STATE OF CALIFORNIA ARNOLD SCHWARZENEGGER, Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

August 3, 2010 Draft Resolution W-4840 Agenda ID #9663

TO: All Interested Parties

Enclosed is draft Resolution W-4840 of the Division of Water and Audits. It will be on the Commission's September 2, 2010 agenda. The Commission may act then act on this resolution or it may postpone action until later.

When the Commission acts on a draft resolution, it may adopt all or part of it as written, amend, modify 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 submit comments on this draft resolution. An original and two 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 August 23, 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 the 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, telephone him at (415) 703-2805, or email him at mcv@cpuc.ca.gov.

/s/RAMI S. KAHLON

Rami S. Kahlon, Director

Division of Water and Audits

Enclosures: Draft Resolution W-4840

Certificate of Service

Service List

WATER/RSK/JB5/MCV/jlj DRAFT AGENDA ITEM #9663

PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

DIVISION OF WATER AND AUDITS RESOLUTION NO. W-4840

Water and Sewer Advisory Branch September 2, 2010

RESOLUTION

(RES. W-4840), GOLDEN STATE WATER COMPANY (GSWC), REGION I. ORDER AUTHORIZING SURCHARGES TO RECOVER $1,381,640 FOR GSWC'S REGION I SERVICE AREA FOR LOST REVENUES FROM REDUCED WATER CONSUMPTION BY CUSTOMERS.

______________

SUMMARY

This resolution grants Golden State Water Company (GSWC) the authority to recover in rates $1,381,640 for Region I service area by adding the surcharges listed below to each customer's bill in the respective district. The increases requested are to recover lost revenues tracked in GSWC's Water Conservation Memorandum Accounts (WCMAs) for each district resulting from reduced water consumption by customers during the period of August 14, 2008, through August 31, 2009.

By Advice Letter (AL) 1352-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.0452 per hundred cubic feet (Ccf) to be added to each customer's bill in Arden Cordova District for Schedule AC-1, General Metered Service.

By AL 1353-W, filed on October 16, 2009, GSWC requests a surcharge for 24 months of $0.1472 per Ccf to be added to each customer's bill in Bay Point District for Schedules BY-1-R, Residential General Metered Service, and BY-1-NR, Non-Residential Metered Service.

By AL 1354-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.2884 per Ccf to be added to each customer's bill in Clearlake District for Schedule CL-1, General Metered Service.

By AL 1355-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.2080 per Ccf to be added to each customer's bill in Los Osos District for Schedules LO-1-R, Residential Metered Service, and LO-1-NR, Non-Residential Metered Service.

By AL 1356-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.1898 per Ccf to be added to each customer's bill in Ojai District for Schedules OJ-1, General Metered Service, and OJ-7ML, Public Park Metered Service.

By AL 1357-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.0466 per Ccf to be added to each customer's bill in Santa Maria District for Schedules SM-1-R, Residential Metered Service, SM-1-NR, Non-Residential Metered Service, and SM-3ML, Limited Metered Irrigation Service.

By AL 1358-W, filed on October 16, 2009, GSWC requests a surcharge for 12 months of $0.0647 per Ccf to be added to each customer's bill in Simi Valley District for Schedules SI-1-R, Residential Metered Service, and SI-1-NR, Non-Residential Metered Service.

BACKGROUND

GSWC, a California corporation, is a Class A utility and a subsidiary of American States Water Company. As one of California's largest Commission-regulated water utilities, it serves approximately 250,000 customers in three regions which are comprised of nine rate-making areas. GSWC's Region I service territory includes roughly 55,600 customers in seven districts which include Arden Cordova, Bay Point, Clearlake, Los Osos, Ojai, Santa Maria, and Simi Valley.

On July 18, 2008, GSWC filed AL 1284-W for its Region I districts requesting Commission authority to establish a Water Conservation Memorandum Account (WCMA) for each district to track extraordinary expenses and revenue shortfalls associated with GSWC's water conservation measures that it implemented as a result of the Governor's June 4, 2008 executive order declaring drought conditions in the State of California.¹ GSWC requested authority to record in the WCMA revenue shortfalls, incremental public relations expenses, incremental water conservation material expenses, and other operations and maintenance and administrative and general expenses associated with the implementation of the conservation practices outlined in the Governor's Executive Order. GSWC planned to seek recovery of amounts recorded in the WCMA in its next general rate case, or other regulatory proceeding as directed by the Commission. GSWC's AL 1284-W became effective on August 18, 2008, 30 days after filing, pursuant to Section 7.3.4(1) of General Order 96-B.

