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STATE OF CALIFORNIA ARNOLD SCHWARZENEGGER, Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

December 22, 2009 File No.: 602-19

TO: All Interested Parties

Enclosed is draft Resolution W-4823 of the Division of Water and Audits. It will be on the Commission's January 21, 2010 agenda. The Commission may then act on this Resolution or it may postpone action until later.

When the Commission acts on the draft resolution, it may adopt all or part of it as written, amend or modify it, or set it aside and prepare a different resolution. Only when the Commission acts does the resolution become binding on the parties.

Parties to this matter may file comments on this draft resolution. An original and 2 copies of the comments, with a certificate of service, should be submitted to:

              Division of Water and Audits, Third Floor

          Attention: Moises Chavez

              California Public Utilities Commission

              505 Van Ness Avenue

              San Francisco, CA 94102

Parties may submit comments on or before January 11, 2010. The date of submission is the date the comments are received by the Division of Water and Audits. Parties must serve a copy of their comments on the utility on the same date that the comments are submitted to the Division of Water and Audits.

Comments shall be limited to five pages in length plus a subject index listing the recommended changes to the draft resolution, a table of authorities and appendix setting forth the proposed findings and ordering paragraphs.

Comments shall focus on factual, legal or technical errors in the draft resolution, and shall make specific reference to the record or applicable law. Comments which fail to do so will be accorded no weight and are not to be submitted.

Persons interested in comments of parties may write to Moises Chavez or telephone him at (415) 703-2805.

/s/ RAMI KAHLON

Rami Kahlon, Director

Division of Water and Audits

Enclosures: Draft Resolution W-4823

Certificate of Service

                Service List

DRAFT

WATER/RSK/PTL/MCV/jlj AGENDA ITEM #9113

PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

DIVISION OF WATER AND AUDITS RESOLUTION NO. W-4823

Water and Sewer Advisory Branch January 21, 2010

RESOLUTION

(RES. W-4823), ORDER AUTHORIZING REVISIONS TO GENERAL ORDER 103-A SECTION II.3.C.5, MINIMUM STANDARDS FOR REPAIRS, AND SECTION IV.1.A METHOD OF MEASURING SERVICE.

SUMMARY

This resolution revises the disinfection requirement for water mains established in the Minimum Standards for Repairs, Section II.3.C.5 of General Order (GO) 103-A, "The Rules Governing Water Service, Including Minimum Standards for Operation, Maintenance, Design and Construction," and changes the reference from Public Utilities Code Section 781 to Public Utilities Code Section 781.5 to reflect the changes contained in Assembly Bill (AB) 975, signed into law on October 11, 2009, that modified this code section.

BACKGROUND

GO 103-A was adopted by the Commission on September 10, 2009, which revised and updated GO 103. The California Department of Public Health (DPH) raised an implementation issue related to the disinfection requirement established in GO 103-A, Section II.3.C.5, Minimum Standards for Repairs. This section requires water utilities to disinfect water mains and to obtain either DPH's or the County Health Department's (County Health) permission prior to placing the water mains back into service. DPH indicates that requiring water utilities to obtain their permission before bringing the water mains back into service is not feasible to implement because of the large numbers of water mains that utilities repair at any given time, and that they do not have the staff resources to implement this new requirement.

Assembly Bill (AB) 975, signed into law on October 11, 2009, added Public Utilities Code Section (PU Code) 781.5, and repealed and added PU Code 781. The original PU Code 781 prohibited the Commission from requiring water utilities or customers of those utilities to install a water meter, except after a public hearing and all of the

following findings are made: (1) metering is be cost-effective within the service area of the utility, (2) metering results in a significant reduction in water consumption within the water utility's service area, and (3) the costs of metering do not imposed an unreasonable financial burden on customers within the utility's service area, unless the Commission finds metering necessary to assure continuation of an adequate water supply within the service territory.

The new PU Code 781.5 replaced Section 781. The new PU Code 781.5 now allows the Commission to require water utilities with less than 500 service connections, or residential, commercial, industrial, or institutional customer to install a water meter, if after a public hearing is held the Commission finds that any of the three requirements under the original PU Code 781, listed above, are met.

DISCUSSION

GO 103-A Disinfection of Water Main(s) Requirement Revision

The Division of Water and Audits' (DWA) staff reviewed the implementation issue raised by the DPH for the recently adopted disinfection requirements in the Minimum Standards of Repairs Section II.3.C.5 of GO 103-A and recommends making this requirement consistent with DPH's water main disinfection requirements set-forth in its Waterworks Standards1, California Code of Regulations, Title 22, Section 64580.

