97-11-012 Pacific Gas and Electric Company, for authority to increase the price of water delivered to the El Dorado Irrigation District from the El Dorado Project, effective in 1998 and 1999 Summary: On January 13, 1998, Sara Steck Myers, attorney for the El Dorado Irrigation District (EID), met with Cmmr. Bilas, in San Francisco. Also present were: Julie Halligan, advisor to Cmmr. Bilas; William Hetland, EID's Manager; and Noble Sprunger, counsel for EID. Myers stated tat EID was filing and serving that day an "Emergency Motion of the EID for Immediate Removal of the Prehearing Conference from the Commission's calendar and for other relief" in A9711012. Myers stated that this motion was necessitated by two separate actions taken on 1/9/98, one by the Superior Court of El Dorado County, in considering a stay of an ongoing complaint case involving the same issues as raised in A9711012, and the other by the Commission, in issuing an Assigned Commissioner's Ruling (ACR). Myers stated that it was EID's position that those actions and the facts related to them, as recited in the motion, required the Commission (1) to immediately remove the prehearing conference and oral argument scheduled for 1/15/98 form the Commission's calendar and indicate that the Commission had not taken any action yet to exercise jurisdiction over the issues raised in the application, (2) to allow for the filing of written replies to any responses to protests and motions to dismiss this application, and (3) to direct that no prehearing conference be scheduled in this application until the Commission had given full consideration to all protests and motions to dismiss A9711012, all responses to those motions and protests, and written reply made to those responses. Myers stated that EID believed that the Commission should take into consideration the impact of the issuance of the ACR setting in motion the process for A9712020/I9711026 on A9711012 and determine the best approach to coordinating overlapping issues between A9711012 and I9711026 before proceeding with any prehearing conference in A9711012. Filer: El Dorado Irrigation district Contact: Sara Steck Myers Phone: (415) 387-1904 1/16/98 A95-10-024 Pacific Gas and Electric Company, for authorization to implement a plan of reorganization which will result in a holding company structure. Summary: On January 13, 1998, Scott Logan, for the Office of Ratepayer Advocates (ORA), met with Cmmrs. Conlon, Knight, Bilas, Neeper, and Duque, at separate times, in San Francisco. Present at the first meeting were: Cmmr. Conlon; James Hendry, advisor to Cmmr. Conlon; Howard Lubow, Gary Harpster, and Robert Welchlin, for Overland Consulting (Overland); and Elena Schmid, Pam Thompson, Scott Logan, and Robert Cagen, for ORA. Present at the second meeting were: Cmmr. Bilas; Dorothy Duda, advisor to Cmmr. Knight; Julie Halligan, advisor to Cmmr. Bilas; Howard Lubow, Gary Harpster, and Robert Welchlin, for Overland Consulting (Overland); and Elena Schmid, Pam Thompson, Scott Logan, and Robert Cagen, for ORA. Present at the third meeting were: Cmmr. Neeper; Cmmr. Duque; David Gamson, advisor to Cmmr. Neeper; Michelle Cooke, advisor to Cmmr. Duque; Howard Lubow, Gary Harpster, and Robert Welchlin, for Overland Consulting (Overland); and Elena Schmid, Pam Thompson, Scott Logan, and Robert Cagen, for ORA. Materials (attached to notice), consisting of a summary of the 10/19/97 "Audit of Affiliate Transactions for the Pacific Gas and Electric Company (PG&E)" (Audit), were used. Lubow, at each meeting, discussed the audit, which was prepared by Overland. Lubow stated that Overland's conclusion that PG&E's accounting system was filled with errors, and that the errors and other circumstances led to significant subsidies of unregulated operations by regulated operations. Harpster stated how residual cost accounting causes a default of cost responsibility to PG&E ratepayers, rather than to the unregulated affiliate to which such costs should be charged. Harpster stated that cost responsibility and benefits of product development favor unregulated affiliates and disfavored ratepayers. Harpster stated as an example how the costs of three unprofitable products were charged to ratepayers, while the benefits of two successful products were transferred at cost to the affiliates, even though substantial profit was expected. Harpster discussed the growth of the unregulated operations and how this greatly increased the