On October 16, 2009, GSWC filed ALs 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W to seek recovery of $1,381,640 in total lost revenues for its seven districts in Region I through a surcharge that would be applied over 12 months, except for the Bay Point District where the surcharge would be in place for 24 months in accordance with D.03-06-072, Appendix A, at 3. Table 1 below provides a list of the lost revenues requested by GSWC and corresponding surcharges. GSWC is not seeking to recover administrative, implementation, and other program-related expenses as indicated in its July 18, 2008 WCMA request because GSWC was still incurring expenses at the time its revenue shortfall request ALs were filed. GSWC will request cost recovery of these expenses via a separate AL filing.² GSWC's however is requesting cost recovery of expenses associated with noticing customers regarding its request to implement a surcharge to recover the revenue shortfalls in these ALs. The total costs for customer notices amounted to $27,882 ($7,034 for Arden Cordova, $2,468 for Bay Point, $1,379 for Clearlake, $1,875 for Los Osos, $ 1,461 for Ojai, $5,607 for Santa Maria, $5,762 for Simi Valley, and $2,297 for mailing costs.) GSWC's proposed surcharges are intended to recover the lost revenues for the period of August 14, 2008, through August 31, 2009. Table 1 below provides a breakdown of GSWC's estimated revenue shortfalls and the proposed surcharge for each district.

Table 1

GSWC's present rates for all Region I districts became effective on January 1, 2010, which were authorized by D.08-01-043, Order Paragraph 3 for escalation year 2010.

On September 1, 2009, the Commission approved a conservation rate design and revenue decoupling mechanism, the Water Revenue Adjustment Mechanism (WRAM) and Modified Cost Balancing Account (MCBA), for all of GSWC's Region I service areas except for its Clearlake District.³ For all Region I districts except for Clearlake, GSWC's WRAMs will be used to track any lost revenues associated with its conservation rates and programs from September 1, 2009, and on.

NOTICE AND PROTESTS

GSWC gave public notices of its rate increase requests for its Region I districts in accordance with GO 96-B, Industry Rule 3.1. The publications and bill inserts indicated the proposed increases to the applicable rate schedules. Thirty-four letters in opposition were received with most of them stating that GSWC's request is unreasonable and unjust during these tough economic times. Several letters also voiced opposition to a rate increase being implemented simultaneously with GSWC's general rate case in Application 10-01-009. Several customers also did not understand why they are being asked to pay more for conserving water.

GSWC served copies of ALs 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W filings in accordance with GO 96-B, Industry Rule 4.1 and the relevant General Rules.

DISCUSSION

GSWC seeks to recover the balances in the WCMAs for its Region I districts in the amount of $1,381,640 for reduced water consumption by customers resulting from GSWC's implementation of voluntary water measures described in Attachment A, during the period of August 14, 2008, through August 31, 2009.

The Commission in D.90-08-055 and D.91-10-042 established the method for computing revenue losses resulting from mandatory and voluntary conservation programs.⁴ D.91-10-042, Ordering Paragraph 3, authorized the recovery of

revenue losses resulting from implementation of mandatory or voluntary water conservation programs contingent upon the following:

1. approval of the utility's water management program;

2. reduction of the memorandum account balance pursuant to the risk reduction adjustment set-forth in D.91-10-042; and

3. offset of the memorandum account balance, where applicable, by water rationing fines collected in a utility's suspense account.