The new disinfection requirement under Section II.3.C.5 of GO 103-A requires water utilities to obtain DPH's or the County Health's permission before returning the line to service. DWA reviewed DPH's disinfection requirements, Waterworks Standards, California Code of Regulations, Title 22, Section 64580 and DPH requires that water mains that are taken out of service for maintenance or repairs be disinfected and sample for bacteriological quality in accordance with the American Water Works Association (AWWA.) The new GO 103-A disinfection requirement goes beyond what DPH currently requires, and DWA does not find a reason for having a more stringent requirement, especially if it is not feasible to implement. DWA therefore recommends modifying the GO 103-A disinfection requirement in Section II.3.C.5 as follows:

DWA believes that the recommended revised language meets the intent of the original language which is to require water utilities to disinfect mains prior to placing them back into service and therefore recommends the adoption of this revised language.

GO 103-A Revision to Reflect the Metering Requirement Established by Assembly Bill 975

Assembly Bill (AB) 975 was approved on October 11, 2009. AB 975 added Public Utilities Code Section 781.5, and repealed and added Section 781. The revisions are discussed in the background section of this Resolution.

GO 103-A Section IV.1.A, currently reads:

Based on the new Section 781.5 which replaced Section 781, DWA recommends the following language modification:

This revised language updates the Section reference and also eliminates the January 1, 1979 reference which has been deleted in the new Section 781.5.

Attachment A shows specifically shows the revision and how the new subsections would be incorporated into Section IV.1.A of GO 103-A.

COMMENTS

Public Utilities Code Section 311(g) (1) provides that resolutions generally must be served on all parties and subject to at least 30 days public review and comment prior to a vote of the Commission.

FINDINGS

1. GO 103-A was adopted by the Commission on September 10, 2009, which revised and updated GO 103.

2. Section II.3.C.5, requires water utilities (utilities) to disinfect water mains and to obtain DPH's or County Health's permission prior to placing the main(s) back into service.

3. DPH has indicated that requiring water utilities to obtain their permission before bringing the water main(s) back into service is unfeasible to implement because of the large numbers of water mains that utilities repair at any given time, and the lack of staff or resources to implement this new requirement.

4. DWA recommends making this requirement consistent with DPH's water main disinfection requirements set-forth in its Waterworks Standards, California Code of Regulations, Title 22, Section 64580.

5. Assembly Bill (AB) 975 was approved on October 11, 2009, which added Public Utilities Code Section (Section) 781.5, and repealed and added Section 781.

6. Section 781.5 allows the Commission to require water utilities with less than 500 service connections, or residential, commercial, industrial, or institutional customer to install a water meter, if after a public hearing is held the Commission finds that any of the three requirements under the original Section 781 are met.

7. DWA recommends incorporating the new metering requirements approved by AB 925 into Section IV.1.A of GO 103-A.

THEREFORE IT IS ORDERED THAT:

1. The disinfection requirement of main(s) established in the Minimum Standards of Repairs Section II.3.C.5 of General Order (GO) 103-A is revised as follows:

2. Section IV.1.A is revised as follows:

3. This resolution is effective today.

I certify that the foregoing resolution was duly introduced, passed, and adopted at a conference of the Public Utilities Commission of the State of California held on January 21, 2010; the following Commissioners voting favorably thereon:

Attachment A

Changes to General Order No 103-A

II. Standards of Service

IV. Measurement of Service

Attachment A

Changes to General Order No 103-A

II. Standards of Service

IV. Measurement of Service

CERTIFICATE OF SERVICE

I certify that I have by mail this day served a true copy of draft Resolution W-4823 on all parties in these filings or their attorneys as shown on the attached list.

Dated December 22, 2009, at San Francisco, California.

       
         
         

 

SERVICE LIST

DRAFT RESOLUTION W-4823

    

    Edward Jackson

    Park Water Company

    P. O. Box 7002

    DOWNEY CA 90241-7002

  

    Leigh K. Jordan

    Apple Valley Ranchos Wtr. Co.

    P. O. Box 7002

    DOWNEY CA 90241

  

    Lawrence Morales

    East Pasadena Water Co.

