6. Assignment of Proceeding

Michel Peter Florio is the assigned Commissioner and Linda A. Rochester is the assigned ALJ in this proceeding.

1. On April 25, 2006, the DWA approved Alco's Advice Letter 107 to expand its service territory into the Salinas future growth area contiguous to it existing service territory.

2. On April 12, 2007, by Resolution W-4630, the Commission affirmed DWA's disposition of Advice Letter 107.

3. On July 19, 2007, the assigned ALJ ruled that Cal Water's A.07-04-010 was suspended pending the outcome of OII 07-06-020, an investigation to determine Alco's competence to serve the additional service territory.

4. On April 20, 2009, the Commission issued D.09-04-035, finding it in the public interest for Alco to serve additional customers in its newly filed territory.

5. On February 1, 2010, Alco filed its first general rate case as a full application.

6. On March 16, 2011, the Commission issued D.11-03-005 which among other things found that Alco should file its next general rate case as a full application rather than an advice letter.

7. Cal Water's Application 07-04-010 seeks a hearing to demonstrate that it is better qualified to serve the customers in Alco's expanded service territory.

8. Alco's ability to serve the customers in its expanded service territory has been examined multiple times and will continue to be reviewed in future general rate cases.

1. It is not reasonable or necessary to subject Alco to the additional scrutiny sought in Cal Water's Application.

2. It is not reasonable or necessary to re-litigate this issue.

3. It is no longer necessary for Cal Water's Application 07-04-010 to remain open.

4. Hearings are not necessary.

5. Cal Water's Application should be dismissed, effective immediately.

ORDER

IT IS ORDERED that:

1. California Water Service Company's Application 07-04-010 to serve certain sections of the City of Salinas future growth area is dismissed.

2. The hearing determination is changed to no hearings necessary.

3. Application 07-04-010 is closed.

This order is effective today.

Dated March 22, 2012, at San Francisco, California.

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