GSWC's (formerly Southern California Water Company) water management programs for Region I districts were approved by D.91-10-042. Since then GSWC, per Senate Bill 318,⁵ is required to prepare an Urban Water Management Plan (UWMP) every five years and to submit this plan to the California Department of Water Resources. Class A and B water utilities also submit their UWMPs to the Commission as part of their General Rate Cases (GRCs.) GSWC submitted to the Commission its 2005 UWMP for the Region I districts as part of its 2007 GRC, and is currently preparing an updated plan for 2010. DWA reviewed GSWC's UWMPs for the Region I districts and determined that it meets the water management plant requirements established by D.90-08-055 which include having: 1) clear and specific goals for reducing water usage, 2) multiple approaches for conserving water, 3) long-term solutions for reducing water consumption (including incentive-based programs), 4) a cost-effectiveness analysis for the programs, and 5) a method for measuring the effectiveness of the programs.⁶

GSWC calculated the revenue shortfall associated with the water conservation measures outlined in Attachment A of this Resolution in accordance with the methodology authorized in D.90-08-055 and D.91-10-042.⁷ DWA reviewed GSWC's calculations and confirmed that it followed the methodology adopted in D.90-08-055 and D.91-10-042.

The third contingency established by Ordering Paragraph 3 in D.91-10-042, listed above, does not apply in this case, given that the water conservation measures instituted by GSWC were voluntary and did not carry any penalties.

DWA therefore finds that GSWC met the requirements set-forth in D.90-08-055 and D.91-10-042. DWA also finds reasonable for the Commission to authorize the recovery of the revenues shortfalls requested by GSWC in ALs 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W for the following reasons: 1) GSWC acted in good faith when it opted to implement the voluntary water conservation measures in response to the Governor's June 4, 2008 Executive Order that declared drought conditions in the State of California, which resulted in the unanticipated lower water sales than those projected in GSWC's General Rate Case; and 2) GSWC is not seeking to recover revenues beyond those authorized in D.08-01-043. For these reasons DWA recommends approval of GSWC's revenue recovery request in ALs 1352-W through 1358-W.

DWA also recommends closing the WCMAs for GSWC's Region I districts, given that the Commission has authorized WRAMs for all districts, except for Clearlake, and that this is the mechanism that will be used to track the difference between total quantity rate revenues authorized by the Commission and the total quantity rate revenues actually recovered via quantity charge, including reduction in water sales that may result from water conservation, from September 1, 2009, and on. DWA also recommends closing the WCMA for GSWC's Clearlake District as this area serves very few customers with a low consumption on average. Given the absence of tiered rates, revenue losses from conservation efforts in this district will be negligible.

For a residential customer in Arden Cordova District on Schedule AC-1 with a 5/8 x ¾-inch meter using 17 Ccfs in a month, the increase would be $0.77 or 4.2% increase from $18.20 to $18.97 per month.

For a residential customer in Bay Point District on Schedule BY-1-R with a 5/8 x ¾-inch meter using 16 Ccfs in a month, the increase would be $2.35 or 2.8% increase from $83.01 to $85.36 per month. For a commercial customer on Schedule BY-1-NR with a 1-inch meter using 16 Ccfs in a month, the increase would be $2.36 or 2.0% increase from $118.67 to $121.03 per month.

For a residential customer in Clearlake District on Schedule CL-1 with a 5/8 x ¾-inch meter using 7 Ccfs in a month, the increase would be $2.01 or 2.9% increase from $69.21 to $71.22 per month.

For a residential customer in Los Osos District on Schedule LO-1-R with a 5/8 x ¾-inch meter using 15 Ccfs in a month, the increase would be $3.12 or 4.4% increase from $70.97 to $74.09 per month. For a commercial customer on Schedule LO-1-NR with a 1-inch meter using 15 Ccfs in a month, the increase would be $3.12 or 2.9% increase from $107.50 to $110.62 per month.

For a residential customer in Ojai District on Schedule OJ-1 with a 5/8 x ¾-inch meter using 25 Ccfs in a month, the increase would be $4.74 or 4.9% increase from $96.65 to $101.39 per month. For a public park metered service customer on Schedule OJ-7ML with a 5/8 x ¾-inch meter using 65 Ccfs in a month, the increase would be $12.33 or 7.9% increase from $156.41 to $168.74 per month.