    3725 East Mountain View Ave.

    PASADENA CA 91107

    Robert J. DiPrimio

    Valencia Water Co.

    24631 Avenue Rockefeller

    VALENCIA CA 91335

  

    Robert L. Kelly

    Suburban Water Systems

    1211 E. Center Court Drive

    COVINA CA 91724-3603

  

    Daniel A. Dell'Osa

    San Gabriel Valley Water Co.

    P.O. Box 6010

    EL MONTE CA 91734

    Michael Whitehead

    San Gabriel Valley Water Co.

    P. O. Box 6010

    EL MONTE CA 91734

  

    Timothy J. Ryan, Gen. Counsel

    San Gabriel Valley Water Co.

    P. O. Box 6010

    EL MONTE CA 91734

  

    Keith Switzer

    Golden State Water Company

    630 East Foothill Blvd.

    SAN DIMAS CA 91773-9016

    Robert Thomas Adcock

    Alco Water Service

    249 Williams Road

    SALINAS CA 93905

  

    Martin A. Mattes

    California Water Association

    50 California Street

    SAN FRANCISCO CA 94111

  

    Francis S. Ferraro

    California Water Service Co.

    1720 N. First Street

    SAN JOSE CA 95112-4598

    John Roeder

    Great Oaks Water Company

    P. O. Box 23490

    SAN JOSE CA 95153-3490

  

    Palle Jensen

    San Jose Water Company

    374 W. Santa Clara Street

    SAN JOSE CA 95196-0001

  

    Robert C. Cook, Sr.

    Fruitridge Vista Water Company

    1108 Second Street, Suite 204

    SACRAMENTO CA 95814

    David P. Stephenson

    California-American Water Co.

    4701 Beloit Drive

    SACRAMENTO CA 95838

  

    Robert S. Fortino

    Del Oro Water Company, Inc.

    Drawer 5172

    CHICO CA 95927

  

    John Garon

    Golden State Water Company

    630 East Foothill Blvd.

    SAN DIMAS CA 91773-9016

    Gladys Rosendo

    Golden State Water Company

    630 East Foothill Blvd.

    SAN DIMAS CA 91773-9016

  

    John K. Hawks

    California Water Association

    Mail Code E3-608

    601 Van Ness Ave., 2047

    SAN FRANCISCO CA 94102

  

    E. Garth Black

    Cooper, White, & Cooper, LLP

    201 California Street, 17th Street

    SAN FRANCISCO CA 94111

    Sarah Leeper

    Attorney at Law

    Manatt, Phelps & Phillips, LLP

    One Embarcadero Ctr., 30th Floor

    SAN FRANCISCO A 94111

  

    Jose E. Guzman, Jr.

    California Water Association

    50 California Street

    SAN FRANCISCO CA 94111

  

    Joseph M. Karp

    Winston & Strawn, LLP

    101 California St., 39th Floor

    SAN FRANCISCO CA 94111

    Thomas Smegal

    California Water Service Company

    1720 North First

    SAN JOSE CA 95112

  

    Edward Howard

    CPUC - Policy & Planning Div.

    505 Van Ness Avenue, Rm. 5119

    SAN FRANCISCO CA 94102

  

    Jacqueline A. Reed

    CPUC - ALJ

    505 Van Ness Avenue, Rm. 5017

    SAN FRANCISCO CA 94102

    Jason J. Zeller

    CPUC-Legal Division, Rm. 5105

    505 Van Ness Avenue

    SAN FRANCISCO CA 94102

  

    Joe Como

    CPUC - DRA- Admin. Branch

    505 Van Ness Avenue, Rm. 4101

    SAN FRANCISCO CA 94102

  

    Ravi Kumra

    CPUC - DWA

    505 Van Ness Avenue

    SAN FRANCISCO CA 94102

    Ting-Pong Yuen

    CPUC - ORA 3-D

    505 Van Ness Avenue

    SAN FRANCISCO CA 94102

  

    Yoke W. Chan

    CPUC - ORA 3-D

    505 Van Ness Avenue

    SAN FRANCISCO CA 94102

    

1 Regulations adopted by DPH that take cognizance of the latest available "Standards of Minimum Requirements for Safe Practice in the Production and Delivery of Water for Domestic Use" adopted by the California section of the American Water Works Association (Section 116275 of the Health and Safety Code.) The Waterworks Standards may be found in Title 22, Division 4, Chapter 16, of the California Code of Regulations.

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