ALJ/ANG/cmf Date of Issuance 12/18/2009

Decision 09-12-017 December 17, 2009

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

In the Matter of the Application of California-American Water Company (U210W) for a Certificate of Public Convenience and Necessity to Construct and Operate its Coastal Water Project to Resolve the Long-Term Water Supply Deficit in its Monterey District and to Recover All Present and Future Costs in Connection Therewith in Rates.

Application 04-09-019 (Filed September 20, 2004; Amended July 14, 2005)

DECISION CERTIFYING FINAL

ENVIRONMENTAL IMPACT REPORT

1. Summary

In this decision, we certify the Final Environmental Impact Report (FEIR) as the environmental impact report for the Coastal Water Project. By taking this action, the FEIR is certified for use by the Commission and responsible agencies in considering subsequent approvals for the project, or for portions thereof.

This decision considers only the certification of the FEIR and does not determine whether California-American Water Company should be granted a Certificate of Public Convenience and Necessity and if so, whether the proposed project or an alternative should be adopted. Certification of the FEIR does not prejudge the Commission's final selection of the project or alternative.