For a residential customer in Santa Maria District on Schedule SM-1-R with a 5/8 x ¾-inch meter using 26 Ccfs in a month, the increase would be $1.21 or 2.3% increase from $53.27 to $54.48 per month. For a commercial customer on Schedule SM-1-NR with a 1-inch meter using 26 Ccfs in a month, the increase would be $1.21 or 1.6% increase from $76.90 to $78.11 per month. For an irrigation customer on Schedule SM-3ML with a ¾-inch meter using 128 Ccfs in a month, the increase would be $5.96 or 3.9% increase from $153.31 to $159.27 per month.

For a residential customer in Simi Valley District on Schedule SI-1-R with a 5/8 x ¾-inch meter using 21 Ccfs in a month, the increase would be $1.36 or 2.3% increase from $60.02 to $61.38 per month. For a commercial customer on Schedule SI-1-NR with a 1-inch meter using 21 Ccfs in a month, the increase would be $1.36 or 1.8% increase from $76.63 to $77.99 per month.

DWA recommends that GSWC seek recovery of the costs associated with providing customer notices at the time it seeks recovery of its administrative, implementation, and other program-related expenses associated with its water conservation measures specified in Attachment A.

COMMENTS

Public Utilities Code Section 311(g) (1) provides that this resolution 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 AND CONCLUSIONS

1. On October 16, 2009, Golden State Water Company filed Advice Letters 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W for its Region I Districts. GSWC, in these Advice Letters, requests authority to implement a surcharge in each district to recover lost revenues tracked in its Water Conservation Memorandum Accounts (WCMAs) from reduced water consumption by customers during the period of August 14, 2008 through August 31, 2009, resulting from implementation of GSWC's implementation of voluntary water measures described in Attachment A.

2. Division of Water and Audits received thirty-four protests from customers to Golden State Water Company's advice letter filings.

3. The Commission Decisions 90-08-055 and 91-10-042 established the method for computing revenue losses resulting from mandatory and voluntary conservation programs.

4. Commission Decision 91-10-042, Ordering Paragraph 3, authorized recovery of revenue losses resulting from implementation of these types of water conservation measures contingent upon the following:

a. approval of the utility's water management program;

b. reduction of the memorandum account balance pursuant to the risk reduction adjustment set-forth in D.91-10-042; and

c. offset of the memorandum account balance, where applicable, by water rationing fines collected in a utility's suspense account.

5. Division of Water and Audits finds that Golden State Water Company's 2005 Urban Water Management Plan meets the water management program requirement established by Decision 91-10-042, Ordering Paragraph 3.

6. Division of Water and Audits reviewed Golden State Water Company's revenue losses calculations and finds that they are in compliance with methodology adopted in Decisions 90-08-055 and 91-10-042, including the requirements established by Ordering Paragraph 3 in Decision 91-10-042.

7. The third requirement established by Ordering Paragraph 3 in Decision 91-10-042 does not apply in this case, given that the water conservation measures instituted by Golden State Water Company were voluntary and did not carry any penalties.

8. The Golden State Water Company finds reasonable for the Commission to authorize the recovery of the revenues shortfalls requested by Golden State Water Company in Advice Letters 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W for the following reasons: 1) Golden State Water Company acted in good faith when it opted to implement the voluntary water conservation measures in response to the Governor's June 4, 2008 executive order that declared drought conditions in the State of California, which resulted in the unanticipated lower water sales than those projected in Golden State Water Company's General Rate Case; and 2) Golden State Water Company is not seeking to recover revenues beyond those authorized in D.08-01-043.

9. The Division of Water and Audits recommends approval of Golden State Water Company's Advice Letters 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W.

10. The surcharges herein would allow Golden State Water Company to recover in rates the $1,381,640 in lost revenues from its for Region I Districts.

11. It is proper for Golden State Water Company to assess a 12-month surcharge for its Arden Cordova, Clearlake, Los Osos, Ojai, Santa Maria, and Simi Valley Districts, and a 24-month surcharge for its Bay Point District.