importance of proper accounting and structural separation. Harpster and Welchlin discussed the complexity of PG&E and affiliate accounts, that company accountants could not even understand the accounting, and the inadequate training and instruction for employees to charge their time properly. Welchlin stated that errors in allocation favor the unregulated affiliate, partly because of default cost responsibility to the utility, and that Overland's review would have located errors that benefit ratepayers. Welchlin described how the lack of organizational separation between regulated and unregulated operations harms ratepayers, and further described the nature of the inadequate accounting controls, and 10 of the most important accounting errors. Welchlin and Harpster described some of their recommendations, stating that affiliate rulemaking was a step in the right direction and that more structural separation and better accounting was necessary. Harpster described the subsidy problems inherent in marketing of static transfer switches and the potentially anticompetitive nature of that and other subsidies. Harpster also discussed the knowledge transfer from regulated employees who move to unregulated affiliates, and that ratepayers are uncompensated for the transfer. Filer: Office of Ratepayer Advocates Contact: Robert C. Cagen Phone: (415) 703-2164 1/20/98 A91-05-050 Southern California Edison Co, to revise its electric rates under (ECAC) Energy Cost Adjustment Clause; (MAABF) Major Additions Adjustment Billing Factor; (ERABF) Electric Revenue Adjustment Billing Factor; (LIS) Low Income Surcharge for rate increase of $214.4 million, effective 1992. Summary: On January 14, 1998, Alan Fohrer, Executive Vice President and Chief Financial Officer for Southern California Edison Company (Edison), met with Cmmr. Duque, in San Francisco. Also present were: Michelle Cooke, adv. to Cmmr.; Bruce Foster, Vice President of Regulatory Affairs for Edison; W. James Scilacci, Director of Edison's QF Business Unit; David Morse, Program Manager for the Office of Ratepayer Advocates; Michael Hoover, Manager of Regulatory Affairs for Edison; and Russell Swartz, Senior Counsel for Edison. Materials (attached to notice), consisting of summaries and graphs illustrating Edison's position, were used. Hoover stated that the Proposed Decision (PD) in this proceeding contains serious errors of law and fact and therefore should not be adopted by the Commission. He also explained that there are essentially three principal issues raised by the PD. Swartz addressed the PD's discussion of the "nameplate" dispute that was settled between Edison and the QF developer through the amended Mojave Cogeneration contract. Swartz noted that the issues raised in this reasonableness proceeding only require the Commission to determine if there was a legitimate dispute between the parties regarding the effect of the nameplate provision in the parties' original contract; the Commission need not in this case address the meaning of "nameplate" on a generic basis, but should instead defer judgment on that issue until it can assess the evidence that has and will be submitted on the generic issue in Edison's 1992 ECAC. Swartz summarized the Merced case and explained how that decision demonstrates objectively that Edison did not act imprudently in concluding that the developer of the Mojave Cogeneration project had raised a "colorable claim," and validates Edison's concern that litigating the dispute with Mojave Cogeneration could have established a bad precedent for Edison's other QF contracts. Swartz further addressed ORA's position in this case, which acknowledges that contract prices are payable for "excess" generation delivered by a QF facility which is not "overinstalled" but which treats nameplate as an absolute cap for any facility that is arguably "overinstalled." Fohrer addressed the unfairness that results if the utility is subjected to virtually unlimited disallowance risk under circumstances where the utility was required to enter into the contracts, was rebuffed in its efforts to incorporate protections into the contracts. Fohrer stated that the disallowance risk posed by this case and others pending before the Commission demonstrates that previous cost of capital determinations have not adequately accounted for the risks associated with QF contract administration. Filer: Southern California Edison Company Contact: Bobbie Cao Phone: (626) 302-2310