6. The Reasonableness of Requested Compensation

TURN request compensation in the amount of $17,701.28 as follows:

Attorney Fees
Robert Finkelstein	20.75 hours @ $ 280/ hour	= $5,810.00
	8.25 hours @ $ 140/ hour	= 1,155.00
Matthew Freedman	18.0 hours @ $ 190/ hour	= 3,420.00
Expert Witness Costs
William Marcus	32.18 hours @ $ 150/ hour	= 4,827.00
Jeff Nahigian	17.5 hours @ $ 95/ hour	= 1,662.50
	Subtotal:	$16,874.50
Other Reasonable Costs
Photocopying expense		= 596.25
Postage costs		97.55
Facsimile/Phone		1.78
Expert Witness expenses		131.20
	Subtotal:	826.78
	Total:	$17,701.28

6.1 Overall Benefits of Participation

In D.98-04-059, the Commission adopted a requirement that a customer must demonstrate that its participation was "productive," as that term is used in Section 1801.3, where the Legislature gave the Commission guidance on program administration. (See D.98-04-059, mimeo., at 31-33, and Finding of Fact 42). In that decision, we discuss the requirement that participation must be productive in the sense that the costs of participation should bear a reasonable relationship to the benefits realized through such participation. Customers are directed to demonstrate productivity by assigning a reasonable dollar value to the benefits of their participation to ratepayers. This exercise assists us in determining the reasonableness of the request and in avoiding unproductive participation.

Although Edison's application was dismissed, the possibility of dismissal was not apparent until the ALJ ruling of June 4, 2001, approximately six months after the application was filed. Prior to the ALJ ruling, TURN prepared for participation in the proceeding anticipating that its work would be productive. TURN states, however, that it is not possible to demonstrate productivity by assigning a dollar value to the benefits of participation as there was no Commission decision on the underlying merits of the application, or addressing any matter of dispute. Therefore, TURN submits that we should find that the productivity requirement does not apply in this instance.

We agree with TURN that dismissal of Edison's application resulted in no issues or benefits upon which to apply the productivity standard and therefore, in this instance, we will not apply the productivity requirement to TURN's compensation request. As we discussed relative to TURN's substantial contribution to resolution of issues, TURN reasonably expected to participate in revenue allocation and rate design issues, and to engage consultants and commit resources in its participation. Therefore, we provide an award in order to be consistent with the purpose of the intervenor compensation statues, to avoid discouraging potential intervenors, and in order not to create an inappropriate incentive for intervenors to prolong proceedings.

6.2 Hours Claimed

TURN documented its claimed hours through daily records of the time spent by attorneys and its expert witness consultants as provided in its March 11 compensation request. The records indicate both the hours and the activities associated with the hours in this shortened proceeding. We note that these hours were primarily for work prior to the ALJ's June 4 ruling leading to dismissal of the application. Thus, the expenditure of hours is consistent with TURN's expected participation in the proceeding.

We have reviewed the hours and activity records submitted by TURN and conclude that the records reasonably support the claimed hours.

6.3 Hourly Rates

TURN requests hourly rate for its attorneys of $280 per hour for Finkelstein, and $190 per hour for Freedman for work done in 2000. In our most recent decision on intervenor compensation for TURN, D.02-06-070, we awarded Finkelstein $280 per hour and Freedman $180 per hour for work in 2000. We will adopt these rates for this compensation award.

TURN states that the hourly rate of $150 per hour for Mr. Marcus, a JBS expert witness, was approved by the Commission in D.00-05-006. Similarly, the hourly rate of $95 per hour for Mr. Nahigian, a JBS consultant, was approved in D.00-05-017. We find TURN's requested hourly rates for its consultants to be reasonable and consistent with our past treatment of expert witness fees for comparable work.

6.4 Other Costs

TURN requests $826.78 for other costs including photocopying and postage, and the travel expenses for its JBS consultants. These costs have been itemized by date, amount and activity. Based on the scope of TURN's work, the documents needed, the activities of its consultants and the size of the service list (73), these costs appear reasonable.