12. The following tariff schedules attached to Advice Letters 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W should be approved: For 1352-W, Arden Cordova District, Schedule AC-1, Residential Metered Service; for Advice Letter 1353-W, Bay Point District: 1) Schedule BY-1-R, Residential Metered Service, and 2) Schedule BY-1-NR, Non-Residential Metered Service; for Advice Letter 1354-W, Clearlake District, Schedule AC-1, Residential Metered Service; for Advice Letter 1355-W, Los Osos District: 1) Schedule LO-1-R Residential Metered Service, and 2) Schedule LO-1-NR, Non-Residential Metered Service Region; for Advice Letter 1356-W, Ojai District: 1) Schedules OJ-1-R, Residential Metered Service, and 2) OJ-7ML, Public Park Metered Service; for Advice Letter 1357-W, Santa Maria District: 1) Schedules SM-1-R Residential Metered Service, 2) SM-1-NR, Non-Residential Metered Service, and 3) SM-3ML, Limited Irrigation Metered Service; and for Advice Letter 1358-W, Simi Valley District: 1) Schedules SI-1-R, Residential Metered Service, and 2) SI-1-NR, Non-Residential Metered Service.

13. Division of Water and Audits recommends closing the WCMAs for GSWC's Region I districts, given that the Commission has authorized WRAMs for all districts, except for Clearlake, and that this is the mechanism that will be used to track the difference between total quantity rate revenues authorized by the Commission and the total quantity rate revenues actually recovered via quantity charge, including reduction in water sales that may result from water conservation, from September 1, 2009 on.

14. Division of Water and Audits recommends closing the WCMA for GSWC's Clearlake District as this area serves few customers with a low consumption on average, and in the absence of tiered rates, revenue losses from conservation efforts in this district will be negligible.

15. Division of Water and Audits recommends that GSWC seek recovery of the costs associated with providing customer notices at the time it seeks recovery of its

administrative, implementation, and other program-related expenses associated with its water conservation measures specified in Attachment A.

THEREFORE IT IS ORDERED THAT:

1. Golden State Water Company is authorized upon approval of this resolution to make effective the following:

a. For Advice Letter 1352-W, Arden Cordova District, Schedule AC-1, Residential Metered Service;

b. For Advice Letter 1353-W, Bay Point District: 1) Schedules BY-1-R, Residential Metered Service, and 2) BY-1-NR Non-Residential Metered Service;

c. For Advice Letter 1354-W, Clearlake District, Schedule AC-1, Residential Metered Service;

d. For Advice Letter 1355-W, Los Osos District: 1) Schedules LO-1-R Residential Metered Service, and 2) LO-1-NR Non-Residential Metered Service Region;

e. for Advice Letter 1356-W, Ojai District: 1) Schedules OJ-1-R, Residential Metered Service, and 2) OJ-7ML, Public Park Metered Service;

f. For Advice Letter 1357-W, Santa Maria District: 1) Schedules SM-1-R Residential Metered Service, 2) SM-1-NR, Non-Residential Metered Service, and 3) SM-3ML, Limited Irrigation Metered Service;

g. For Advice Letter 1358-W, Simi Valley District 1)Schedules SI-1-R, Residential Metered Service, and 2) SI-1-NR, Non-Residential Metered Service.

2. Golden State Water Company is authorized to cancel the corresponding tariffs for the presently effective rate schedule listed in Ordering Paragraph 1 above.

3. Golden State Water Company's request to recover costs associated with providing customer notice is denied at this time. Golden State Water Company can seek recovery of the costs associated with providing customer notices at the time it seeks recovery of its administrative, implementation, and other program-related expenses associated with its water conservation measures specified in Attachment A.

4. The Water Conservation Memorandum Accounts for Golden State Water Company Region I districts are closed, effective September 1, 2009.

5. Golden State Water Company shall submit, within five days of the effective date of this resolution, supplemental tariff sheets in Advice Letters 1352-W, 1353-W, 1354-W, 1355-W, 1356-W, 1357-W, and 1358-W, reflecting, on the most recent Commission approved tariffs, the changes authorized by this resolution.

6. 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 September 2, 2010; the following Commissioners voting favorably thereon:

PAUL CLANON

Executive Director

ATTACHMENT A

Golden State Water Company's "Voluntary" Conservation Programs

Companywide customer communications

July 2008

The launching of www.gswater.com includes a section on water conservation. A bill insert advertising the Web site as an important information source for conserving is sent to every customer in the summer of 2008.

Oct. 21, 2008

Letter to all Community Leaders calling for a 20 percent reduction in water usage, in alignment with Governor Schwarzenegger's goal

Oct. 24, 2008

Letter to every customer from CEO Floyd Wicks asking customers to reduce by 20 percent to align with Governor Schwarzenegger's goal  

Oct. 27, 2008

News release announcing call for 20 percent voluntary reduction

January-March 2009

The Pipeline customer newsletter Volume 1 insert in every bill includes call for everyone to reduce and five great tips to conserve

March 2009

"Save Water Save Money www.gswater.com" printed on back of all billing envelopes

June - July 2009

The Pipeline customer newsletter Volume 2 insert in every bill provides a water shortage update which warns of possible water rationing plans and need to conserve statewide

September 2009

The Pipeline customer newsletter Volume 3 insert in every bill provides a water shortage update an encourages conservation statewide

ATTACHMENT A

Golden State Water Company's "Voluntary" Conservation Programs

Region I water rationing plan communications (Bay Point and Simi Valley)

March 3, 2009

Bay Point Municipal Advisory Council announcement about upcoming water rationing plan meeting (see page 3 of attached March 3 MAC meeting minutes).

March 17, 2009

News release announcing Bay Point public participation hearing for March 31 for water shortage

April 30, 2009

News release announcing more details about Bay Point water shortage plan

Letter to every Bay Point customer announcing water shortage plan and May 26, 2009 informational meeting about plan

May 2009

Bill stuffer containing water rationing plan details for every Bay Point customer

Web site information published about Bay Point plan, including FAQs. Information also provided in Spanish.

Bill statement message about plan and potential for premium charges.

March 24, 2009

Article in Contra Costa Times and Oakland Tribune about Bay Point water rationing plan.

May 26, 2009

Bay Point customer meeting and presentation about water rationing including distribution of water-saving devices. Translator provided.

June 2009

Web site information published about Simi Valley water shortage plan, including FAQs

June 1, 2009

News release about Simi Valley water shortage plan and June 4 public meeting

Statement read to Simi Valley city council about water rationing plan and public meeting June 4

ATTACHMENT A

Golden State Water Company's "Voluntary" Conservation Programs

June 3, 2009

Ad in Simi Valley newspaper inviting customers to June 4 public meeting to discuss water rationing plan (in addition to Regulatory Affairs customer noticing)

June 4, 2009

Simi Valley customer presentation at meeting about water rationing including distribution of water-saving devices.

July 9, 2009

Letter to every Simi Valley customer explaining their individual water allocation, premium charges for exceeding, and water use restrictions.

July 28, 2009

Simi Valley Superintendent Skip Faria presentation to Rotary about water shortage.

Region I community events and activities promoting water conservation (staff present at events with conservation materials)

Jan 08'

Water Health 2 Outreach event in Los Osos (1/19/08)

May 08'

GET WET event in Folsom (conservation event)

June 08'

Flyer for Bay Point - outdoor water conservation tips in English and Spanish

July 08'

Water Awareness Event in Rancho Cordova (4^th of July)

August 08'

Flyer created and used for R1 (northern) "10 Easy Ways to Conserve Water"

Flyer created and used for R1 (coastal) "10 Easy Ways to Conserve Water"

Cordova High School Football Program - Conservation Message included

September 08'

Native American Day Event at the Capitol "Spirit of Land and Water"

ATTACHMENT A

Golden State Water Company's "Voluntary" Conservation Programs

Water Conservation event in Los Osos

November 08'

Added voluntary conservation news release to NEW section on homepage and on the conservation page

Jan 09'

Added Water Action Plan to Homepage on www.gswater.com

Feb 09'

Added link on the homepage of www.gswater.com for customers to receive a FREE conservation kit

April 09'

April 22^nd Earth Day event in Rancho Cordova

April 22hd Earth Day event in Clearlake

Added Water Shortage Plan News Release to Bay Point CSA page on www.gswater.com

May 09'

Bay Point Rebate flyer (English / Spanish)

Bay Point Open House 5/26/09

GET WET event in Folsom (conservation event)

June 09'

Water Awareness Open House Edna Road 6/10/09

Added schedule 14.1's, Water Shortage Brochures, and exception forms to Simi Valley pages on gswater.com

July 09'

Water Awareness Event in Rancho Cordova (4^th of July)

August 09'

Water Awareness Open House Bay Point 8/27/09

Cordova High School Football Program - Conservation Message included

CERTIFICATE OF SERVICE

I certify that I have by mail this day served a true copy of Draft Resolution W-4840 on all parties in this filing or their attorneys as shown on the attached list.

Dated August 3, 2010, at San Francisco, California.

/s/JOSIE L. JONES

Josie L. Jones

NOTICE

Parties should notify the Division of Water and Audits,

Third Floor, California Public Utilities Commission, 505 Van Ness Avenue, San Francisco, CA 94102, of any change of address to ensure that they continue to receive documents. You must indicate the Resolution number on which your name appears.

SERVICE LIST

DRAFT RESOLUTION W-4840

Dr. Lani Steele 1675 Broderson Ave. Los Osos, CA 93402		Dan & Karen Lemburg 2635 San Ricardo Lane Los Osos, CA 93402		Richard Miller rlmiller@thegrid.net
John & Nadine Dolan 235 Machado Lane San Luis Obispo, CA 93401		Samantha K. Burkey P. O. Box 1280 Ukiah, CA 95482		Mrs. Glo Finan 1355 Bay Oaks Dr. Los Osos, CA 93402

Elisabeth Allebe Eallebe805@charter.net		Bernard Wick bwick@ieee.org		Mack Ziegler Mackz3@mchsi.com
Steven D. Eydam 3580 Sharon Bay Point, CA 94565		Charles R. Dowell 3248 Oakmont Dr. Clearlake, CA 95422		Pete Mueller 1567 Canyon Creek Road Orcutt, CA 93455
John Burke 1650 E Clark Ave #331 Santa Maria, CA 93455		Mary Ellen D tismefreesoul@yahoo.com		Mike Eisner Theotherm@aol.com
Fred N. Berra 2232 Arrowhead Drive Santa Maria, CA 93455		Mrs. Evelyn MacKinnon 4639 Basque Drive Santa Maria, CA 93455		Mike Follet Cableguy93101@yahoo.com
Mr. John Gariboldi 768 Sierra Road Nipomo, CA 93444		Lucy Hildebrand Visby08@yahoo.com		Eric Kim 11384 Gold County Blvd. Gold River, CA 95670

Shirley F. Saxby 615 Crestview Drive Ojai, CA 93023		Pat B. Allen 300 Running Ridge Trail Ojai, CA 93023		David Brown dbrown@someracapital.com
David Brotman dbbrotman@yahoo.com		Ms. Camper 2613 Los Amigos Dr. Rancho Cordova, CA 95670		David & Eleanor Le 2882 Thicket Pl. Simi Valley, CA 930
Ron Burski 2134 Fernwood Court Simi Valley, CA 93065		J.C. Kamra 2533 Almaden Court Simi Valley, CA 93065		Tom Houston tom@sbcglobal.net

Ken Christensen Golden State Water Company

599 Rosint Ronald Moore

Los Osos, CA 93402 Senior Regulatory Analyst

630 East Foothill Boulevard

San Dimas, CA 91773

1 1. See Attachment A for a summary of GSWC's conservation efforts.

2 2. Per GSWC's April 28, 2010 response to DWA's informal information request.

3 3. The WRAM will track the difference between total quantity rate revenues authorized by the Commission and the total quantity rate revenues actually recovered via quantity charge. The MCBA will track the differences between adopted and actual costs for purchased water, power and pump tax.

4 4. The Commission's Order Instituting Investigation (I.) 89-03-005, Measures to Mitigate the Effect of Drought on Regulated Water Utilities, Their Customers, and the General Public.

5 5. Senate Bill 318 requires urban water suppliers with more than 3,000 service connections or water use of more than 3,000 acre-feet per year to submit a UWMP every five years to the California Department of Water Resources.

6 6. D.90-08-055, at 46.

7 7. D.90-08-055, at 21, and D.91-10-042, Ordering Paragraph 3.